How to review your home insurance for end of the year
As the year comes to an end, it’s a good time to review your home insurance policy and ensure you have the coverage to protect your home and your belongings in case of a tragic event.
Coincidently, winter is also a great time to review your home insurance policy to make sure everything is in order for the cold months ahead. Snow, ice, storms, high winds and everything else that nature throws our way during the cold Canadian winter months can pose a threat to your home’s structure. That’s why it’s a good idea to make sure you’re financially (and physically) prepared.
Here are four ways to review your home insurance policy:
Add and remove coverage as necessary
If your situation has changed during the year, your insurance coverage should reflect those changes. If you’ve completed home repairs or improvements, the value of your home has likely increased, and therefore insurance coverage should also be adjusted. If you’ve added new structures to the property, such as a garage or swimming pool, you’ll need to purchase additional home insurance.
Reviewing your home insurance policy ensures you have enough coverage, but it also gives homeowners a chance to make sure they aren’t paying for coverage they don’t need.
Take an inventory of your belongings
The only way you’ll know if you need to add or remove coverage to your home insurance policy is to take an inventory of your belongings. This includes all personal items inside the house, as well as the value of the property and the structure of your home. Taking inventory of your personal belongings inside the home every year is also a good idea because it will accurately show the amount of loss you'll suffer if you have damage or theft to your home.
If it’s been several years since you've had the value of your property and home evaluated, there’s no time like the present to do so. Then you will know exactly how much insurance coverage you need, and can start shopping around for the best prices.
Shop around for quotes and compare pricing
There is more than one way to purchase home insurance and there are several providers available for homeowners. Just because your insurance policy is currently with one provider, that doesn’t mean it needs to remain there.
When your insurance policy is up for renewal, before committing to another year with the same provider, shop around and compare pricing. Go online and get quotes, contact at least three different providers and ask family or friends for referrals. This ensures you’re getting the best rates for the coverage you need.
Bundle your policies for extra savings
When getting quotes from different providers, be sure to ask for all applicable discounts. Very often insurance providers offer discounts for clients who bundle their various policies with one provider. Having your home, auto and life insurance policies with the same provider not only offers extra savings, it’s also easier to manage.
You want to make the most of your annual home insurance policy review – saving cash is an added benefit to ensuring your finances are in order for the New Year.