Meteorologists say the most perilous season for homes in the US is the period between March and August, when catastrophes ranging from hurricanes to wildfires hit the country.
However, CoreLogic head of research Norrine Brydon observed that most homes remain underinsured, adding that 60% across the country are underinsured by 20%.
In a Consumer Reports article, Brydon advised homeowners to know the “vital statistics” of their homes—the land area, facilities, age, building materials, all the way down to the flooring and other upgrades.
Want the latest insurance industry news first? Sign up for our completely free newsletter service now.
Furthermore, the report said that homeowners should request a “new policy” quote from their agent. Unlike a renewal policy, refreshing the quote would be more accurate because current construction data will be used to calculate the policy cost.
In addition, homeowners should undertake insurance evaluation every year or two to prevent underinsurance, it suggested.
Consumers must also consider getting a “floater” added to their policy to cover valuable contents such as jewelry, fur, artwork and silverware. Older homes would also benefit from laws and ordinances that would help cover the costs of updating plumbing and wiring when rebuilding.
Related stories:
SageSure Insurance Managers opens new office – hires 15
RISK INSURANCE BROKERS
