4 Common Home Insurance Mistakes to Avoid

Owning a home comes with plenty of responsibility. From regular home maintenance to investing in the right insurance coverage to fit your needs, there are many different aspects of home ownership that require your time and lots of research. However, even the most cautious and well-prepared homeowners can be tempted by an insurance policy that seems too good to be true. Making assumptions and only thinking about price when you shop for insurance coverage can be very risky. So whether you’re a new homeowner looking for the right fit or you’re taking the time to review your current policy, be sure to avoid making one or more common home insurance mistakes.

1. Under-Insuring Your Home

While this may seem like a no-brainer, many homeowners decide to go with the least amount of coverage available in an effort to save money. Purchasing a policy just to cover your mortgage may be beneficial to you in the short-term but in the event of a natural disaster or accident, you’ll want to have coverage that will allow you to completely rebuild your home.

2. Setting Your Deductible Incorrectly

Most homeowners set their deductible either too high or too low in an effort to save more money. While this may sound good in theory, your plan is likely to backfire. If you set your deductible too low, you’ll end up having to pay more when something goes wrong. If it is too high, you’ll be stuck with larger premium payments. As a good rule of thumb, your deductible should be set at either $500 or $1000.

3. Forgetting About Discounts

You may be eligible for a number of different discounts for everything from installing new smoke detectors in your home to bundling your auto and home insurance coverage with the same agent. If you aren’t looking into the discounts you have available to you, you could be paying much more for your homeowner’s insurance policy than you need to.

4. Not Customizing Your Coverage

Every home is unique, just like every homeowner has different needs. As you look at home insurance coverage, keep in mind that there are certain hazards that you should be prepared for that may not be included in a standard policy. For example, flood insurance is not typically included in home insurance policies but if you live in a flood zone, you definitely need to purchase coverage.

About Haughn & Associates

Founded by Michael Haughn in 1986, Haughn & Associates is a full-service, family-owned, independent insurance agency based out of Dublin, Ohio. H&A strives to provide the best possible price and unique insurance solutions across a myriad of industries, including construction, IT, Habitation & Commercial Property, Agriculture, and Engineering. Devoted to providing the best of business insurance, life and disability insurance, personal insurance, employee benefits, and bonds, H&A is proof that success lies in long-standing client relations and satisfaction. To learn more about how H&A can be of service to you, contact us at (877) 802-2278.

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