Your homeowner’s insurance coverage protects your most valuable asset, so it’s critical to choose your policy carefully. While price is always important, there are several other factors you should consider before buying a policy. Does it offer enough coverage? What about your personal belongings? Keeping the following things in mind will ensure you have the coverage you need.

3 Important Considerations When Buying Homeowner’s Insurance

1. Replacement vs. Fair Market Value

Homeowner’s insurance policies are either based on your home’s fair market value or the cost to completely replace the structure if it’s destroyed. Due to inflation and rising construction expenses, building a new home might cost more than what someone would be willing to pay if it were up for sale. In most cases, it’s best to choose a policy based on the replacement value of your property so you’ll have enough to rebuild if the unexpected happens.

2. The Value of Your Possessions

In addition to protecting the structure of your home, the standard homeowner’s insurance policy includes personal property coverage to replace items destroyed or damaged in a covered event. In most cases, this will equal 50-70% of the insurance limits on the house itself. This is sufficient for most families, but if you have especially valuable items, you may want to purchase additional coverage.

3. Flood & Earthquake Coverage

The standard homeowner’s insurance won’t cover damage caused by floods or movements of the earth, either of which could destroy your home. If your area is vulnerable to these perils, an amendment will provide the coverage and peace of mind you need.

With over 25 years of experience and the backing of one of the nation’s leading carriers, Brent Layton with Farmers® Insurance Group offers comprehensive coverage to property owners throughout Tremonton, UT. This accomplished agent will take the time to fully understand your situation so he can tailor a policy to fit your needs and budget. To request your homeowner’s insurance quote, visit his website or call (435) 257-3829, and follow his Facebook for more insurance advice from the experts.