Home insurance tips and tricks: 9 things you need to know

Posted on April 21, 2014 by Canada Post in Living

Do you find it confusing to shop for home insurance? Protecting your home, which is probably your greatest investment, is a big responsibility. Learn how to find the best coverage at a reasonable rate. Here are some tips and tricks to help you make the right choice.

1. Cut your home insurance rate

Choose a higher deductible for immediate savings. Get an average 15% savings by combining your home and auto insurance. Are you over the age of 50? Ask if you qualify for a senior’s discount.

2. Find out what isn’t covered

Most policies don’t cover damage caused by earthquakes, landslides and floods from rivers, lakes and waves. Insurance companies also don’t cover damage from frozen pipes, because this is considered a preventable issue.

3. Try to get flood insurance

In general, flood insurance is usually not covered in most insurance policies. But as extreme weather events become more common, it may be available in some forms. The price depends on your home’s risk of being flooded. Be sure that your flood insurance covers replacement costs, rather than original purchase prices.

4. Prevent water leaks in your home

When water slowly leaks into your home through foundation cracks, windows, or a leaky roof, you are not covered by home insurance. To prevent water seepage: keep your gutters clean, re-caulk your windows, and check your external walls and basement walls for cracks.

5. Update your insurance after any changes

If you’ve built a new fence, upgraded the bathroom, or replaced an old kitchen counter with an upscale surface, make sure you update your insurance policy. You will need to include the increased value of the home improvements and renovations.

6. Choose tenant insurance if you are renting

This affordable insurance protects you from being financially liable for any harm done to your building or other suites and businesses. Tenant insurance protects you if you accidentally start a fire or have an overflowing bathtub. Plus it will replace the cost of your belongings and clothes, which can add-up quickly.

7. Get coverage for your home-based business

Are you planning to run a business out of your home? You’ll need extra insurance to cover replacement costs and liability. Get coverage with a rider ($100), an in-home business policy ($250-$500) or a business owner’s policy ($500+).

8. Make an insurance inventory list

Create an inventory list of the items in your home for insurance. If you need to make a claim in the future, this can make the process much easier. One way is to make a video of each room in your home, including the shed or garage. Zoom-in on the make and model numbers for appliances and tools or anything expensive. Update your inventory once a year and store it somewhere other than inside your home.

9. Keep your insurance documents safe online: Use the epost Vault

Looking for a safe place to store your insurance content inventory video? The epostTM Vault allows you to securely upload and store all your important documents such as insurance papers, wills, birth certificates and more. You can access your personal files at anytime and even share them with those you trust.