Monday 13 April 2015

Providing For Domestic Disasters Through Home Insurance Katy TX

By Joanna Walsh


The home is an important place to its owners, and they usually spend a lot of time and money on making it the place that they want to live in, and also invite their friends and relatives to. People take pride in their homes, and invest not only in the physical structure of the house or apartment, but also in the furniture and other assets they require. Of course, there are various threats to the security of the home, and these can be mitigated with home insurance Katy TX.

Problems affecting homeowners are well known, and usually simple in nature. There are natural disasters, such as adverse weather or flooding and fires, and then there are the troubles caused by human agency, such as theft or deliberate damage. As expensive as the home and its contents are, it is attractive to homeowners to try to preempt serious financial loss through home insurance.

A home insurance contract or policy should handle all of these threats. Yet the homeowner still needs to understand how the policy operates, by paying attention to the established, fundamental rules in the insurance industry, so that they are able not only to comply with the policy but also to make successful claims, should the need arise. They will then also be able to understand how the amount of the monthly premium is arrived at.

As a rule, the premium increases with the value of the insured property and/or goods, so the more expensive your home is, the higher your monthly premium. This is why people sometimes try to reduce their premium through the exclusion of valuable assets, such as family heirlooms or authentic art pieces that cannot be replaced and which are very high in value. The attitude is that a duplicate of the asset cannot be purchased if it is destroyed, so there is no point in trying to insure it. The asset is then omitted from the policy, thereby reducing the premium.

Insurers also take into consideration the security in the home. Sometimes, they insist on certain security features as a minimum requirement of the policy. These features may be burglar bars or alarm systems. The greater the possibility of crime, the less likely the insurance firm is going to be to grant the policy. An unsafe property does not merely equate to a higher premium - it may actually scupper the proposed policy entirely.

Concerning the physical structure of the home, the insurer may also impose requirements. As a basic principle, municipal building regulations need to be adhered to. Otherwise, the policy is invalid and the insurer won't pay out in the event of (avoidable) fire or other damage, or even issue the policy. Household fires or water damage are not unusual, but if the property has not been properly inspected and certified then the insurer is not going to interested in paying the claim.

A final point is that an insurance contract is legally regarded as one which requires the utmost honesty, on the side of both parties. The insurance company cannot physically verify every single detail of the property and its contents, or may not try to. This is not an opportunity to manipulate the policy for financial motives. If the homeowner supplies incorrect information, not only is the policy worth nothing, they may even be prosecuted.

Insurance is a method of offsetting the sometimes immense financial loss that is associated with crime and natural damage to the home. If one looks at the expense of establishing and maintaining the home, this is an important option to consider for homeowners.




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