Most lenders require that you have insurance

In all likelihood, your loan would not have been approved without it. Mortgage companies typically ask for proof of coverage before funding or refinancing your home. It's a safety precaution as the lenders want to make sure that the financial investment they're about to make are secure. The amounts placed as replacement values typically cover the physical structure of a home. In other words, how much would it cost to re-build it. But what about your belongings. Would they be covered under the umbrella of your building coverage? Not necessarily. For that you might need to look into a homeowners insurance policy.

What to look for when you shop for homeowners insurance?

• Insure your home for its replacement value.
  Cost of construction materials do not stay fix and in most cases, go up with each passing year. In addition, take into consideration inflation.
• Make sure you are aware of previous claims made on the property you now own.
• Ask your insurance agent about the various options available to you.
• Understand what your insurance policy covers.
• Be aware that location is everything. Depending on where you live, your premium might have a 5% to 15% fluctuation in costs.
• Include additional living expenses in your insurance policy.

Your home is probably going to be the largest investment you'll ever make in your life. Make sure you are fully protected and don't hesitate to call us for advice. We'd be only too pleased to help you find the best homeowners insurance

How Much Insurance Do I Need for Break-Ins?

The answer to that important question depends on a number of factors. As a rule of thumb, a personal property coverage will depend on whether you have a:

• - "Replacement cost" clause for your belongings. That that means that an insurance company would undertake to replace your belongings at today's market prices.
• - "Actual cash value coverage" is a more affordable alternative in which an insurer deducts for depreciation so that you might not recoup the amount of money you originally paid for the lost item.

When it comes to dwelling coverage, the aim is to to help pay to repair or replace burglary damages with material of equivalent quality.

Are there limits? Yes! Most companies set a monetary limit to claims. The common practice is to cover possessions at 50 to 70 percent of the total amount of insurance you have on your home.

What happens to jewelry or silverware? These items are usually grouped under a specific category where limits are also set. Jewelry coverage for example might be capped at $1000 or $2000.

In conclusion, if someone breaks into your home and walked away with your TV, your personal property coverage would cover you and reimburse the cost of purchasing a new one. But if that burglar finds an expensive ring on your bedside table, and takes it, in all likelihood, you will only ever be reimbursed up to the sub-limit set by your insurer. Loss of expensive pieces of jewelry will result in out or your own pocket expenditure and it is important that take the necessary steps to protect your most valuable items.

Deductible. Any policy, be it homeowners insurance or otherwise will include a deductible which you will be entirely responsible for. A scheduled personal property coverage clause might help reduce, or even eliminate that cost.

What does a standard Homeowner's Insurance Policy include?

• Personal Property
• Personal Liability ( in case of a claim about an injury or property damage to a third party)
• Loss of Use/Extra living Expenses (if your home is unhabitable following a covered loss)
• Dwelling
• Other Structures (Detached garage, shed...)

What happens if you own a condominium? Normally the condominium association covers any damage to the exterior of the property including roof, walls and the common areas.  The Important thing to understand is that is where the coverage stops.  The interior finish of your unit is only protected when you purchase an H06 Condo insurance policy. 

The H06 Condo Insurance policy covers any damage to your walls, floors, bathrooms, kitchen.  It also provides coverage to your personal property items, like furniture, clothing, Electronics and appliances.   If we need this items to be covered it is imperative that we buy an H06 Condo Insurance policy.

What about wind or windstorm insurance?

A professionally drawn insurance policy will usually ensure that both wind and windstorm coverage are included in the homeowner's insurance.

Given that Florida is susceptible to hurricane force winds and or tropical storm on a regular basis, it is important to consider protecting your home with wind breakers, tropical resistant shutters etc...

Older homes, build before the onslaught of hurricane Andrew in 1992 are more vulnerable to wind damage than modern, post Andrew's new building code homes.

If you own such a home, in addition to the recommended shutters, it might be a good idea to replace the windows with impact glasses, change old doors etc...

Upgrading your home is such a way is an investment that may cost you an initial outlay. But if you consider the savings in premium per year, it is usually accepted that a couple of years are all it takes to recoup any initial investment.

What about Flood Insurance

If you live in Florida, you probably already know if your home is located in a flood zone. Insuring that you are covered for flood insurance is certainly a question you should ask Liz. A flood policy is not normally covered under the homeowner's insurance or content policy.

A great number of claims are made due to flood damages

What if you don't live in a flood zone? There are several types of flooding. The first one is the result of a tropical storm of a hurricane that produces a tidal surge.  Another type is caused by water having nowhere to go during heavy and rapid rainfall. This produces a water bottle neck which may spread to homes nearby.

What about costs?

When it comes to annual premiums for homeowners insurance, Florida ranks as one of the more expensive states in the country. But premiums vary from location to location and even from one policy to another.  The determining factors in estimating the cost of homeowners insurance for your own home depend on the size of your home, your assets and of course your address.