When it comes time to choose a Florida homeowner’s insurance policy, it can be quite tempting to just go with the cheapest option. However, doing so could result in significant financial hardship in the future if your policy does not have the coverage that you actually need. The best way to choose insurance is to utilize Florida homeowners insurance comparison tools to find the policy that provides the coverage you need in your situation.
Homeowner’s insurance is designed to protect you in the event of damage to your home. Each policy has different limits, and different coverage. The following is an overview of the coverage options that you should find while using homeowner’s insurance comparisons.
Coverage A is the amount of coverage provided to repair or rebuild your home. This coverage should be based on the actual cost of rebuilding your home, rather than the current real estate market value. As you compare insurance rates, make sure to verify how each company evaluates this cost.
Law and Ordinance Coverage
Coverage A covers the costs associated with the repairs or rebuilding needed to return your home to the state it was in when it was built. However, this coverage does not take into account the numerous changes that take place in the laws and ordinances for building codes. Many of these laws are instituted in an effort to make your home safer, but they also add significant costs to the repair and rebuilding prices. If you opt for a plan that does not include this coverage, you could be required to pay up to an additional 24% of the value of your home to ensure compliance.
Another important Florida homeowner’s insurance comparison is the water damage coverage. This coverage is not flood insurance, but it does provide protection against damage that results without flooding. These costs vary from company to company, so make sure to verify both the cost, and the availability.
The contents of your home should also be covered by your insurance company. However, some companies include the cost to replace your items that are lost due to a covered loss at current market value, but many others do not. Make sure to use the homeowner’s insurance in Florida comparison to make sure your personal property is covered for the actual cost to replace them.
Homes that are within 1,000 feet of a fire hydrant, or within five miles of a fire station are often eligible for savings on homeowner pricing. Make sure to verify the location of these items to make sure that they insurance company is accurate.
Identity theft is a growing problem, and many insurance companies like this provide coverage for an additional cost to help deal with this. You should verify coverage as well.
Using Florida homeowners insurance comparison tools can save you considerably on your homeowner’s policy, so make sure you use it to make sure you get the best deal.