One of the first things you do when buying your home is to insure it. But after that, do you care to review your homeowner insurance policy again? Not many people will say yes to that question. Whereas it is recommended that homeowner insurance policy should be reviewed annually. What are the reasons for this?
Why You Need to Review Your Homeowner Insurance Policy
Your homeowner insurance policy indicates what you can claim in case you suffer damage to your home. In most cases, the maximum amount you can claim depends on the value of your home, as it was calculated when you bought the insurance. As it is well known, the value of home always increases. However, suppose you don’t review and update your homeowner insurance policy after buying your home and later suffer damage to the home. In that case, your compensation will be calculated based on the cost of the house in the policy. Whereas if you updated your policy, it would be calculated based on the home’s current value.
There will also be a need to review your homeowner policy if you reconstruct or renovate your home. The addition of facilities like a swimming pool, basketball court, or basement will add more value to your home. For your home’s new value to reflect in your insurance policy, you must review the policy.
Other Reasons You Should Review Your Insurance Policy
Not only does the value of a house change, but your properties will also change. Most homeowner insurance policies also cover the properties in a home in case of severe damage to the home. So, as you buy new properties for your home, you need to review your insurance policy.
If you also change the use of your home, it may affect its worth or how the insurance is calculated. For instance, if you turn a section of your home into a home office, you may need to add more equipment and introduce more risk to the house. You must ensure that your home’s new value is calculated, and the new risk is adequately covered.
We Can Help You
To ensure your home is well covered and you get the maximum benefit from your insurance claim, it would be best to hire a professional public adjuster to handle your insurance policy. At 1800Adjusters™, we offer FREE consultation, and we will review your policy. Give us a call today at 1-800-235-8783 or visit our website to schedule your free consultation.