So, you’re in escrow on your dream home in Whitefish, MT? Congratulations! The only thing more exciting than closing-day will be shopping for home insurance! Me, sarcastic? Never.
People tend to think of home insurance as a commodity. I cannot stress this enough: HOME INSURANCE IS NOT ALL THE SAME! Great insurance companies still sell varying qualities of coverage, which can be hard for the ordinary consumer to understand. Here’s a list of a few things to make sure you and your agent go over:
Are you planning on renting your home out at all, even if it’s just a few days here and a few days there? If so, that will completely change the type of policy you need. You’ll need an endorsement that changes the policy verbiage to allow for short-term rental exposure. If you don’t include this endorsement, you’ll end up in a world of hurt if/when you have a claim.
Does the home have a finished basement? If so, make sure you and your agent include adequate water backup coverage – a coverage I see most insurance agents fail to include.
Building costs have soared! Is the dwelling limit (coverage A) sufficient to rebuild your new home?
Does the policy you’re paying for include replacement cost coverage for the roof? Many insurance companies have transitioned to coverage that depreciates your roof based on its age, and most people don’t know this until it’s too late. If you see the words “Actual Cash Value,” this is a red flag. It’s not that much more expensive to have a policy that includes Replacement Cost Coverage, which means they don’t depreciate the roof.
I could make this a 5 page post about everything your insurance agent or insurance broker should be doing. Instead, I just encourage you to hop on a call with your agent and make sure they ask you questions. Make sure they understand your property. Make sure they actually know what the heck they’re doing, and seem to care about you!
If you don’t have an insurance agent, or you’d like to see why clients love Lone Tree Insurance, we’d love to hear from you. Feel free to call us, or schedule a time for us to call you by clicking here to schedule a call.
Thanks for reading, I we wish you all the best in your new home in Whitefish!