Home Insurance in Anchorage
Buying or building a new home is a huge investment. Many Alaskans will be attached to their home investment for over thirty years. To not have that investment insured is incredibly risky. Things can go wrong when you least expect them to. An accident might occur, or a fire, electrical shortage, a flooded basement, personal property damage, or something even worse. There is simply no knowing when tragedy might strike, so if you aren’t protected you are making a huge mistake. After all, we live in an unpredictable world. Anything can happen!
You are required by most mortgage lenders to get an insurance policy immediately, but homeowner’s insurance is not legally required. But does that mean you should avoid purchasing an insurance policy? Definitely not. Like we have said, anything can happen to your home, your land, or your personal property.
Home Insurance Misconceptions in Anchorage
Home insurance can be difficult to discuss because all Anchorage home insurance rates and packages are different. Everyone should know about all the benefits that are available to them when they are considering their home insurance plan.
Many people will purchase home insurance plans without knowing exactly what they’re paying for. A common example is the issue of sewage backup. You might think that since home insurance covers damages that sewer backup would also be covered, but that is often not the case. The truth is that most default insurance policies do not include protection from sewer backup damage. These sorts of damages might only be offered by request for an additional cost.
When you meet with Capital Insurance Services Inc. to discuss your options, we will make sure you know about all the options available to you. We have a reputation in Anchorage as being the most trusted home insurance providers around, and we don’t take that praise lightly.
Home Insurance Basics
Home insurance, in its simplest form, refers to property insurance covering private homes and the contents within them. There are three major reasons why homeowners opt for home insurance: for property coverage, for liability coverage, and to satisfy a mortgage lender.
It is estimated that more than one-third of homeowners do not have, or are unsure whether they have adequate home insurance. When unexpected disaster strikes, this lack of preparation adds the burden of financial stress to the situation.
It’s helpful to any Anchorage homeowner to have a sense of what home insurance covers—and what it does not.
Home insurance covers loses which are caused by a peril: a specific reason or circumstance responsible for a loss. Examples include fire, smoke, wind, hail, explosions, or lightning. It also includes robbery and vandalism, trees and falling objects, weight of snow, ice, or freezing rain, and sudden failure of a plumbing or HVAC system.
Home insurance does not cover floods or sewer backup, earthquakes or landslides, damage from animals or pests, pollution damage, normal wear and tear, or deliberate damage.
Natural catastrophes such as floods or earthquakes may not be included in conventional home insurance plans, but they are insurable. Depending on the location of your home, it may be in your best interest to pursue this nature of insurance.
Benefits of Home Insurance
There are a variety of benefits when it comes to having home insurance. The obvious benefits include coverage in the event of property damage and the loss of personal belongings, but there are other benefits too! Here are just a few of the more uncommon benefits of homeowner’s insurance.
Home Insurance for Hotel Costs After Disaster
Your insurance policy can reimburse hotel or apartment expenses. Many insurance policies offer “additional living expenses” coverage if your residence becomes too damaged to inhabit after a disaster. This means you won’t have to ‘couch-surf’ or stay with relatives.
Various Medical Expenses
If a visitor is injured in your home, it is possible that your insurance could cover all or a portion of their medical bills. If you’re curious about this coverage, just ask any of the associates at Capital Insurance Services Inc..
Dog Bite Coverage
If you have properly set up your insurance policy, then the medical expenses after someone is bitten by your family pet should be covered.
Determining Your Insurance Premium
A key component of your home insurance procedure is determining your insurance premium.
Your representative at Capital Insurance Services will take many factors into consideration to calculate the premium for your home insurance. Your premium will be an accurate, personalized amount depending on the level of coverage you purchase.
Insurance purveyors will have many questions about your home, including construction type, roof type and age, number of bedrooms/bathrooms/stories, foundation type, and type of HVAC systems.
Some of the criteria involved in calculating an insurance premium are as follows:
- Cost of Rebuilding the Home
- Materials Used in Your Home’s Construction
- Proximity of Home to Services/Resources
- Condition and Age of the Home
- History of Claims in Your Area
- Type of Pets
- Outdoor Amenities on Property
Based on your home information and contents, we calculate an approximate value of the cost to rebuild it (not including the land value).
In general, premiums are lower for homes constructed of brick or masonry than those constructed of wooden frames.
This will take into account your home’s location relative to water sources and fire departments, as well as the reliability of the fire services in your community.
Homes that are older and/or poorly maintained will usually have higher premiums to pay than newer, well-maintained homes.
This will concern the insurance claims history in your neighborhood, particularly the homes in your immediate vicinity.
If you have a dog breed that is known to be aggressive, this may affect your premium and coverage.
Some outdoor features, such as swimming pools, trampolines, or playground equipment can carry a risk of injury and thus will raise the insurance premiums.
Call Capital Insurance Services Inc. Today
Are you not sure which home insurance policy is right for you? Give us a call today for a free, no-obligation consultation.