We all enjoy buying things we want. Don’t believe me? Just click purchase on that dream item that has been hanging out in your cart on Amazon for the past 6 months and tell me you’re not continuously tracking that sucker until it’s in your hands. If you’re like me you’ll have app, email, and text tracking notifications going in order to watch its journey. People love to buy… but insurance doesn’t typically fall into that heart racing, can’t wait type of thing we love to buy. Maybe because we have to have it? Maybe because it’s intangible and can’t be used and appreciated until needed? Maybe a different reason completely. Regardless, a majority of people will purchase insurance in their lifetime so it’s important to know HOW to buy it.
Things to Have/Know Before Buying Homeowners Insurance
The homeowner needs to know a few things before beginning the shopping process. Do you want to insure the home at replacement cost or actual cash value? Are you comfortable with a high deductible or with a low deductible? Do you have other structures like fences, sheds, detached garages that need to be insured as well? Do you want to insure your roof at replacement cost or actual cash value? Don’t know what replacement cost or actual cash value is? Refer to my blog that explains all that here.
Typically, all companies will need some personal information as well. Name, birthdate, and social security number of you or spouse/partner living in the house is a starting point. Did you know that insurance premiums are mildly based off credit scores? They are! Companies will also typically need your address, square footage of the home, any updates to the electrical, plumbing, HVAC, roof, an estimation of what contents you have in the house, whether you have a pet and what breed, and how far the closest fire hydrant and fire station are to your home.