Whether you are purchasing your first home or your 15th, homeowners insurance is a very important part of the process. Lenders will require you carry homeowners insurance to not only protect your investment but theirs as well.

With that being said our main focus is to provide you with coverage to protect your greatest investment all while making sure we keep your costs down because we all know in the land of “homeownership” the unexpected happens. So let’s protect it.

What you Need to Know about Homeowners Insurance

Dwelling– This is another fancy word we use in the insurance world for your “home”. The building at it’s core is what will be covered under this coverage. It will pay for damages and/or total loss of your home in the event you have a loss.

Personal Contents– A great way we describe this to our clients is if you flipped your house upside down… everything that were to “fall out” would be considered personal contents. Anything that stays in… Dwelling. This is going to cover items such as furniture, appliances, or your clothes if they are damaged, stolen, or lost in a claims situation.

Medical Payments Coverage– In the State of Arizona this coverage would cover medical bills for a person hurt on your property.

Liability Coverage– Protects your family from financial risk if they are found negligent or legally responsible for another parties injuries or damages while on your property. This coverage is often overlooked because the minimum in Arizona to have is 100,000. Make sure to review this coverage with your agent and make sure you have enough. 100,000 might seem like a lot however in most cases where you are found negligent or being sued… it’s gone before you know it.

Loss of Use– This coverage is going to pay for additional expenses incurred due to you being unable to reside in your residence due to a claim. A great example of this is if you had a complete fire loss on your home and needed to live in a hotel if your policy had this coverage (most include approximately 10-20% of your dwelling coverage unless specifically mentioned differently) your insurance policy would pay for you to reside in the hotel and/or other expenses you might have from not being able to live in your home.

Endorsements & Additional Coverages

The other important thing to keep in mind is there are additional coverages you may want/need on your homeowner’s insurance policy. A good idea would be to call your local agent to find out if any of the below coverages would be of value to you.

• Scheduled Jewelry/Fire Arms/Fine Arts etc Protection
• Extension to a Secondary Residence
• Identity Theft Coverage
• Water Back Up of Sewer or Drains
• Tree Removal Coverage
• Mold Limited Fungi Coverage
• Watercraft/Jet Ski Coverage Option
• Business in the Home

There are many other endorsements, but the one’s listed above in the State of Arizona are common endorsements to you see on a lot of homeowners insurance policies.

The “Must Know’s” when purchasing your homeowners insurance policy

1. Your agent should have done an estimated replacement cost. This is where together we would determine the minimum cost to replace your home . This is a key component in making sure you are adequately covered.
2. FLOOD INSURANCE IS NOT INCLUDED
3. EARTHQUAKE COVERAGE IS NOT INCLUDED
4. Pick a deductible that works for your budget and your family
5. What happens if you need to file a claim? Make sure you have a plan in place with your agency team.

Just remember… when purchasing your homeowners insurance policy it is important to ask questions if you have them.

You are never a bother and at Icon Insurance Solutions we will share every piece of information with you so that way together we can make the best decision for your family.