Common Myths About Home Insurance

Home insurance is one of the most important investments you can make to protect your home, yourself, and your belongings. Unfortunately, there are many myths about home insurance that do not allow you sometimes to make an informed decision and pick the right policy. Associated American Insurance serving Manchester, NH, and surrounding areas has prepared the list of most common myths that you should know:

Flood damage is covered by a standard home insurance policy

In fact, home insurance does not cover damages caused by a flood.  Therefore, in order to protect your home from floods, you have to purchase a separate flood insurance policy. 

I do not need to waste my time by making an inventory list

An inventory list is extremely important because it is proof of your ownership. When you file a claim, you will be asked to provide a list of items that were lost or damaged. Therefore, to make sure you do not forget anything, having an inventory list is a good idea. 

Home insurance covers all valuable items, including jewelry and antiques

A standard home insurance policy has limited coverage on valuable items. If you have really expensive possessions, it is worth getting additional coverage for them.

The premium increases every time when I file a claim

A single claim will not increase the premium. However, the premium may go up if you file multiple claims. Therefore, it is recommended to estimate the cost of repairs first before filing a claim and decide whether it is more reasonable to pay for the repairs yourself. 

Now you know more about home insurance, which will help you make the right decision and pick a home insurance policy that you really need. If you still have questions about insuring your home, experienced insurance agents from Associated American Insurance serving Manchester, NH and surrounding areas are always ready to assist. All you need to do is to visit our website or give us a call.