The importance of purchasing a homeowners insurance policy becomes obvious when you consider the magnitude of the financial burden you would have to bear if a tragedy occurs. There are different plans available on the market which can offer partial to full coverage for specific situations. A basic understanding of the major types will help you find a perfect
fit for you.
They are usually designated with the code HO-X, where X is their allocated number as in the list. They include:
Here are a few features that characterize the various kinds of homeowners insurance available.
This shows what part(s) of the home is covered in the policy, and the extent of coverage varies with the type. Common kinds of coverages to expect include:
This refers to the list of casualties that are covered by the policy. They are specifically named in the agreement, and while some policies cover more than others, there are those that cover all. HO-1 covers ten events, including damage caused by:
Any damage caused by a factor that is not on the list will not be covered for this kind of policy. The special form (HO-3) usually lists perils that are not covered, which may include:
The terms of the policy agreement state the quality of the reimbursement, whether your home or belongings are covered at actual money value or replacement cost. Replacement cost is higher than actual cash value. It covers claims of damages at current prices. For example, while your personal belongings are covered at the actual value under an HO-3 policy, HO-5 policies cover them at replacement value.
The basic policies listed above will only cover specific structures and items as listed in the agreement. However, you may need to extend coverage to an ancillary structure, for example. You will need to add more coverage in the form of riders to cover specific events.
Every homeowner needs homeowners insurance. The reason for this is that it guarantees the financial protection of their home and personal belongings.
In this article, we will discuss the basics of the standard homeowners insurance policy and what it covers.
Homeowners insurance is a policy that protects your home and belongings from damages or losses caused by covered perils, including theft and fire. It may also cover the costs you incur if a guest sustains an injury at your home or you accidentally cause damage to another person’s property.
A standard homeowners insurance policy does not have a specific cost. Instead, you can determine how much coverage you want to purchase and at what price. The cost of coverage will depend on several factors, including the features of your home and the value of your personal belongings. You also have to consider the type of insurance coverage you want.
A typical homeowners insurance covers the following:
A typical homeowners insurance covers a wide range of perils such as fire, theft, lightning strikes, hails, windstorm, etc. However, it does not cover floods and earthquakes. Consequently, you need to purchase special insurance policies to protect your home from these disasters.
This is one of the most important coverages offered by a typical homeowners insurance policy. It covers the repair or replacement of the damages to your housing structure due to some of the aforementioned perils.
Apart from damages to the structures on your property, the typical homeowners insurance also covers all the personal belongings within your home. These include your clothing, jewelry, and electronics. In short, homeowners insurance offers protection from thefts or damages to your personal items upto a certain limit. You can also buy extended coverage for items such as jewelry, fur, and watches with values above your personal property coverage limits.
Homeowners insurance also covers damages to other structures on your property not attached to your house. For example, a detached garage, fence, and tool shed.
Finally, a homeowners insurance policy covers you when a guest is injured on your property and sues you for their injuries. It covers your legal expenses as well as the related medical bills of the guest if you are found guilty.
In conclusion, homeowners insurance is an effective safety net for the unexpected perils your home and personal belongings may face. Therefore, purchase one today if you don’t already have it. At Abatelli Insurance, we can provide you with customized coverage for your homeowners insurance needs. Contact us today to get started!
Hurricane insurance is a safety net for people who reside in an area with a high hurricane risk. Hurricane deductibles (an amount that you need to pay out of pocket before your policy kicks in) are based on a percentage of your home’s value.
Therefore, if in case a hurricane destroys your home, hurricane insurance will ensure that you have adequate protection to alleviate the financial burden of repairing your home.
Hurricane deductibles are calculated based on damage classified by the National Hurricane Center or National Weather Service. Without the appropriate classification, a windstorm deductible is applied to the damages. In addition, your insurance company has a trigger for utilizing the hurricane’s deductible. Generally, the trigger is invoked if the National Weather Service declares a hurricane watch.
After analyzing Hurricane Andrew, insurance companies saw that total losses from hurricanes could be higher than originally anticipated. The aftermath of Hurricane Katrina cost insurance companies almost $50 billion. The substantial losses caused reinsurance companies to declare that they would be unable to assume so much risk moving forward.
During the Atlantic hurricane season, every coastal state is at risk. To reduce exposure to huge losses as a result of natural disasters, insurance companies are including hurricane deductibles in home insurance policies. The percentage deductibles are influenced by the level of hurricane or windstorm. Every year, more homes are at risk of severe weather windstorm damage. Once insurance companies develop deductible plans, they are reviewed by the state insurance department to ensure that it adheres to local laws and regulations.
Hurricane deductibles are applicable for damages resulting solely from hurricanes. There are also windstorm deductibles that apply based on any type of wind damage. Percentage deductibles are anywhere from 2-5 percent of a home’s insured value. You will be responsible for the amount of deductible before your insurer handles the rest of the claim. In some coastal areas that are prone to severe wind damage, the deductible may be higher. Your deductible will be based on your home’s insured value and your insurer’s trigger that determines when the deductible applies.
The New York State Insurance Department outlines that the common deductibles are between 1-5 percent of the insured amount. Some insurers use category 1 hurricanes as the trigger, while others use category 2. The State Insurance Department also requires insurance companies to offer discounts to homeowners who installed hurricane-resistant storm shutters, windows, or doors on their property. The New York Property Insurance Underwriting Association offers windstorm coverage if you are unable to find it elsewhere. The Coastal Market Assistance Plan will help you find coverage if you stay in Queens, Brooklyn, Staten Island, and parts of Long Island.
Be prepared for the hurricane season with the right insurance coverage. Want another great way to protect your home? Secure reliable homeowners insurance that protects you through disasters. Call one of our trusted advisors at Abatelli Group, Inc. We are ready to get you the protection and peace of mind you need.
The start of summer means people are readying themselves for upcoming vacations. Every year, between June and August, families, couples, and individuals opt to enjoy their summer in a foreign location. While you may be packed and ready to go, do you know to protect your home while away on vacation? A few safety precautions and quality homeowners insurance know-how will help to leave your home safe while you’re out of town.
Put these do’s and don’ts into practice so that you can kick back and relax on your vacation knowing that your home is safe and sound.
These tips can help assure you that your home is ready for you to head out on holiday. Make sure that your home is protected with the right home insurance policy. Contact Abatelli Group, Inc. for a proper policy on your insurance needs in Whitestone, New York.
Home insurance has very specific and unique vocabulary that can make understanding it fairly difficult. Policies can vary to fit the needs and budget of every policy holder, so coverage can vary widely between policies. If you have never read your policy from cover to cover, it’s recommended you set aside some time and do so. Here are a few tips on what to look for when you review your home insurance at renewal.
When it comes to your homeowners insurance, make sure that you’re protected for everything you need. Make sure that your home is protected with the right home insurance policy. Contact Abatelli Group, Inc. for a proper policy on your insurance needs.
As winter chills the temperature and natural gas prices on the rise, you may be tempted to light your fireplace and warm yourself up the old fashioned way. It can be comfortable and provide a sense of nostalgia watching the fire dance and hearing it crackle under the heat. But the fact remains that it is a live flame and the smallest spark could cause a fire in your home. Here are some fireplace safety tips to keep you and your home safe.
Clean the Chimney
The chimney is directly affected by the burning of wood. As wood burns it releases smoke, soot, and creosote, all of which are toxic to us. Hire a chimney sweep to make sure your chimney is free of any buildup; a clogged chimney can force smoke back down into your home which can cause suffocation.
Cap the Chimney
Make sure that your chimney is well capped in order to allow smoke out but disallow foreign objects in. A well-capped chimney keeps out rain and snow, along with leaves, and small animals like squirrels and birds from coming in and wrecking your home.
Use Dry Hardwood
Only use dry hardwoods, like oak, to fuel your fires. A byproduct of burning wood is a creosote, a carcinogenic chemical that builds up in your chimney. Hardwoods produce less of this chemical which is why you should only burn the hardwoods. Softer and resinous woods, like pine, are known for producing more of this harmful carbon-based chemical.
Cold temperatures are great for some unique outdoor activities: snowball fights, sledding, ice skating, making snowmen, and other fun activities. But outside of play, living in the cold can be rough. Luckily for us, we do not have to live in the cold; humanity can do what no other animal can do: change our environment to suit our comforts. If our homes are not properly ready for winter, we can essentially rack up our heating bill and waste a lot of energy. Here are a few winter home maintenance tips for your home.