When engulfed in the thrill of purchasing a first home, some buyers confess to confusion on an important element of the transaction: home insurance.
To help first-time buyers understand their options, Insurance.com releases a robust guide to buying home insurance for the first time. The resource describes major home insurance components and explains how to make the right coverage choices for each.
Insurance experts surveyed 997 homeowners in March 2021 to learn which home insurance coverage level is most difficult to determine. The value of replacing personal property topped the list, followed by determining the appropriate dwelling coverage.
Survey findings show the following items as the most challenging for home insurance buyers:
- Personal property -- value of your possessions: 21.5%
- Dwelling coverage -- cost to replace your home: 17.4%
- Deductible -- low or high: 8%
- Liability -- for injuries/damage to others:6.7%
- Loss of use -- pays for temporary housing: 3.9%
- (Not applicable: don't have home/renter's insurance: 42.5%)
In response to homeowner confusion, the resource explains in detail how to:
- Calculate the value of personal property
- Estimate a home's replacement cost
- Choose a homeowners insurance deductible
The guide also includes average premium information for ten levels of dwelling, deductible and liability levels and explains what is and is not covered in a typical home insurance policy.
"Since lenders require that home insurance coverage be secured before approving a mortgage, it's important to research your options as soon as possible," explains Michelle Megna, editorial director for Insurance.com. "In order to properly protect your most important investment and its contents, it may be worthwhile buying more than the most basic coverage."
Megna is available to discuss this home insurance guide and answer questions about how to avoid first-time buyer mistakes.
Insurance is owned and operated by QuinStreet, Inc. (Nasdaq: QNST), a leader in providing performance marketplace technologies and services to the financial services and home services industries. QuinStreet is a pioneer in delivering online marketplace solutions to match searchers with brands in digital media. The company is committed to providing consumers with the information and tools they need to research, find and select the products and brands that meet their needs. Insurance.com is a member of the company's expert research and publishing division.
Insurance is a trusted online resource dedicated to educating consumers on auto, home, health and life insurance, developing relationships directly with carriers to offer consumers comparison rates from multiple companies. Since 2001, Insurance.com's industry-first online tools, data-based reporting and experienced experts have helped consumers make informed insurance-related decisions, so they can choose the right insurance for their individual needs.