The largest asset for most people is their home. But if you ask these same people about their coverage, they usually can’t tell you much about it. Protecting your most valuable asset is a very serious topic. The last thing you want is to have a fire, flood, tornado, or other catastrophe and then realize, too late, that you didn’t have the coverage you thought you had.
And keep in mind, your home is an appreciating asset. The real estate market may have periodic downturns, but over the long haul, your home will more than likely increase in value. As you know, building costs are skyrocketing. And this has to be reflected in your coverage. You need enough home owners insurance to replace your home so you don’t have additional costs to deal with when you are concerned with rebuilding your home after a major catastrophe.
In addition to the increasing value of your home, you may find yourself with valuable possessions you didn’t have a few years ago. Do you have enough coverage in your home owners insurance policy to take care of replacing the valuable contents of your home? Many people never consider the actual replacement costs of what is inside their home.
That is one of the main reasons for using a local agent you can meet with periodically to review your home-owners insurance policy. You need someone who can provide a clear explanation of your coverage and someone you can sit down with face-to-face. It beats going it alone because you may miss things that your local agent will pick up on when doing a review of your policy. Don’t wait until it’s too late!