2017 was an epic year for storms; the most active on record. Wildfires, hurricanes, and even a cyclone bomb winter storm in the Northeast. The property damage throughout the year was overwhelming.
But these storms were also the critical test for the coverages found in home insurance policies!!
- Was the coverage on the structure guaranteed replacement cost, or was it limited replacement?
- Does the policy require you to rebuild the same house as a requirement of getting full payment?r
- Rebuilding can be a burdensome process; does the policy have a cash-out option to avoid the stress and time it takes to rebuild?
- Some of the properties are total losses!
- Does the policy require you to list every item of contents and its value to get fully reimbursed?
- Does the policy restrict on a monthly basis, the amount of benefit to reside at a temporary location while the home is being rebuilt??
- Did you get an early cash advance to assist in recovery, or were there delays?
There is no question that there is a difference in annual cost between a premium coverage home insurance policy and a basic home policy. But in a premium coverage contract there is also a significant difference in the benefits provided, the speed of response, and the assistance the insurance company provides in making a claim less of a disaster. It might be sensible to compare the premium differences versus the added benefits in a premium home insurance contract.