It’s always a good idea to start shopping for Putnam Connecticut homeowners insurance prior to buying a new home. Here are a few useful tips for buying homeowner insurance designed to save you both time and money. For example, most agents use a cost estimator to figure cost replacement estimates, which will help ensure that the house is insured for the correct amount.
Replacement cost coverage is how an insurance company helps protect the homeowner who has suffered a loss from having to pay additional construction costs to rebuild or replace any damaged materials. It may cost more to rebuild because of inflation, or simply because material prices have increased since the house was originally purchased.
The insurance agent needs extensive information in order to give you the best quote for the policy you wish to purchase. To determine insurability, an agent will generally ask when was the home built, how old the plumbing and electrical is, and what type of roof is on the structure. In addition, he or she will also need to know what is the square footage, where the home is located.
For instance, if the home is located in a rural area (without a nearby fire department or where there’s no fire hydrant on the street) some companies may be reluctant to insure. When this is the case, a new homeowner may have to inquire about coverage at a specialty or surplus-lines company, and this quote might often take longer to obtain.
Having a higher deductible on the policy will usually save money as well. Typically, insurance companies start giving discounts at a $500 deductible and increase the discount as the deductible increases. Most companies offer deductibles up to $10,000 or more.
Ask about available discounts
A new homeowner should make sure they’re getting credit for added security, such as an alarm system that reports to a central station. This often makes a homeowner eligible for a discount. You should call your local agent and review your Putnam Connecticut homeowners insurance policy at least every two to three years. Staying up-to-date on your insurance policy can be vital when you actually need to rely on it.