Homeowners insurance provides financial protection against disasters. A standard policy insures the home itself and the contents you cherish. While this type of insurance is not required by the state of Michigan, it may be required by your mortgage company, landlord or renters lease agreement and contract.
Your home is probably your most valuable asset, both as an investment and as your sanctuary in a hectic world. When your home is damaged or destroyed, you need your claim settled by an insurance company that understands how this impacts your life. Coverage, availability and prices may vary by company. We can help you determine which of several companies we represent will best meet your needs and provide the most valuable combination of tailored coverage, quality service and fair pricing.
Depending on the company you choose, you can get discounts for:
- Having a burglar alarm
- Having a newer home
- Being claim-free in the past
- Insuring your vehicles with the same company
Other advantages you could enjoy include:
- Repair Guarantees
- 24-Hour Claims Hotline
- Flexible billing -including coordinating with your mortgage company
- Living expense if your home becomes uninhabitable due to a claim
You need enough insurance to cover the following:
- The structure of your home.
- Your personal possessions.
- The cost of additional living expenses if your home is damaged and you have to live elsewhere during the repairs.
- Your liability to others.
A standard homeowners insurance policy includes four essential types of coverage.
- Coverage for the structure of your home.
- Coverage for your personal belongings.
- Liability protection.
- Additional living expenses in the event you are temporarily unable to live in your home because of a fire or other insured disaster.
Types of coverage:
- Replacement cost: The policy pays the cost of rebuilding/repairing your home or replacing your possessions without a deduction for depreciation. This is based on what it would cost to replace your home in the event of a total loss. This policy will pay the amount needed to replace, rebuild or repair your damaged property to its original condition with materials of the same kind and quality.
- A repair cost/market value policy will pay to replace, repair or rebuild your damaged property to a condition similar to what it was before the damage up to the policy limit.
In many cases, the replacement cost of your home may be higher than it’s market value (what your home is worth). It is very important that you compare the two types of policies offered and decide which policy best completes your needs.
Free Home Inventory Software
Having an up-to-date home inventory will help you:
- Purchase enough insurance to replace the things you own.
- Get your insurance claims settled faster.
- Substantiate losses for your income tax return.
Unlike a homeowners policy, renters insurance covers only the value of your belongings, not the physical building. With renters insurance, your possessions are covered against losses from fire or smoke, lightning, vandalism, theft, explosion, windstorm and water damage (not including floods). It also covers your additional living expenses if you are unable to live in your apartment because of a fire or other covered peril.
- A renters Insurance policy is based on the amount of property damage coverage you need, which is determined by the cost to replace the contents of your home.
- Liability coverage is included in a renters policy and provides coverage to you in the event you are sued for damages either caused by you or a family member, to someone else in your rented home or apartment.
If you own a home that is rented out, you should carry a Dwelling Fire Policy. A dwelling fire policy can be in the form of a replacement cost policy or a repair cost/market value policy. This policy will provide coverage for the structure as well as liability coverage in the event you are sued for damages caused to someone while on your property. We will work with you to find the best policy to suit your needs at the best price.
If you own a home that is vacant and unoccupied you should carry a Vacant Home Policy. This policy will provide coverage for the structure as well as liability coverage in the event you are sued for damages. Additional coverage for any renovations to be made may also be purchased.