If you've decided to buy (or build) your dream home, let Wood-Dulohery Insurance, Inc. answer some questions about why homeowner’s insurance is important.
Like other types of insurance, homeowner's insurance will be required by your mortgage company or bank before they let you sign. Most often, your mortgage company will escrow your insurance along with your mortgage, which will help ensure the loan will be paid if something unfortunate happens to your property. The lender calculates the premium you'd pay for the homeowner's insurance policy and includes that amount in your monthly mortgage.
Homeowner's insurance covers the house itself, along with other structures (like a backyard shed), personal possessions, loss of use, personal liability, and medical payments. Most policies have a standard amount assigned for loss of use, liability, and medical payments. The main deciding factor in how much coverage you need is the replacement value of your home and possessions.
Flooding is not covered by homeowner's insurance. The National Flood Insurance Program (NFIP) determines flood zones and sets the rates for those policies. However, Wood-Dulohery Insurance, Inc. can help you with flood insurance, too.