Home insurance is essential to protect your most significant investment, so you must avoid common mistakes when shopping around for a policy. If the coverage is lacking, you could have to pay for expenses out-of-pocket to cover property damage or bodily injury. Here, the insurance agents at Western States Insurance Group in Lovington, NM, share common mistakes people make when they’re in the market for home insurance coverage. 

What to Avoid When Buying a Home Insurance Policy

1. Only Opting for Basic Coverage

All home policies offer basic coverage limits. While these limits are sufficient for some homeowners, they are not suitable for everyone. Consider the value of your home; how much would it cost if you needed to replace the entire structure and all your personal belongings? You may need to add supplemental coverage that goes beyond policy basics.

2. Setting a Deductible Too Low or Too High

The lower your monthly payments, the higher the deductible will be. When your monthly payments are higher, the deductible will be lower. If you have a robust savings account and feel comfortable covering a high deductible, this option might be right for you. However, if you’re worried about covering a portion of the costs in the event of a claim, opt for higher monthly premiums.

3. Not Accounting for Personal Belongings

Your personal belongings are also covered by home insurance. If you don’t know the full worth of your items, take an inventory. Many people underestimate the value of what they own, which can result in insufficient funds in the event of a fire or other catastrophic incident. Take some time to think about what you own and its monetary value and opt for an insurance policy that reflects this amount.

If you have questions about securing a home insurance policy, Western States Insurance Group will help. Whether you need a life insurance policy or are looking for vehicle coverage, these local agents will provide the best service possible. Their status as an independent agency allows them to find affordable policies, so you can secure a product within your budget. To speak with an agent, call (575) 396-1318. For more information about their services, visit their website.