How to Insure Homes against Natural Disasters

People who want to insure their home against natural disasters will need to contact an insurance company and set up a policy. Listed below are some steps that will let homeowners know how to insure their homes against natural disasters.

1.  Get a Quote

The first thing that a homeowner needs to do is call an insurance company and get a quote for home insurance and home contents insurance. The home insurance will cover the actual house while the contents policy will cover the personal belongings of the insured.

2.  Be Aware of Clauses in the Contract

Some insurance policies state that natural disasters will not be covered if one occurs within 24-48 hours of setting up a policy. This prevents people who see a disaster on the news quickly getting a policy in order to protect their belongings.

Also people who live in a high risk zone need to let their insurer know. Not doing so could make the policy null and void. For example somebody who lives in a flood zone may not be able to make a claim in the event of a flood if the insurer did not know the flood status of the area the house is in. Some insurers will say the policy is not valid as the customer did not give them full information. They may give the customer a higher deductible if they live in an at-risk area however this is better than having no cover at all.

3.  Ask the Insurer About the Deductible, Discounts and Any Add Ons

It is important that the customer asks the insurance company what deductible they will have to pay in the event of a claim. This will let the customer know whether it is worth their while to make a claim or not.

Some insurers offer discounts to people who have an alarm system. Those that do could benefit from asking the insurer if they offer this discount.

Also many insurers offer add-ons. An example of this is a window breakage extension.  Some companies offer the opportunity to replace windows a few times a year without paying a deductible. They usually charge extra for this.  Taking this off could reduce the cost of the policy while adding it on is useful for anybody who may have a broken window. Either way it would be wise to ask about any add-ons the insurer offers.

Once these steps have been completed the insurer can set up the policy and send the customer the require documents.