One of the biggest investments we can make in our lifetime is buying a home, and it’s rightfully so that we should insure them properly. According to Nationwide, two out of three homes are underinsured, with the underinsurance amount averaging 22%. So what does this all mean?
Underinsurance, simply put, means that your home insurance policy only covers a portion of your losses in a claim. This usually happens due to coverage limits and exclusions. Some other events that may lead to underinsurance are not accounting for construction costs, not understanding what’s covered, undervaluing your property, and not reporting home upgrades to your insurer. It’s important for the insurer to also ask the proper questions to have an accurate home insurance evaluation.
Checking if your home is properly insured can save you thousands of dollars in out-of-pocket costs, in case of an emergency where you must reconstruct your home. Rebuilding a house is expensive, so be sure to have as much of it insured as possible. The lower the underinsurance rate, the better!
An Insurance Agent’s quick response and good follow-up can make a difference. Representing over 50 major Insurance Carriers, offering exceptional discounts and 24 hour service. Abbott/Milano Insurance Agency has been servicing Home insurance, Auto insurance, Commercial Insurance, and Workers Compensation in NJ, NY & PA for over 60 years. Languages spoken: Spanish, Portuguese, Filipino and Polish.