Take the time to review coverage to ensure it suits your current needs.

All too easy, homeowners renew their insurance without a second thought – or glance – at the policy. Unfortunately, this can be a costly mistake to make. Policies are customized to fit the needs of each policyholder and home. More often than not, your home, lifestyle or needs will have changed since you secured or last reviewed your policy.

To know the situations in which you are and aren’t covered, review your coverage. Check out these tips to get started.

Structure

This coverage is the amount that it would cost to rebuild your home if it were completely destroyed by a covered peril. Be sure that you don’t confuse the home’s value for the price that you paid for it. The cost likely includes the plot of land. If your home were to be destroyed, you wouldn’t need to rebuy the land.

Contents

Contents coverage is typically set between 50 and 70 percent of your home’s value and can help to repair or replace your belongings if they are damaged or destroyed at the hands of a covered peril. Even though you may have coverage, every policy has its limit. If you have a rare art collection, antiques, fine jewelry, and expensive items, you may not be adequately covered. The best way to determine if you have enough coverage is to create a home inventory and go over it with your insurance agent.

Liability

Liability coverage is an absolute must. If someone is injured on your property, you may be held liable to pay for their medical expenses. Furthermore, he or she could sue you if they deem the injury as a result of your negligence. Liability risks such as owning a dog and having a pool must be factored into a policy.

When is your homeowners insurance policy up for renewal? Find out how to stay on top of your coverage by talking to the professionals at Martplan Insurance Agency. We serve homeowners in La Habra, California and neighboring cities!