Commonly known as “Hazard Insurance” in the mortgage industry, home insurance in Lawrenceville, GA covers any damages to your dwelling that is covered by your policy. This is calculated as the full cost of replacement less your deductible. In the simplest of terms, this means that the total repair costs will be whatever is current with no deduction for age depreciation. Conversely earthquake, flood, general maintenance issues, and termite infestation are not covered items.
Basic Homeowner Insurance Terms
Appraisal – an evaluation of your claim that is conducted by an authorized insurance company employee. This is the individual that determines the value of the damage as well as the value of your property.
Deductible – the amount the insured homeowner absorbs/pays on covered losses. This is charged once per covered loss. A deductible is required. (NOTE: the lower your deductible amount, the higher your premium payment and vice versa.)
Personal property – other than your land, this is any tangible property, movable or temporary and includes items such as electronics, furniture, jewelry, etc.
Premium – the cost of your home insurance policy in Lawrenceville, GA in dollars. You can choose to pay your premium annually in a lump sum as well as monthly, quarterly, or bi-annual payment plans. Furthermore, many companies offer discounts when the policy is paid once annually. You can include your homeowner coverage in your mortgage payment which in turn pays your premium to your insurer through your escrow account.
Additional recommended Coverages
If you include other coverages beyond your dwelling under your policy, there will be additional charges for each one selected. For instance there are coverages for:
- Liability – covers the personal injuries to others and any damages to their property if it is your fault. A deductible will not usually apply under this coverage.
- Medical coverage of other individuals – there is a smaller coverage limit for medical expenses when guests or non-guests get injured on your property. A deductible will not usually apply under this coverage.
- Other structures on the property – structures that are not part of your home including fences, gazebos, storage buildings, swing sets, etc. are covered.
- Personal property – covers damages to the contents of your home such as clothing, computers, furniture, kitchen cookware, pictures, and shoes.
Along with dwelling coverage, The Ephraim Group urges you to consider the 4 listed above when you are considering getting a home insurance policy in Lawrenceville, GA from our company.
You have a kitchen fire and need repairs on your cabinets, countertops, and walls. Along with any kitchen appliances, dishes, furniture, pots and pans, utensils, etc. that are also damaged, you’ll be covered for all of this under a single damage claim that includes a single deductible. You do not have to pay a deductible for each item.
You’re probably wondering if you should make a claim whenever you can. The answer is NO you shouldn’t. We have seen individuals file a $700 damage claim when they have a $500 deductible to pay up front. All they saved was $200. Granted, since they are paying for home insurance coverage in Lawrenceville, GA, they have every right to file a claim.
Let’s take this scenario a few months down the road. The water line that fills your washing machine breaks and floods your home. Since this is a much larger claim than the one above, it benefits you to file a claim for damages. However, you now have a new problem to contend with. It’s renewal time and since there were 2 claims filed in the last year, you insurer refused to renew your policy.
In conclusion, it can be extremely costly when you do find another insurance company to insure your home. Every year, you’ll be paying higher premiums as a result. Most insurance companies have an issue with frequent claims. The Ephraim Group strongly recommends that you do not make smaller claims because you never know if the next one is going to the “BIG” claim.
Needless to say you should always discuss this with your home insurance agent in Lawrenceville, GA, provided he or she has your best interests in mind, not just their company’s. For more information on homeowner insurance, please contact our company and speak with a representative at your earliest convenience.