NJ homeowners insurance is one of the most common and useful types of insurance purchased by residents in the state of New Jersey. In fact, according to the Insurance Information Institute, approximately one in every 15 insured homes will file a claim in a given year. Here are the 10 things you should know about this type of insurance before you buy it.
All homeowners need insurance.
If you have a mortgage on your home, your lender will require homeowners insurance. However all homeowners should have this insurance, regardless of whether it is optional or a lender requires it.
The amount of coverage you need varies.
The exact amount of homeowners insurance in NJ you need depends on the value of your property. The higher your coverage level, the less you will have to pay out of pocket if something happens to the home.
What property does a homeowners insurance NJ policy cover?
Even the most basic homeowners insurance policies cover your home’s structure, as well as other structures, such as tool sheds and detached garages. They also cover your personal property, which includes the contents of your home and your family’s other personal belongings.
Homeowners insurance covers more than just property damage.
Homeowners insurance policies cover the cost of repairing damage to your home because of certain events, such as tornadoes or house fires. However, they usually cover other types of incidents as well, including theft, personal liability, and medical payments.
You can purchase additional coverage.
If the most basic homeowners’ insurance policy doesn’t give you enough peace of mind, add-ons are always available. Talk to your agent about the additional coverage you can purchase to provide better protection for your property.
Your property can be valued in different ways.
When purchasing a homeowners insurance policy, one of the most important considerations is the value of your property. However, insurers can calculate the value of your property in different ways. The most common valuation methods are market value and replacement cost. While market value is the amount your house would be expected to sell for, replacement cost is the amount of money it would take in order to rebuild it.
Premiums vary by insurance company.
Although you may think that all NJ homeowners insurance companies will charge roughly the same amount for similar policies, this isn’t necessarily true. Different homeowners insurance companies will charge different premiums for the same coverage. For this reason, it is important to compare NJ homeowners insurance quotes carefully before making a purchase.
It doesn’t cover your vehicles.
Your vehicles are not typically covered by your homeowners’ insurance policy on average, so you will need to purchase separate coverage.
You should re-evaluate your coverage regularly.
Over time, your homeowners’ insurance coverage needs can change. For this reason, it is important to review your coverage each year to make sure it is continuing to fit your needs.
It does not include Flood Insurance
Flood insurance is not included in Homeowners insurance. Considering all of the recent devastation, this is something you will want to consider.
Key Takeaways
- Homeowners insurance is one of the most common, valuable types of insurance available to homeowners in New Jersey.
- Homeowners insurance is complex, and premiums vary based on many different factors.
If you are looking for the best New Jersey homeowners insurance, from one of the top NJ home insurance companies, please contact Marine Agency today. We’ll begin with comparing NJ homeowners insurance quotes & rates with the help of our experienced agents and create the right policy customized for you!
