The Down and Dirty on Homeowner’s Insurance

    imagesHomeowner’s insurance is usually not something we talk about around the water cooler unless something devastating has happened or if our rates have spiked. Recently I received a renewal notice in the mail for my homeowner’s insurance and noticed a substantial increase. I promptly called my agent to find out what the rate increase was about and thus ensued a two week long chore of securing a new insurance policy. Here are some things I have learned about homeowner’s insurance that will help you in the long run.

    Be Careful With Your Claims
    This is one point everyone needs to know about. I filed a claim for a water leak from the upstairs bathroom down to the kitchen. Seemingly harmless – around $2,400. Little did I know but this claim caused my insurance rate to rise by almost 20%! Ouch! When I started shopping around another agent told me to be leery of filing claims. You really only want to use the insurance if it’s catastrophic. The agent went on to say that filing two claims within five years could cause some companies not insure you at all.

    Bundle If You Can
    Another reason I had a spike in my insurance was I had chosen to go with another company for my auto insurance. My agent said the bundle savings was approximately 25%. That’s quite a bit in my world. Sometimes it makes sense to bundle and sometimes it doesn’t. Check around to find out.

    Check Your Deductible
    Deductibles can be tricky. Look at your deductible and quote your premiums at various deductible levels. Having a higher deductible could save you a lot in the long run. Try raising it to $1,500 or more for ideal savings.

    Shop, shop, shop
    Last but not least, shop you policy around. The thing that makes this country great is competition and believe me, there is a ton of competition in the insurance industry. The internet has provided us with the ability to get rates from many companies that didn’t exist before. One word of caution, if you put your info into one of the online forms get ready for your phone to ring off the hook. I filled out one of those forms and it seemed like my phone rang before I even hit send.

    EXIT Realty Bob Lamb & Associates is Murfreesboro’s most innovative real estate team.

    EXIT Realty Bob Lamb & Associates
    2630 Memorial Blvd, Murfreesboro, TN 37129
    (615) 896-5656

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