Most people's houses are their most significant investment. It isn't easy to protect your investment without home insurance. Therefore, reading your insurance policy and understanding it entirely is critical. Unfortunately, policies are often tough to understand and complex, sometimes intentionally. Our public claims adjuster in Hillsborough County is here to clarify some common myths about homeowners' insurance coverage.
Many homeowners are tempted to document additional losses because they hope to get plenty of value from their policy and believe everybody does it. Truthfully, it is way better to be genuine with your insurer. If your carrier has any proof of you making deceitful claims, they will closely monitor all your future claims. Even small lies may destroy your relationship with your insurer, and you can be arrested for fraud in severe cases. So, if you consider dubbing your 42-inch TV a 60-inch, you may want to rethink it. Insurance carriers are experienced in handling exaggerated claims.
It's not surprising that individuals get confused about this and believe their insurance covers personal injuries when they get hurt at home. Unfortunately, this is usually not the case. Typically your health insurance provider covers your medical expenses. Your policy probably has liability coverage designed to defend the liability of your guest being hurt on your property, not you and your household members. If you have careless friends and relatives who manage to injure themselves on your property, consider obtaining no-fault medical coverage to add to your policy. This way, your visitor's costs are not linked to your liability coverage. It pays for itself in only two or three injuries.
This situation can be pretty misleading. You may believe it makes the most sense to insure your house at the market's worth, but the best choice is to insure it for what replacement and rebuilding would cost. This is especially critical in locations where house prices are skyrocketing because you will pay a premium for your policy if you use the market value. However, your residence won't cost near that much to replace or reconstruct, which is all your policy pays out. On the other hand, if you reside in a depressed market, you may not insure your house enough to replace or rebuild if there is a catastrophe if you use market value. So be certain to work with your insurance company to guarantee you have enough coverage in case of a complete loss catastrophe.
If your home burns to the ground in a disastrous fire, you may believe everything in your dwelling is protected under your insurance policy. Unfortunately, this is not always true. For instance, some companies have coverage limits for particular property, like rare objects or jewelry. If you own a surplus of these objects, your carrier might expect you to purchase an add-on or endorsement to protect their worth. Talk to your carrier today to confirm all your property is protected in case of a catastrophe.