Reviewing your homeowners policy should be a part of your annual checklist, just like filing your taxes is. There are many reasons why your homeowners insurance policy may need to be updated. Things such as changes in home or personal property valuations, new additions to the cosmetics or home features can affect your rates significantly.
Things to consider informing your insurance company when reviewing your policy are;
Home Improvements – If you decide to renovate your kitchen, finish the basement or add an extra bedroom, this will increase the replacement cost of your home. It’s important to adjust this coverage in your homeowners policy accordingly.
Property Value Increase – If the last time you reviewed your insurance was when you first bought your home, it would be wise to check that your coverage has adequate reconstruction cost value reflective of today’s market value.
Home Protection Systems – Whether that be a central alarm system for burglary and/or fire. Or a smart water leak detector that monitors your water usage. Any upgrades to your home should be noted with your insurance carrier as well.
Checking Discounts – Insurance companies continually change the discounts they offer, so ask your agent for a full list of current discounts to see if there are some you can take advantage of to reduce your premiums.
So as stated above, a home insurance review could lead to additional savings on premiums.