Home Insurance

  
Home Insurance can encompass a range of residential insurance options, including homeowner's insurance, condominimum insurance, and renter's insurance. The purpose of home insurance is typically two-fold. First, you want to protect the dwelling structure itself. This means determing the value of the structure and the cost of replacing it if there was a total loss.

The second purpose of home insurance is to protect your personal property. When you think of what is included under personal property, think of everything in your home that would fall out if the home were turned upside down. That is the stuff that is covered under personal property coverage. 

Renter's policies are unique in that they only cover your personal property as opposed to covering the dwelling value of your apartment or rented residence. This means that in general renter's policies tend to be much more affordable than people expect to protect their personal property and protect themselves with liability protection. 

Condo policies can be unique based upon what is required in the master policy. Some condo master policies are what we call "all-in" policies. This means that the condo association assumes responsibility for replacing the entire structure in the case of a total loss, including rebuilding the frame, and the interior of the condo. The only thing that needs to be covered in these condo policies are your personal property and enough coverage for any updates that you would want to be made to the interior.

If a condo policy is a "studs-in" policy, that means the association assumes the responsibility of rebuilding the structure of the condo in the case of a total loss, however as the policyholder you are responsible for replacing everything from the walls (or "studs") inward. This means you need to have enough coverage to replace floors, walls, cabinets, plumbing, and more. In this case, you should have a higher level of coverage for your condo than an "all-in" policy. To figure out what condo policy you need, contact your association and ask what type of insurance you require based on your master policy.

There are several parts of a typical homeowner policy that you should be aware of:

  • Dwelling A (Dwelling Coverage) - This is the maximum amount of insurance that will be spent to rebuild your home
  • Dwelling B (Other Structures) - This is the amount of insurance that covers other structres on the property such as a detached garage or shed
  • Dwelling C (Personal Property) - This is how much of your stuff is covered by insurance
  • Dwelling D (Loss of Use) - This covers your expenses if you need to be relocated in the case of a total loss while the home is rebuilt
  • Liability Coverage - The amount of coverage you have in a litigious situation for something that happens on your property
  • Medical Payments - Medical payments cover emergency medical costs for guests injured on your property
  • Deductible - The amount of money you will pay out of pocket before insurance kicks in to cover the remaining claim

Here are some discounts to be aware of when shopping for homeowners insurance:

  • Multi-Policy Discount – More than one insurance policy with the same company
  • Claims Free Discount – No claims in the past 3-5 years depending on company
  • Advanced Quote ­– Discount for making a down payment days in advance of the policy starting
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You should also be aware that all of Insure New England's Home Insurance policies are written with full replacement cost of your home and your property. Many insurance companies will only write Actual Cash Value (ACV) policies to make the policy cheaper. If you have an ACV policy, that means your home and your property will be replaced minus depreciation. For an older home and older property, that could mean the difference between tens of thousands of dollars! Insure New England writes full replacement cost policies meaning your home and property is covered up to full functional replacement value.

Reach out to Insure New England today for more information or get a free quote through our website!