Are you a homeowner or plan to be one in the near future? Do you not yet have a homeowner’s policy or are having trouble understanding the one you currently have? If so, there is no need to be concerned. Although homeowner’s insurance may seem to be a complicated subject, it is relatively simple to understand.
Some insurance policies will cover just about everything, while others will only cover a handful of “perils” listed on the policy (a peril is a specific cause of loss). A policy that covers just about everything (or actually does cover everything) is known as an open-peril policy. A policy that only covers certain perils, such as wind and hail, is a named-peril policy. What you want to obtain depends on the risks you are willing to take. Not worried about a fire breaking out or having your home broken into? Then perhaps you should get a wind and hail policy as those are the two most common types of insurance claims filed. Don’t want to take any risks? Then consider getting an open-peril policy.
So what do you do if your home is damaged? If you believe that the damage to your property exceeds your deductible (the amount of the loss you are responsible for) and the damage is resulting from a peril you believe is covered, contact your insurance company! Generally, they will send out an estimator or an adjuster. The standard timeline is that the representative will contact you within 24 hours to schedule an inspection and will inspect the property within 7 days. Depending on your insurance company and the nature of your loss, the representative may be able to provide you with an estimate for repairs and a settlement check while on-site. In some cases, you may have to wait for your claim to be settled. The amount of time this takes depends on a variety of factors, the most common of which is the number of claims being handled by the company. After hurricanes, for example, it can take up to two weeks or even longer for insurance companies to settle.
Although insurance companies sometimes get a bad rap, many are ready and willing to go to great lengths to provide their insured customers with the service they deserve. Instead of taking a huge risk and letting your property go unprotected, it is highly recommended that you do your due diligence and at least research your options. You never know – having an insurance policy on your home could be one of the best decisions you’ve ever made! Talk to your local Velox Insurance agent for a free homeowners insurance quote from multiple carriers and they will help you find the coverage that is right for you.