Do you know what you are currently covered for in your homeowners insurance policy? You may not be covered for everything that you think you are. Even if you do not purchase insurance from us, we will review your current policies with you to see what coverage you currently carry.
On every insurance policy in the U.S., there are many items that are specifically excluded on your policy. Flood, earthquake, sewer or drain backup coverage, war, and many others are not covered in your normal home policy. Some of these can be added as endorsements to the homeowners insurance, but flood is a separate policy issued by the U.S. Government. It is important to remember that even if you are not in a flood zone, you may still experience flood damage. Rates are lowest for people who are not in a flood zone. If you are in the Middle Tennessee area, such as Nashville, Fairview and Franklin, you know that floods occur here. Don’t be left in the dark if it happens to you!
Not only are many items excluded from coverage, but there are several where you may have coverage, but not enough. Think about your roof. Do you have replacement cost coverage on your roof? Actual Cash Value? If you have actual cash value and need your roof replaced, your insurance company will factor in your deductible in the payout and the depreciated value of your roof. Your payout will be severely watered down. You may get a low premium for this, but the coverage will reflect this. Replacement cost on the roof, same concept for personal property, means the insurance carrier does not factor in depreciation. The payout will be the amount needed to replace the roof. All of our insurance carriers offer replacement cost on your roof and personal property.
You may have sewer or drain backup coverage, but how much? $5,000? $10,000? Equal to the dwelling amount? Depending on the size of your home, how many stories, you may need significantly more than you realize. Sewer or drain backup coverage means exactly how it sounds. Let’s say water backs up in your shower, or your sewer line backs up from your toilet. Would you be covered? Without this endorsement and the correct coverage amount, you may be left in the dark.
Saving money is good when looking at other insurance company’s quotes, but when you need to make a claim, you need to be properly covered. If you live in the Fairview, Franklin and Nashville area, and are looking for an insurance broker for your home and auto insurance, give us a call! We will be happy to help you with your policies.
Feel free to contact us here for a quote, and we will reach out to you shortly! Take care.
John M. Hatcher