Home insurance can be valuable, but only if you know what you’re covered for under your policy. Here are some commonly held misbeliefs about house insurance to make your insurance experience as transparent as possible.
I’ve bought Home Insurance, so my home is always covered.
False. Some policies require specific actions to be taken if you leave home on vacation. Sometimes you will need someone to visit your home every 24 hours or shut off the water supply.
There are also other restrictions on your home insurance, such as rules about businesses being run from the premises.
It’s always prudent to look at your policy wording to see if any changes to the use of your home could affect your policy. If you’d like one of our experienced representatives to look at your current policy, we are always happy to help clarify.
All my contents are covered under my home insurance.
False. Your policy will have a specific limit for contents. Often this amount is adequate, but it’s always a good idea to confirm that it’s enough to cover you. Keep in mind that the policy is there to protect the replacement of your old items with new items, not just the depreciated value of your belongings.
Your policy may also have specific items restricted further under the contents coverage. Often these are higher-value objects with a higher risk of theft, such as jewelry or bicycles. Ensure that your policy has adequate coverage for those items; otherwise, talk to your insurance provider about adding extra insurance for those items.
I’m still fully covered when renovating my house.
False. Ensuring you’re fully covered during the renovation process would be best. You’ll also need to review the new renovation with your representative to make sure the value of your home is reflected on your home insurance policy.
My insurance rates will skyrocket if I have a claim.
False. Most companies provide a discount for being claims-free. However, some companies offer a claims forgiveness policy. Those policies will prevent your rates from increasing due to a claim. These policies are primarily provided to clients with good insurance histories.
The Team at Harbord is insurance experts. We are always happy to answer any questions that you may have about house insurance. Feel free to e-mail us your questions or call us Monday to Saturday from 9-5 at 250-388-5533.