Insurance 101

Insurance 101-The Learning Curve Series: Insurance Inspection, Why?

I just paid to have an inspector look at the home and the lender approved my home but the Insurance Company also inspected the Home and says I have to remove the moss, Whats going on?

Buyers please remember that the two inspections are for different reasons, For example the inspection for the loan might note there is excess wear on the roof or that there is moss on the roof. The roof will last a few more years but the chances of an insurance claim may go up dramatically.

The insurance looks at the moss and the used up roof as is there may be a future claim. The Insurance company is in business to pay for damage and the risk of the wind blowing off the roof and the water damage may be more than they are willing to take at a preferred rate.

The lender may be willing to loan because they dont have to pay for a wind damaged roof. These and many more questions about Insurance Inspections are just a phone call away.

Insurance 101

Insurance 101-The Learning Curve Series: How to Shop for Home Insurance

What do you look for when shopping for Home Insurance? Most people just look at the cost and think all Home Insurance policies are exactly the same. This is not true.

Look for these variables.

Coverage, this is the easiest part. Is the limit of coverage for the dwelling enough to rebuild it?

Features, do you want add on features that broaden the coverages in the policy?

Benifits, does the policy provide you with the benefits you desire?

Is the company strong and financially able to pay its claims?

Do want to work with an agent, an agency, mail order, or internet?

I recommend interviewing trusted recommended  professionals that you are referred to. I know that most of my customers come directly from referrals. Ask your Realtor and Lender who they have a good experience with, who takes care of their customers quickly and accurately.

Insurance 101

Insurance 101- The Learning Curve Series: What Factors Make Up My Insurance Pricing?

There are many Factors the go into the Pricing of an Insurance Policy. Some of these are age of the home, location to fire protection, condition of the structure, presence of hazards, Insurance Scoring which may include credit, prior claim history, and building materials.

Many companies give great discounts for having protection such as smoke alarms, deadbolt locks, and fire extinguishers. Also discounts for having both the Home and the Auto Insurance with the same company.

For more information contact an Insurance Agent.

Insurance 101

Insurance 101- The Learning Curve Series: Insurance Binders

What is a binder and why do I need one? When you are buying a piece of Real Estate you typically leverage your purchase and put some of your money as a down payment and secure the balance with a Mortgage. The lender wants to make sure you that you are a good risk and that the property  is protected in the event of a loss so they don’t lose the money they loaned you. This is their investment in your property.

The lender then requires you purchase Insurance naming them as a loss payable on the policy. The Insurance Agency then applies for a policy and issues a Binder (coverage) and sends it to the lender. The Insurance Company then reviews, inspects, and evaluates the application and if acceptable issues the policy.

It is important to get this part of the process handled before going into closing the transaction (No Binder no Loan).

Insurance 101

Insurance 101-The Learning Curve Series: Renters Insurance

Why this topic on a Real Estate Web Page? It is important to know that either while waiting to purchase a home or if you sell your home and you are in flux to get another home you still have insurance needs.

A Renters Insurance policy is a Contents and Liability policy that provides Valuable protection. Look up Home Insurance in this series and think about Renters Insurance as a Home Insurance policy without the home.