Cheap Homeowners Insurance from Insurance Navy
Cheap Homeowners Insurance to Protect Your Home
Purchasing a home is a big investment, it’s the American dream. It’s the first step to beginning a new chapter of your life and can be a very precious thing. As you grow with your home, you collect memories and create moments.
When something is that special, you are going to naturally want to protect it. Cheap Homeowners insurance is the key to assuring that your home and your personal property are covered following an unexpected disaster.
The world of home insurance can be a tricky one to navigate, but this post will serve as your information guide to cheap homeowners insurance, offering you advice and answers to concerns you have about your homeowner policy.
What is Homeowners Insurance Coverage?
Homeowners insurance is a type of insurance policy that protects your home and personal property in the event of a disaster. Coverage extends to the structure of your home and any other additions on the premises like a shed or garage.
Similar to renters insurance, cheap homeowners insurance will also protect you if someone gets injured on your property and needs medical attention and/or decides to sue.
Homeowners' insurance coverage can ultimately be divided into two categories (dwelling and liability), with subcategories (additional living expenses and personal property damage) fully outlining available coverage.
The full extent of what is covered under a policy and the disasters you are protected from is explored in the methodology below.
What Does Affordable Homeowners Insurance Cover?
Homeowners insurance offers you assistance in a variety of ways. While the main focus is on your home and your personal property, policies can also provide liability coverage for things like lawsuits following an injury on your property and additional living expenses accumulated after being displaced.
Outlined below is a full look at what affordable homeowners insurance covers.
Cheap Homeowners Insurance and Personal Property Coverage
Homeowners insurance covers your personal property kept within your home. This includes items like electronics, appliances, clothing, decorations, and furniture.
This type of coverage is most common in cases of fire and theft. Your personal property and valuables can also be protected when they are damaged or lost outside of your home.
For example, your policy can provide coverage if some of your personal property is damaged while being stored in a public storage unit. But you should keep in mind that there are limits to how much your policy will cover.
If the value of your personal property exceeds your policy coverage limits, then you will most likely not be able to fully cover replacement costs strictly with the insurance payout.
House And Attached Structures
Home insurance includes what is known as dwelling coverage. Dwelling coverage protects the structure of your house from the perils outlined by your home insurance policy. It also includes coverage for damage to your home’s features like plumbing, cooling systems, and heating.
Other structures residing on your property may also be covered by your affordable home insurance. These structures may include storage sheds, detached garages, and fences. Protection also covers swimming pools and driveways.
Make sure you note the specifics of your home insurance policy to understand the full extent of coverage of these structures.
Personal Liability and Home Insurance
Under this liability insurance, you are covered in the event that any of your guests are accidentally injured while on your property. Homeowners insurance will offer assistance in regards to medical payments and legal fees should the injured party sue.
Your liability policy may also apply if you or a family member damage someone else’s property. Injuries surrounding your household pets will also be covered with affordable home insurance.
Additional Living Expenses (ALE)
If your house becomes unhabitable following a disaster, homeowners insurance will help pay for temporary living expenses while you wait for your home to be repaired.
Also known as loss of use coverage, your policy may pay for expenses associated with being displaced from your house, like the cost of staying in a hotel and food.
What Damage is Not Covered by an Affordable Homeowners Insurance Policy?
Your policy may offer you an expansive list of perils it covers you after, but there are still a number of threats homeowners insurance won’t be able to help you with.
Sometimes you have to buy a whole other type of home insurance to be covered, while other times, you have no option but to pay out of pocket.
Listed below are types of damage that are traditionally excluded from the cheapest homeowners insurance coverage.
- Flood damage
- Earthquakes (including landslides and sinkholes)
- Water damage (some types; see policy for more details)
- Insect damage
- Rats or bird damage
- Wear and tear (specifics usually outlined in policy)
- Nuclear disasters
If you wish to get better coverage regarding water and other natural disasters, you could look into flood insurance or earthquake insurance.
Some locations are more prone to such accidents than others, and you want to make sure you are fully protected. What is considered to be damage from homeowners neglect (rats, mold, insects, etc.) are not covered under home insurance.
Homeowners Insurance Rates
It’s hard to give a definitive answer for how much affordable home insurance will cost you. Like every other type of insurance, premiums are personalized.
Factors unique to you and your living situation will determine your homeowners insurance rates. Some factors taken into consideration include your location, the materials used to build your house, and how much coverage you need.
On average, homeowners in the United States pay around $1,300 per year for affordable home insurance. That comes out to be about $108 per month. But keep in mind that your rates can easily be above or below this.
Home Insurance is a unique thing because your rates can be drastically different from your neighbors house. Just remember to carve out a couple of thousand dollars a year to pay for your low cost homeowners insurance policy.
You should be able to get a better idea of how much you will be spending by taking time to compare quotes from an array of insurance companies.
Get Cheap Homeowners Insurance Rates
There are several ways you can reduce the cost of your affordable homeowners insurance coverage. Taking even the simplest action can reward you with a valuable discount leading to significant savings.
Listed below are some ways customers can get a discount on their home insurance premiums.
Insurance bundle discount
Bundling your affordable home insurance with another type of insurance (ex., auto insurance, or vehicle insurance) can get you a discount on your insurance premiums.
When you bundle policies, you are putting your different types of insurance under one company.
As a result of doing so, insurance companies can offer you discounts and some of the cheapest homeowners insurance rates.
Shop around for a Home Insurance Discount
Finding the best home insurance policy at the best rate for you can be a tedious yet rewarding process. It is highly recommended that you shop around, get quotes, analyze policies, and discounts from a wide variety of insurance companies.
Look both nationally and locally. You never know who will offer you the best rate or give the most discounts.
Home modifications discount
You can the cheapest homeowners insurance rates by installing security systems and working to make your home disaster-resistant.
In regards to security, adding security devices such as burglar alarms and deadbolts to your home will make your personal property less vulnerable to theft and vandalism.
Valuables such as Jewelry and Electronics are less likely to be stolen with a solid security system. These types of security devices will then lower your insurability risk and possibly give you a rate discount.
For avoiding disasters, making the proper adjustments needed to protect your home can be beneficial.
For example, if you are in an area prone to hurricanes and flooding, you can raise your home to hopefully avoid water damage.
If you live in an area that’s prone to wildfires, having a smoke detector, fire extinguishers, or a fire suppression system built into the house could lower your rates.
Showing your insurer that you aren’t likely to have large insurance claims because their risks are lower will result in a bigger insurance premium discount in your prices.
Improve your credit score for lower home insurance rates
One way to lower premiums and get a discount is by improving your credit score. Many insurers look at a customer’s credit report in order to get an idea of how financially responsible they are.
Higher credit scores mean a company may consider you less of insurance risk and they may offer you a discount, while bad credit might suggest you neglect your finances and increase your rates.
Adjust homeowner’s insurance deductibles
Deductibles are a feature of many types of insurance, including home insurance. A deductible is a set amount of money you promise to pay in the event of a claim.
Setting a higher deductible means your insurance company will have to contribute less, and thus your premiums will be lower. Make sure you can actually pay for what you promise. Lower premiums may not be worth it if you cannot fulfill this financial liability.
What has been outlined above are just some of the ways you can save on your home insurance premiums and get discounts. For other savings you may not be aware of, try consulting an insurance agent and asking about discounts you qualify for.
Agents and brokers can be useful references for any questions or concerns you have about insurance discounts. They can also give insight into homeowners insurance not shared on a company’s site.
Homeowner’s Insurance Policy Coverage Limits
When it comes to affordable home insurance, coverage limits are very important. Coverage limits are the maximum amount of money your insurer will pay out in the event of a claim.
In the case of cheap homeowners insurance, you want coverage that exceeds the collective value of your personal property and offers adequate support in the case of a liability problem.
When it comes to determining your type of coverage, you need to take a long look at your home. To figure out how much homeowners coverage you need, you should look at your home’s structure, stand-alone structures on your property, and the value of your personal property.
Along with this, a portion of your dwelling coverage is set aside to cover repairing your home and replacing your valuables in the event of a claim.
For example, typically, 50%-70% of your dwelling coverage amount goes towards covering your personal property. You want to make sure you have a coverage limit that exceeds both the value of your home and your personal property. By doing so, you guarantee that you will receive enough payout to make the proper repairs.
Liability coverage is a separate part of your policy and calls for its own coverage limit amount. An average amount ranges from $100,000 to $500,000.
Remember, liability coverage helps pay for court and legal fees if you are sued after someone is injured on your property. You want to make sure you have a reasonable amount of liability coverage in your policy in order to cover court costs as they can add up very quickly. Lawyers alone can get very pricey.
Along with this, you need to consider coverage limits for medical payments. Medical payments are the part of your homeowners insurance that pays for the medical costs someone accumulates following being injured on your property.
One person getting hurt in your home can be very expensive with the hospital bills and legal fees.
Do You Need Cheap Home Insurance?
Legally, no. Unlike auto insurance, there are no state laws regarding homeowners insurance.
However, the absence of a law doesn’t mean it is not important coverage to have. Every homeowner can benefit from obtaining a home insurance policy. It is the key to protecting your valuables and dwelling.
If you have a mortgage loan, you even may be required to obtain homeowners insurance. Before funding your loan, your lender may ask for proof of home insurance.
Failure to prove you have coverage may actually result in your mortgage lender buying home insurance on your behalf and charging you for the cost.
The purpose of home insurance is to make sure all valuable assets are protected. It is recommended that the moment you begin looking at houses, you also start your homeowner insurance research.
No matter how safe you think you are, you can never truly know what is in store for you down the road.
Homeowner’s Insurance Policy Types
When shopping for cheap homeowners insurance, you may be met with a few different options in terms of policies.
There are eight different types of homeowners insurance policies, each featuring its own coverage levels and focuses.
It is best to understand the pros and cons of the different property insurance policies before settling on one. Some coverages may be more tailored to you than others.
HO-1 Insurance Policy
HO-1 is the most basic level of coverage. It typically protects your home from specific natural disasters. The policy lists eleven of them, including fire and hail. An HO-1 policy will also sometimes cover personal property, but this is not guaranteed.
Liability coverage may also be absent from an HO-1 policy. All that will be covered is the structure of your home. This is the lowest tier coverage you can try to obtain. Due to its limitations, few insurance companies actually offer an HO-1 insurance policy.
HO-2 Insurance Policy
Known as a named peril policy, an HO-2 policy protects your home against a variety of threats, including falling objects and lightning. Only the perils that have been listed are what you are protected from.
You and your personal property will be left vulnerable if you experience a disaster not specifically outlined on the HO-2 policy. These policies are uncommon, but you can still be recommended.
HO-3 Insurance Policy
An HO-3 policy is one of the most common homeowners insurance policies due to its full scale of coverage.
There are around sixteen different perils listed under an HO-3 policy you would be protected from. The perils listed are considered to be some of the most common ones, like theft and wind.
Your personal property and land will be protected under what is listed. If you have specific concerns, consulting with your insurance agent can help you get an idea of everything you are protected from.
HO-4 Insurance Policy
HO-4 insurance is more commonly known as renters insurance. This policy will cover personal property in a rented home or apartment.
It will not cover any damage to the structure or property the rental resides on. If you are renting a home, your landlord’s insurance will cover the home’s structure.
An HO-4 policy is just for your valuables. This is always recommended for anyone renting a space as it provides the necessary protection for their belongings.
HO-5 Insurance Policy
An HO-5 policy is much like an HO-3 policy, but its coverage for your home’s structure and personal property is more comprehensive.
Due to its inclusivity, this is a pretty expensive homeowners insurance policy. It is deemed the most comprehensive policy available to homeowners.
If your home is in a high-risk area, this policy may be worth looking into. Just make sure it fits into your budget before pursuing it. It may be appealing on paper but hard to keep up with, in reality.
HO-6 policies are intended to provide coverage for condo owners and renters living in a shared housing arrangement, it's commonly called condo insurance. This would be handy if you are the owner of one of these shared living spaces. It is a pretty comprehensive policy with expansive coverage. HO-6 policies will also typically cover the structure of the building, including walls and floors. An HO-7 policy is similar to an HO-3 policy but specifically covers mobile homes. It offers the same types and levels of coverage to a mobile home. Mobile homes are not traditionally covered by HO-3 policies. This plan does not only apply to mobile homes but also includes trailers and tiny homes. This type of policy is specifically designed for old homes that require expensive repairs or replacements. These expenses typically cost more than the cash value of the home. To be considered for this policy, your home also has to be at least 40 years old or older. Any home younger than that will generally not be covered by an HO-8 policy. Typically, this type of home insurance policy is intended for landmarks or places with historical significance. Insurance Navy offers the cheapest rates for home insurance. All you have to do is request a free quote online or call us at [855-949-6289](tel:8559496289) where our agents will provide personalized service and offer the best possible price based on your needs! Feel free to give us a call with any of your frequently asked questions or FAQ. Our knowledgeable insurance agents will help you with any questions you may have about homeowners insurance.
HO-6 Insurance Policy
HO-7 Insurance Policy
HO-8 Insurance Policy
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Homeowners Insurance may not be available in every state, please call an insurance agent for more information. *
HO-6 policies are intended to provide coverage for condo owners and renters living in a shared housing arrangement, it's commonly called condo insurance.
This would be handy if you are the owner of one of these shared living spaces. It is a pretty comprehensive policy with expansive coverage. HO-6 policies will also typically cover the structure of the building, including walls and floors.
An HO-7 policy is similar to an HO-3 policy but specifically covers mobile homes. It offers the same types and levels of coverage to a mobile home.
Mobile homes are not traditionally covered by HO-3 policies. This plan does not only apply to mobile homes but also includes trailers and tiny homes.
This type of policy is specifically designed for old homes that require expensive repairs or replacements. These expenses typically cost more than the cash value of the home.
To be considered for this policy, your home also has to be at least 40 years old or older. Any home younger than that will generally not be covered by an HO-8 policy.
Typically, this type of home insurance policy is intended for landmarks or places with historical significance.
Insurance Navy offers the cheapest rates for home insurance. All you have to do is request a free quote online or call us at [855-949-6289](tel:8559496289) where our agents will provide personalized service and offer the best possible price based on your needs! Feel free to give us a call with any of your frequently asked questions or FAQ. Our knowledgeable insurance agents will help you with any questions you may have about homeowners insurance.