Most people have no idea how much home insurance they need. Many people don’t even know what it is. Home insurance is a type of insurance that covers damage to your house and its contents in a disaster, such as fire or theft. It’s essential to have the proper insurance in place if anything happens to your home.
The first thing you need to know about home insurance is that it’s not one-size-fits-all. It would be best if you got a plan that matches your needs. How much insurance do you need? It depends on the value of the home and its contents. The cost of rebuilding your home, plus the price of replacing personal property like furniture, clothing, and appliances, should be factored into the equation.
Homeowners’ policies offer three different types of insurance: Actual Cash Value (ACV), Replacement Cost Coverage (RCC), and Extended Replacement Cost Coverage (ERCC).
Actual Cash Value (ACV)
This type of insurance is the cheapest, but it covers only what your home and possessions are currently worth. With this coverage, your insurer subtracts depreciation from the replacement cost to arrive at a dollar amount for reimbursement.
Replacement Cost Coverage (RCC)
This type of policy insures your home and possessions for their replacement value. Replacement cost coverage doesn’t consider depreciation, so it costs more than ACV insurance.
Extended Replacement Cost Coverage (ERCC)
This is the most expensive policy, but it offers the best protection. An ERCC policy will pay to replace your home and possessions even if it costs more than the original value.
Understanding How Much Home Insurance You Need
Insurance comes down to two basic numbers: the replacement value of your home and its contents and the deductible. Your insurance agent can help you determine how much insurance you need to keep your home, possessions, family, and future intact.
Home insurance is something that every homeowner should have. Kriener Insurance offers an array of home insurance options in Woodbury, MN. Call us today for a free quote.
Not all of life’s problems are predictable, and you want to be covered just in case. Every property has different insurance needs. If your home has at least one other structure on its property, you want to make sure that it is covered by your homeowner’s insurance policy.
Kriener Insurance, which serves Woodbury, MN, understands your desire to protect all of your personal property. Here’s what you need to know when it comes to protecting structures on your land.
Homes Are Not the Only Structures You Want to Cover
There are plenty of structures you might have on your property, including a garage, guest house, shed, or personal gym. In many cases, a home insurance policy does cover other structures on the property designated for personal use. Likewise, homeowner’s insurance policies may encompass the personal items inside these buildings.
There are many exceptions, which is why it is crucial to discuss your home’s structures with an insurance agent. For example, different policies may have different stipulations for structures used for business purposes, even if they are on your personal property.
What Kind of Coverage Should You Consider?
Each insurance policy is different. No matter the kind of insurance you choose, you may want to consider coverage for personal property and liability for other structures on your land.
If you are still unsure if your home insurance policy will cover your entire property, you should speak with an insurance agent. A professional can tell you whether your office, tool shed, pool house or guest house is covered by your policy. Kriener Insurance helps residents of Woodbury, MN choose an insurance policy that suits their needs.
Home is where the heart is, and it is also where you keep most of your possessions. When a covered peril hits, and chances are it will hit eventually, you will need to file a claim with your insurance carrier. It is not a particularly easy process, but it can be very manageable if you have a home inventory. It’s a matter of creating one at your leisure or being forced to create one in the most trying circumstances you can imagine. At Kriener Insurance in Woodbury, MN, we are passionate about providing our customers with the best possible experience in getting insurance products.
Deciding to create your home inventory is best done when you have the time you will need. Depending on how many rooms you have, it can be quite extensive. You can do it digitally or the old-fashioned way with a pad and pen. Whichever way you choose, you will need to go into as much detail as possible. Gather all your receipts and invoices to use as backup, especially for any of your larger, more expensive items. Use a camera to take pictures of each room from a few different angles.
Open every closet, every drawer, and every cupboard. Record the brand names, serial numbers, and model numbers, especially for electronics. Go into the attic, the basement, the shed, and the garage. When you are finished, you need to store your inventory in a safe place. You can make a digital copy and store it in the cloud, which means it will always be available to you no matter what gets damaged or destroyed. You can also choose to get a safe deposit box or at the very least a fire and water-resistant box or bag.
Contact Kriener Insurance in Woodbury, MN when you are ready to review your home insurance or are a new home buyer.
If you are a homeowner, you have likely had the experience of purchasing homeowners insurance, but not always being clear on all the details. Some terminology may be vague or unfamiliar and may leave you feeling uncertain of what is in your policy.
At Kriener Insurance of Woodbury, MN, we take the time to listen to our customer’s needs and explain the different policy options available to them.
Understanding Homeowners Insurance
There are many different terms used in homeowner’s insurance, but there are some common ones. Some key terms you may have heard when discussing homeowners insurance are:
- Liability – If someone is injured on your property, this will help protect your finances during any lawsuit.
- Actual-Cash-Value – This means you are paid what your items were worth before they were destroyed instead of the replacement cost.
- Full Replacement Cost – This term may come up with a comprehensive homeowner’s coverage. Items must be replaced at full replacement cost if they are destroyed or stolen.
- Declarations page – These will explain your annual premium and outline your coverage.
- Rider – Extra policies to cover particular personal property. Usually separate from your original policy.
- Replacement cost – This is an easy term. It merely means you will get reimbursement for new items, not the original cost. It doesn’t matter the age; you will receive a new item.
An Insurance Company on Your Side
Contact Kriener Insurance of Woodbury, MN today to speak with one of our agents. We are happy to schedule an appointment to discuss various homeowner policy options and explain all the details. We have years of experience helping our customers know what kind of insurance they need and to get the best coverage possible.
The biggest asset that someone in the Woodbury, MN area will likely ever own is their home. Those that own a property in this area will enjoy the great community and benefits that could make it a great investment. If you do own a property in this area, it is important that you get insurance in place. A quality home insurance policy could protect you and your home in several different ways.
Ensures the Property is Protected
One way that your home insurance policy can protect you is by protecting your assets. While a home can be built very well, there is still a risk that a bad storm or fire could cause a lot of damage. When you have home insurance, you can receive the financial support that you need to make these repairs. This could also give you coverage to find a place to live while repairs are being made.
While a home insurance policy is important to protect the asset, a property owner also needs to consider their liability risk. Guests that come over to your home are your responsibility to a certain extend. If someone is hurt or becomes ill while they are at your home, you could be deemed liable. This could end up leading to a liability claim. Your home insurance policy will give you protection if this were to occur.
There are a lot of different ways that home insurance can protect you and your property. If you are looking for a policy for your home in the Woodbury, MN area, you should call Kriener Insurance as soon as you can. The Kriener Insurance team will evaluate your situation to make sure that you and your home are fully covered and that you have the appropriate level of insurance in place.