4 Questions to Ask a Home Insurance Agent

Whether you have purchased an insurance policy on your own before or not, it can feel like a challenge. You probably have questions for your insurance agent you want answered. According to Comfy Living, 85% of homeowners in the U.S. have insured their homes. Homeowners insurance can be complex, so it is normal to have some questions. Read below to discover the top questions you should ask a home insurance agent.

1. How Are Homeowners Insurance Rates Calculated?

Homeowners insurance is calculated based on a couple of factors. Home insurance rates are usually based on coverage limits as well as the likelihood of future losses occurring. The way something like this is calculated is by analyzing the history of loss for both the potential homeowner as well as the actual home. Make sure you ask your homeowners insurance agent about this.

2. What Is Covered?

Under a home insurance plan, just like any insurance plan, there may be things that are not covered. Asking your home insurance agent what is covered in a specific policy will help you choose the right plan for you.

3. What Should I Set My Deductible?

There is no specific answer to this question. Your home insurance agent will help guide you in the direction that is best for you. The higher your deductible is, the lower the cost of your insurance premium. The deductible is the amount that the insurance company will deduct from an insurance payout. That being said, your deductible needs to be an amount that you would be comfortable paying out-of-pocket after a loss.

4. What Is the Dwelling Coverage Limit?

Dwelling coverage is defined as the maximum amount of money the insurance agency will pay to rebuild your house. Ensuring that this has been recalculated recently will reduce the risk of running out of coverage in the event of a total loss. Talk to your local homeowners insurance agent to get all of the details about your home's dwelling coverage.

Asking your homeowners insurance agent these questions when you are purchasing a plan will help you in the long run. Unexpected financial responsibility can happen if you make assumptions about your policy rather than asking your agent. Rollo Insurance is proud to provide residents of Dripping Springs, TX with premium home, auto, and business policies that fit their needs. Don't hesitate to contact our team of insurance agents today for more information!