Connecticut residents who are purchasing their first homes should not overlook the need to obtain homeowners insurance. To select the best coverage for their new places, they need to consider the amount of coverage required and be aware of what is covered as there may be exclusions that need to be addressed.
Homeowners’ coverage varies between providers and policies. How much coverage homeowners needs depends on a variety of factors. If they have a mortgage, then their mortgage lender can require them to have hazard coverage that covers the entire amount of the house in case of destruction. This coverage can protect both the lender and homeowner against loss. If homeowners’ coverage is not dictated by their lenders, it is up to each homeowner to decide how much coverage they want, taking into consideration the amount of loss they could afford.
Homes can be damaged or destroyed by vandalism, fire, storms and many other means. However, homeowner insurance policies may exclude certain events from their coverage. In this case, it’s up to homeowners to recognize gaps and get additional coverage as needed. If a homeowner’s policy excludes flooding for instance, he should consider whether or not his particular Connecticut location is at risk for flooding and purchase flood coverage if it is. Although hazard coverage plus supplemental coverage for specific perils can cover the cost of a home, the package may only cover the building itself and not property or persons. Homeowners may want to add personal property coverage to include the home’s contents and personal liability coverage to protect the homeowner financially in case anyone gets injured on their property.
New Connecticut home buyers should take homeowners insurance and its coverage into consideration as they make the decision to buy a new home. An independent insurance agent can help streamline the process of discovering, evaluating, and purchasing insurance packages.