Congratulations on becoming a homeowner! Owning a home is a significant achievement that comes with a sense of security and pride. However, homeownership also comes with its share of responsibilities and risks. One aspect of protecting your new investment is understanding and securing the right insurance coverage for you. In this blog, we’ll review tips for selecting your new policy and reasons to consider supplemental disaster insurance.
Tips for First-Time Homeowners
- Assess Your Risk: Did you know that nearly one in four U.S. adults say they don’t have emergency savings and that there were a record 28 weather and climate disasters (costing $1B each) in 2023? Research the natural disaster risks most likely to affect your area and prioritize supplemental insurance accordingly to support your emergency savings.
- Compare Policies: More than 70% of disaster damage from the past 10 years has not been covered by insurance. Compare different insurance providers, policies and supplemental insurance offerings to find the best coverage at a reasonable price for your needs. Read customer testimonials and pay attention to any coverage limits, exclusions and deductibles.
- Understand Policy Details: Read the fine print to understand the coverage and exclusion areas in your policy. Be aware of waiting periods, claim procedures and any other conditions that may affect your coverage.
- Regularly Review Your Coverage: As a homeowner, periodically review and update your insurance policies to reflect any changes in your home’s value, including renovations or risk factors.
Understanding Supplemental Disaster Insurance
Standard homeowners insurance policies provide coverage for a range of incidents like fire, theft and certain types of weather damage. However, they often exclude the costs that come with specific natural disasters such as floods, earthquakes and hurricanes. Supplemental disaster insurance can fill these gaps, ensuring that your home is protected against an array of potential risks.
Reasons to Consider Supplemental Disaster Insurance
- Geographical Risks: Your home’s location plays a large role in determining the types of insurance coverage you need. Disasters can be costly, and if you live in an area prone to extreme weather, you might consider supplemental coverage to cover those unforeseen expenses.
- Financial Protection: Natural disasters can cause damage that standard insurance policies won’t cover. Supplemental disaster insurance helps reduce financial stress by covering the costs associated with repairing your home and replacing personal belongings.
- Peace of Mind: Knowing that you have comprehensive coverage allows you to enjoy your new home without the constant worry of looming natural disasters.
Staying Prepared
In the event that you must file a claim with your insurance company, it can be helpful to have documentation of your home prepared in advance. Keep a detailed inventory of your belongings and take photos or videos of your home’s interior and exterior. When you file a claim, these will be valuable for comparing the damage incurred by your home.
Also, by maintaining your home regularly, you can minimize damage from severe weather events. Conduct regular maintenance checks on your home to ensure that any wear and tear on the property is addressed to avoid more serious issues during a natural disaster.
Why Recoop?
Typically, supplemental insurance policies are single peril-specific, such as flood or earthquake insurance. Recoop is unique as a multi-peril coverage that covers all the following disasters: hurricanes (with storm surge), wildfires, tornadoes, earthquakes, gas explosions, winter storms and dust storms. As most areas are susceptible to multiple types of severe weather, multi-peril coverage is essential for true peace of mind.
Additionally, Recoop works to support you where traditional coverage stops. Typical homeowners insurance can have long waiting times or steep deductibles that prevent you from accessing much-needed coverage following a disaster. With Recoop, the claims process is easy! Simply open a new claim in your online Recoop portal, submit pictures of any damages and watch for fast recovery cash to be deposited into your account within days. These flexible funds can be crucial in paying for a wide range of emergency-related expenses like temporary housing, food, medical bills, repairs and more.
As a first-time homeowner, securing the right combination of insurance coverage is a critical way to safeguard your investment. By understanding the risks specific to your area and insurance needs, you can ensure that your home and family are protected against the unexpected. Take the time to research, compare and select the best policies for your needs, and enjoy the comfort that comes with knowing you’re fully covered. Welcome to the world of homeownership, and here’s to many safe and happy years in your new home!