Here are some of the figures that are important for your home insurance.
If you are a homeowner, then it’s important that you have the right coverage to meet your home’s needs. Part of selecting the right home insurance in Los Angeles, California
is understanding the various figures included in your policy. To ensure that you have the right coverage, learn about these important home insurance figures.
Replacement Cost Value
This figure refers to the amount of coverage you have for your home. This value is based on how much it would costs to rebuild your home if it was completely destroyed. Replacement cost value takes into account the cost of building materials, labor, and the cost of bringing your home up to code. It’s important that you correctly estimate your home’s replacement cost value as this estimate represents the maximum amount that your insurance provider will compensate you for. If you set this value too low, then you will be financially responsible for any claims that exceed your policy’s limits.
Home Insurance Deductible
Your deductible is the amount of money that you agree to pay towards repairs before your insurance coverage kicks in. It’s important to understand that your insurance deductible and premium have an inverse relationship. This means the higher your deductible, the lower your premium will be. While setting a high deductible will help you save on your insurance rates, it’s important that you don’t set your deductible higher than you can afford. Setting your deductible too high can prevent you from getting insurance coverage when you need it the most.
Value of Your Belongings
Your personal belongings are covered under the Personal Property Coverage section of your homeowners insurance. Generally, a standard home insurance policy will offer coverage for half of your belongings’ replacement cost value. The best way to determine the value of your possessions is by creating a home inventory that documents the value of each of your belongings. If the value of your possessions exceeds the coverage offered by your home policy, then you might want to get supplemental coverage.
These are some of the figures that are important to your homeowners insurance. Do you have more questions regarding your home insurance in Los Angeles, California
? Then don’t hesitate to contact the professionals at Fuller Insurance Agency in Southern California. Our dedicated team is ready to assist you with all your personal and commercial coverage needs.