Why You Need to Update Your Home Insurance

Home insurance is something that everyone should have. You never know when disaster could strike. Your house could get struck by lightning and catch fire.


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Maybe your house gets level by a tornado or hurricane. You don’t want to be dealing with figuring out how to pay for a new house on top of all of this stress. Even if you have home insurance, you may not be in the clear. In this video, you will learn why.

It used to be that insurance companies would cover whatever the current value of your home is. This is no longer the case. They now have different tiers of policies that cover different amounts. For example, there may be a $100,000 policy and a $200,000 policy. The issue with this is that your home’s value is contently changing. Over the years, a $100,000 house may become a $150,000 house. Yet, your insurance would only cover $100,000 if it were to be destroyed.

To fix this issue, you will need to evaluate your home every year or so to make sure your policy still covers the current value of the home. There are many free online tools to do this. Further, it is good to occasionally look around for better insurance rates using an insurance broker.

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