4 Important Insurance Considerations for New Homeowners

Sep 17, 2020

4 Important Insurance Considerations for New Homeowners

 

Buying your first home is an important step in life, and whether you plan to sell, rent, or live in the place--there is no denying that there are many topics to take into consideration. Of course, one of your top priorities should be to find the right insurer and the best insurance plan for your long-term needs. Aside from getting a term life insurance policy to protect yourself and your loved ones, you should also insure your home and all of your assets to safeguard your investments from harm. After all, you never know what might go wrong the moment you move in--and the last thing you want is to pay for a cumbersome repair job out of your pocket after buying a property.

 

That’s why we’ll be going over the key steps you need to take to insure your new home and all of your assets, preferably without breaking the proverbial bank. Here are the important considerations you should keep in mind. 

Going deep into insurance research

First and foremost, understand that insurers and insurance policies come in all shapes and sizes, and that you shouldn’t spring for the first offer that comes your way. Nowadays, you can easily research the best insurance companies in your area online, and you must do your due diligence before getting in touch with a potential insurer to talk about the next steps.

It’s also important to note that many insurers offer tailored plans and policies with the use of tech and AI to appeal to the unique needs of their customers, so be sure to talk to potential insurers about your specific requirements. Chances are that you’ll be able to get a sweeter, tailored insurance plan for your property and assets.

Insure your vehicle with the same insurer

Many new homeowners don’t think about car insurance at this stage, but it’s important to note that your vehicle is one of your most valuable and prized possessions, so it needs to be properly insured. The problem is that many new homeowners will buy a car at the same time or somewhere around the time they’re buying their home, but they’ll get the insurance at a different insurance company. Instead of working with two different insurers, you should have separate policies with the same company to save money, which has become somewhat of a trend in high-cost residential areas around Australia.

 

For example, in Brisbane and its suburbs, homeowners will get comprehensive car insurance in QLD along with full home insurance. This is usually from the same insurer to get special deals and discounts. It not only allows them to save more money over the long term, but it also simplifies the whole process. That said, if you’re going to do this, make sure that the insurer can provide you with quality insurance for both--never settle for one over the other.

Creating a home inventory

To get the best possible insurance deal on your home, you need to know how much it is worth. Create a home inventory so that the insurer can craft a tailored premium and coverage policy. Without a detailed list of your belongings and assets in your home, the insurer may reject you simply because you are a liability, and they can’t create a policy that works for both sides.

It is also important to get all of your belongings appraised-- preferably by a professional appraiser from the insurance company. You can also shoot a semi-professional video of your home and its interior, to serve as evidence and reference in case of natural disasters and any inadvertent damage. That will help streamline the claim process. 

Be mindful of any deadlines in your policy

Insurance policies come with various terms and deadlines. You'll need to be aware of them to be able to file a claim that is going to get approved. In case of an accident or damage to your assets, you will have a limited window of opportunity to file a claim. Be sure to read your insurance policy carefully and note down all the deadlines and terms you need in your phone so that you never fail to file a proper claim.

Wrapping up

Becoming a new homeowner can be stressful and exciting, but it can also be quite confusing. Don’t forget about your home, car, and contents insurance to protect your investments in the years to come.

 

About the author: Mike Johnston is an avid blogging enthusiast and experienced freelance writer with a focus on real estate, home improvement, interior design, and sustainable living.

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