Homeowners Insurance: 4 Common Mistakes

Overestimating the amount of Ottawa Home Insurance You’ve Got

It’s typical for Ottawa homeowners to purchase only a basic homeowners insurance policy expecting it to safeguard them against any property damage that could occur. However, the most basic policy won’t always protect you.

Home insurance coverage should equal at least 80% of your home’s replacement value. In the event of a catastrophe, home insurance will assist you in repairing your home to its pre-disaster condition. Be aware that your standard home insurance will not cover certain kinds of damages like earthquakes or flood damage.

Not Filing a Claim in a Timely Manner

If you are ever required to file a claim with your homeowner’s insurance, you should do it quickly. If you delay for long enough, your insurer could not verify your claim and, consequently, they may not pay you. The most common filing deadlines are between 30 and 90 days after the loss. If you file as soon as possible, you are more likely to receive the settlement you deserve for your loss.

A Deductible That Is Too High or Low

Your coverage for your home and possessions is likely to include deductibles, which are amounts in dollars you are required to pay for any damages before the insurance covers the cost. If you are owed $500 for your property deductible, you will need to pay $500 of damages to your possessions from your pocket before the insurance covers any damage. It will be challenging to produce an excessively high deductible when necessary. On the other hand, a low deductible can lead to increased costs.

Failure to Notify Your Insurer of Any Changes

When you make modifications to your home, you need to inform your home insurance company. If, for instance, you construct a new addition to your home, you need to notify your insurer. It will ensure that your policy will cover the proper coverage. Failure to inform the insurance company could lead to a loss of coverage later.

Although it is essential to save money on your home insurance, it’s necessary to think about other aspects of your coverage. It is crucial to have the proper level of coverage instead of the most expensive policy all in all. Our agents can help ensure that you get the right balance of coverage.

Please contact Ottawa Life Insurance at (613) 454-1424 or info@ottawa-lifeinsurance.ca for more information.