Welcome to National Homeownership Month!
June is a celebration of one of life's greatest milestones: homeownership. Alongside the joy of having a place to call your own, new homeowners face the myriad responsibilities of maintaining and protecting their investment. Among these, understanding and managing your insurance is crucial. In this post, we'll explore three essential insurance tips to help secure your new home. Understand Escrow and Insurance Premiums
Many homeowners are introduced to escrow through their mortgage payments, where the lender collects funds to cover yearly property taxes and insurance premiums. This arrangement simplifies payments, but it's important to remain vigilant. Even if you're billed directly by your insurance company, your lender typically handles these payments from the escrow account. Always confirm any discrepancies with your lender to avoid coverage lapses. Consider Additional Coverage
Standard homeowner policies cover a lot, but not everything. Consider additional protection by reviewing your liability coverage, umbrella insurance, and most notably, flood insurance, as floods aren't typically covered under standard policies. Evaluate your risk for potential flooding and adjust accordingly to ensure comprehensive protection. Review Your Life Insurance Coverage
Buying a house often necessitates a review of your life insurance policy. If you've upsized, you might need increased coverage to fully cover the mortgage in case the unexpected happens. Alternatively, downsizing your home might allow you to adjust and potentially lower your expenses. Regular assessments can ensure your policy aligns with your financial priorities.
Understanding home insurance is not just about protecting your property but also safeguarding your financial future. For personalized advice, consider reaching out for a policy review or consulting a financial expert. Keep informed and proactive—your peace of mind is worth it.
