Streetsmart insurance Blog
For millions of American homeowners, homeowners insurance is a necessary evil. Most mortgage lenders require that borrowers carry a homeowners insurance policy to pay for any property damage that could decrease the value of their homes. As soon as their mortgages are paid off, those homeowners can reduce the coverage that they have on their homeowners insurance policies or eliminate their policies all together.
Unfortunately, both choices place homeowners in a dangerous position. If you recently paid off your mortgage in full (or if you paid for your home without a mortgage), there are three reasons why you should have a homeowners insurance policy that has enough coverage to protect you from unexpected perils.
It Is Convenient – If your home is damaged by a covered peril (fire, smoke, lightning, windstorms, hail, explosion, vandalism, theft, or water damage from an appliance or burst pipes), you can contact your insurance agent to start the claims process. A claims representative will work with you to gather evidence of the damage, complete repairs, and reimburse you for any expenses that you may have incurred. If you don’t have homeowners insurance, you will have to handle the entire process on your own.
It Is Affordable – Homeowners insurance can be expensive, but the cost of paying for property damage out of pocket is a lot higher. The Insurance Information Institute stated that the average claim for fire and lightning related property damage from 2011 to 2015 was $43,983; the average claim for water damage, wind-related property damage, and theft from 2011 to 2015 was $8,861, $8,313, and $3,990 respectively. Homeowners insurance allows you to make affordable monthly payments to pay for expensive financial losses over time.
It Is A Safety Net – You are going to have to deal with property damage, regardless of whether you have a homeowners insurance policy or not. About one in 15 homeowners files a claim on their homeowners insurance policy each year, according to the Insurance Information Institute. When disaster strikes, homeowners insurance can help you manage the financial burden of paying for property damage without compromising your quality of life.
StreetSmart Insurance is committed to providing affordable coverage. Whether you are looking for your first homeowners insurance policy or you are shopping for a better price, our agents are ready to help. Call us at 732-462-8343 for a free quote!