If you are a property owner, then property insurance is a smart choice in protecting your financial future. Because there’s a lot involved in this type of insurance, it can be confusing for those who have never taken out a policy before. The team at Consolidated Agency in Rochester, NY, explain what you need to know about it before you start comparing policies.

Property Insurance 101

What It Is

Property insurance will reimburse the owner or renter of a property for the building itself and the personal property within it if something should happen. It can include options such as flood, earthquake, renters, landlord, and home insurance.

The average policy will cover damage caused by fire, wind, smoke, hail, snow, ice, lighting, or theft. It will often also cover liabilities to someone other than the owner or renter if they sue after being injured on the property. Additional coverage will need to be purchased to cover water damages, earthquakes, or mold.

The 3 Types of Coverage

There are three main levels of coverage available to you: replacement cost, actual cash value, and extended replacement cost. Replacement cost coverage will pay for you to repair or replace the property with a similar kind and quality. Actual cash value coverage will cover the cost of replacement with the estimated cost of depreciation subtracted from that total. Extended replacement cost coverage will pay up to 25 percent over the coverage limit if the costs of construction have increased.

The team at Consolidated Agency make even the most complex insurance policies simple for their customers. Their insurance agency has served property owners in the area since 1988 and can help you find exactly what you need in property insurance coverage. Their agents will establish your lifestyle and budget requirements to present you with the best options for your unique needs. Learn more about their programs online and call (585) 467-4110 to request a no-obligation insurance quote today!