Insurance Tips for Homeowners

Now that you are settled into your new home, have you thought about how this will affect your insurance needs? Buying a home involves more than just making sure you have homeowner’s insurance coverage. If you've recently purchased a home, here are some types of insurance that may be affected by your recent move.

Homeowners insurance

If you have a mortgage, your lender most likely requested you to obtain some level of homeowners insurance coverage. You should make sure that the amount of coverage that you have will sufficiently protect you for all possible losses.

Auto Insurance

If you are moving to a new state, it's imperative that you check with your current auto insurance provider to see if they are licensed in your new state. If they are, their rates might be a lot higher then what you were paying before you moved.

Make sure to update your address information with your insurance company as soon as you can. If you get into an accident before you update your insurance information, your insurance provider could refuse to pay any claims that stem from the accident. Before you update your information, it's a great time to shop around for the best auto insurance rate for your new address.

Flood insurance

Homeowners insurance does not provide coverage for flood damage. Most companies that sell homeowners insurance also sell flood insurance, so try contacting your own insurance company for more information.

Life insurance

Understand that the purpose of life insurance is to replace financial loss, and individuals should be looking for is "income replacement" for their beneficiaries.

Disability insurance

Would you be able to make your monthly mortgage payments if you were unable to work due to an accident or illness? A disability insurance policy will pay you a monthly benefit to replace a portion of your income until you are able to work again. Many employers provide disability insurance for their employees. If your employer does not offer disability insurance or if you are self-employed, you can purchase an individual disability policy.