The Dukes of Hazard Insurance: A Must for New Homeowners

Find Competitive Rates with Homeowners Insurance Quotes

By Rafael Onak, InsuranceAgents.com Staff Writer

So you’ve found your dream home, bragged about it to your friends, got through all of the paperwork in the home buying process, and bragged some more. Now what? If you’re a smart homeowner, chances are you’ve already hopped online and started comparing homeowners insurance quotes for the most competitive rates on hazard insurance. Get up to five quotes quickly using our simple online quote forms.

The main reason for obtaining hazard insurance is that lenders want to be sure their investment is protected. If your home is not covered by an insurance policy and something happens, the lender may not be able to recover the loan.

With hazard insurance, you are protected against damages due to:

• Fire, lightning, windstorm, or hail
• Vandalism
• Theft
• Falling objects
• Freezing of a plumbing, heating, or air conditioning system, or household appliance

While these are only a few of the many things you are covered against, hazard insurance excludes coverage for damages caused by floods, earthquakes, and mudslides.

Compare & Contrast for Affordable Homeowners Insurance Quotes

Shopping around for a convenient hazard insurance policy is no easy task, but by comparing homeowners insurance quotes online, you can quickly eliminate any policies that aren’t up to your standards. The complexities of home insurance can get a bit extreme at times, but there are basic concepts every homeowner should know when shopping for homeowners insurance quotes, particularly how claims are paid.

Insurance companies reimburse for losses in three ways:

1. Full replacement. Full replacement guarantees that your insurer will pay for replacement to the limit of coverage.
2. Guaranteed cost. Guaranteed replacement ensures that your insurance company will rebuild your home no matter the cost.
3. Cash value insurance. With cash value, you are guaranteed that the insurer will pay an amount equal to the current market value of the home.

The extent of your coverage should be discussed with your home insurance agent before you make a decision. Each insurance company offers different homeowners insurance quotes that depend on the number of home insurance claims recently made against each company, so it’s in your best interest to compare and contrast. Start comparing multipe quotes now using our online forms.

Published: Thursday 3rd September 2009