Homeowners Insurance Checklist

In the event that your home is ever damaged, it is critical that you have adequate homeowner’s insurance coverage. Homeowners insurance is a type of insurance that covers your home and personal property.

Unfortunately, many people do not realize they are underinsured until it is too late. Allowing this to happen to you is not a good idea. Keep a lookout for the following.

Get replacement cost coverage.
Is your home covered for replacement value in the event of a total loss? For peace of mind, choose guaranteed replacement value; this way, you'll be happy you did in the event of a total loss.

Have you considered coverage for loss of use?
You will have to relocate if you are unable to dwell in your home while it is being repaired or rebuilt. The cost of a hotel or an apartment may be far greater than your regular costs, so be sure you're covered in case of an emergency.

Do you have a home inventory?
Insurance companies typically cover the contents of your home for 54 percent to 73 percent of the value of your home. Make a list of all of your home's items to get a more accurate estimate of coverage requirements. An inventory also provides you with an itemized record that may come in handy if you ever need to file a claim.

Is your home subject to flooding?
Floodwater damage is not covered by a standard homes insurance policy. If you want to buy flood insurance, talk to your agent.

Do you have any fine art, guns, or expensive jewelry? Jewelry, antiques, souvenirs, firearms, silver, furs, and electronics all have a high monetary worth. A typical homeowner’s insurance policy will only cover valuable objects above certain value or amount, so you may wish to add a rider to get needed coverage.

Do you have coverage for loss of use? You will have to relocate if you are unable to dwell in your home while it is being repaired or rebuilt. The cost of a hotel or an apartment may be far greater than your regular costs, so be sure you're covered in case of an emergency.