Fact: Standard home insurance does NOT cover damage caused by a flood. If you feel that you need coverage for a flood you should purchase a separate flood insurance policy.

Myth #2: The Medical Payment portion of my homeowners insurance will cover injuries to me and my family.

Fact: MedPay, a common feature of standard home insurance policies, is there to protect you in the event that someone other than you or your family (a neighbor, friend, etc) gets hurt on your property and they do not want to sue you. MedPay will typically cover up to $1,000 for each covered claim to someone outside of your family. If you or your family, however, gets hurt on your property they are not covered by your home insurance policy.

Myth #3: If my home is ever lost, my insurance company will reimburse me for whatever I tell them I owned at the time of loss.

Fact: In the event of a covered loss your home insurance company will ask you to make a list of everything you own and include specific details such as purchase price, date of purchase, serial numbers, etc. (Imagine trying to do this from memory!) The best way to avoid this situation is to have a home inventory already put together. Use a checklist like this one: http://homeinsurance.com home insurance home inventory checklist. Make sure to include photos, receipts, serial numbers and anything else that will help you prove ownership. Don’t risk not having everything replaced in the event of a disaster. Make sure to keep your inventory in a fire proof safe or at a friend’s house so it is still around when you need it!

Myth #4: If I file a home insurance claim, my home insurance premium will definitely go up.

Fact: While many home insurance companies do look at your claims history, there are many other factors that determine how much you will pay for home insurance. Filing one claim over a period of a few years might not increase your home insurance premium. To be on the safe side, always think twice before filing a claim for minor damages to your home. Consider your deductible. If the total cost of repair is not too much more than your deductible you might want to consider paying for the repairs yourself. While this might cost you more upfront, it might save you from an increased premium. If, because of a stroke of bad luck, you have to file multiple claims over a period of a few years and your premium is steadily increasing, rest assured there are other ways to save on your home insurance. Ask your agent about home insurance discounts. Sometimes simply installing a smoke alarm, burglar alarm system or by adding your auto policy to your home policy, you can save a great deal of cash.

Myth # 5 All of my valuables- like jewelry -will be covered in the event of a burglary.

Fact: There are limits on the amount of coverage you can receive for valuable such as jewelry, furs, etc. For example, most companies put a cap of $1500 on total jewelry lost during a burglary of your home. If you find that your jewelry values over $1500 you should talk to a home insurance agent and schedule an endorsement on your policy giving you additional coverage.

Myth # 6: My home insurance covers mold and/or other issues related to lack of maintenance.

Fact: Actually, a standard home insurance policy does not cover issues related to a lack of maintenance. For example if a plumbing leak that was left unfixed caused mold to grown in the interior walls of your home- mold removal and remediation would NOT be covered in your home insurance. Remember that your home insurance only protects you from damage caused by covered perils such as wind, hail, lightening, fire and theft. Keeping your home well maintained and safe for others is your responsibility and your home insurance company will decline coverage for maintenance related claims.

Myth #7: Flood Insurance is only for people who live in a flood zone.

Fact: Lending institutions, such as the bank that holds your mortgage, will require you to obtain flood insurance if you live in a major Flood Zone. However, keep in mind that all homes are at the risk for flood and standard home insurance policies do NOT cover flood related damage to your home. Due to the recent flooding in the Midwest the importance of this type of coverage for homeowners outside of a major flood zone has become even more apparent. If your home is flooded and you do not have flood insurance you will be on your own to replace your home and its contents. Flood insurance is a wise idea for every homeowner.

Myth #8: I will have to skimp on my coverage in order to save money on my home insurance.

Fact: Saving on your home insurance does not mean that you have to give up important parts of your coverage. It is very important to always be adequately insured in the event of a loss. However, there are lots of ways that you can save money on your home insurance that do not involve changing your coverage. Home Insurance discounts are available for homeowners who use burglar alarms, smoke alarms, deadbolts and other protective devices. Want more savings? Ask your agent about combining your home insurance and your auto insurance policies- you can usually save up to 15% this way.

Myth #9: When determining my coverage, I should use the purchase price for my house as my dwelling coverage amount.

Fact: A common mistake when homeowners are getting quotes for their home insurance is that they use the purchase price of their home to determine their dwelling coverage. Yet, the purchase price of your home includes the land under your home- which does not need to be replaced in the event of a fire or other peril to your home. For this reason, your dwelling coverage should always reflect the replacement cost of your home- or how much it would cost to rebuild your home in the event of a total loss. To determine this amount, multiple the sq. footage of your home by local construction costs. You can use a http://homeinsurance.com/calculators/ home insurance calculator to help you determine the amount if necessary.

Myth #10: You can not buy a home without purchasing homeowners insurance.

Fact: This is a tricky one. Because while you actually CAN buy a home without home insurance (a lender may not require it or you may, although rare, pay cash for the home) you should still always have home insurance on any property you own. Whether a lender requires it or not, the risk is always there. It would only take one fire or lightening storm to destroy your home and leave you uncovered.

But not all insurance coverage is alike. Policies and protections differ, and so do costs. In essence, you want the most protection for the least number of dollars.

Utah Home Insurance generally comes in standardized packages. For instance, the most basic form, HO-1, offers protections against such perils as fire, theft, and certain types of liability.

HO-2 is more comprehensive and includes protection against damage from broken pipes, the weight of ice and snow, and broken hot water heaters.

HO-3 gives more protection still: It generally includes just about everything and excludes only earth-shaking events such as earthquakes, floods, nuclear accidents, and wars.

To determine which policy is best for you, and to find out about other policies, make a list of valued possessions and the types of coverage you’d generally like to have — and then sit down with an insurance broker to review what’s included (and excluded) from each policy form and the other forms of coverage which may be available. You may find all the coverage you want in a general form, or you may determine that you need special coverage at extra cost.

Real estate brokers, attorneys, fee-only financial planners, and CPAs can recommend local Utah Home Insurance brokers. Once you have some names what questions should you ask? Here are a few to get you started:

Why should I buy Utah Home Insurance?

Home Owners: To protect both your house and personal property. Tenants of Rental Properties: To protect your personal property. All Parties: For protection against liability for accidents that injure other people or damage their property.

Are deductible required, and if so, what are they?

Yes, most homeowners forms contain deductible provisions applicable to losses occurring under Section I (dwelling, appurtenant structure, unscheduled personal property, and additional living expenses). The type and amount of deductible varies by company. Deductible provisions do not apply to Section II losses (personal liability – bodily injury and property damage – and medical payments to others). Some companies offer an optional deductible applicable only to wind or hail losses. Most offer higher deductible options such as $500 or $1,000 at a reduced premium.

What property and perils are excluded from most homeowner policies?

Most homeowner policies provide coverage that does not apply to animals, birds, fish, automobiles and business property; for loss or damage caused by flood, surface water, water which backs up through sewers or drains, earth movement, nuclear damage, war, etc. Section II coverages (personal liability and medical payments) do not apply to the operation, ownership, use, etc., of any aircraft, automobile, recreational motor vehicle, water craft powered by more than 50 horsepower motor; bodily injury or physical damage caused by an intentional act of the insured. It must be noted that these are a mere sample of property and perils not covered. A complete review of your policy is the only way to determine what property is covered and what perils are insured against. Also, there are specific limits of coverage on property insured under the homeowner’s policy such as money, securities, water craft, theft of jewelry, silverware, and/or guns.

When can an insurance company cancel my Utah Home Insurance during the policy term?

Generally, your policy can be cancelled for these reasons: Non-payment of premium; Material misrepresentation/Fraud; Conviction of a crime arising out of acts increasing the hazard insured against. (For example, conviction for illegal storage of fireworks); Discovery of willful or reckless acts or omissions by the insured increasing the hazard insured against. (For example, not getting a gas leak fixed); Physical changes in the property insured which result in the property becoming uninsurable. (For example, should the home become vacant for more than 60 consecutive days, a greater exposure to vandalism and damage is assumed to exist); and A determination by the Commissioner of Insurance that continuation of the policy would place the insurance company in violation of the law.

Peter Miller. “How to Buy Home Insurance.” Realtor.com. 6 Nov. 2009
[http://www.realtor.com/home-finance/insurance/how-to-buy-home-insurance.aspx].

State Department of Insurance. “Homeowners Insurance FAQs.” 6 Nov. 2009 [http://www.insureuonline.org/consumer_homeowners_faqs.htm].

1. You’ll get a lower rate if you select a higher deductible.

A deductible is the amount a policyholder must pay before his/her insurance company becomes bound by law to pay as indicated in the terms of their policy. $250 seems to be the smallest deductible selectable in home insurance. By raising your deductible to $500 you’d likely realize savings of up to twelve percent. You can save close to twenty-four percent if you opt to increase yours to $1000. The amount you’ll as discount for each deductible amount will differ depending on the insurance company.

2. Don’t buy a house without getting a CLUE (comprehensive Loss Underwriting Exchange) report if you are determined to save on home insurance. It will reveal things that could cost you in insurance.

Residing in a town that has just a volunteer fire service, for example, will definitely make you pay higher rates. How far away the nearest police station, fire station and/or fire hydrant are will also determine how much you’ll pay.

These types of relevant information should be gathered before you make payments for a home. That home you thought was a great deal may end up costing you much more in home insurance than the little you saved.

3. A house that has shatter-proof windows will get lower premiums. So change your old windows with these especially if you reside in areas that are prone to high winds and hail storms. Always remember to discuss with your agent whenever you take such a step. You can also discuss with your agent first before making the changes as he or she would be in a better position to show you how to save the most.

4. A swimming pool is definitely one important feature that makes it a dream home. But as far as your home insurance company is concerned it increases a home’s risk and therefore brings more expensive premiums.

While I won’t tell you to NOT have a swimming pool on your property, ensure that you take all needed safety measures. Doing the contrary will make you pay far higher rates.

5. If you reinforce your roof you’ll receive lower home insurance premiums. This applies more to you if you live in the East. You can get tips from your agent on how you can strengthen your roof and receive discounts as a result. One simple way is to fix heavier shingles.

6. Make out some time to visit not less than five insurance quotes sites that provide quotes on home insurance policies. This should take you not more than 25 minutes. As you visit each quotes site, make sure you give the same information. Doing otherwise will give you misleading results. After you’ve obtained your home insurance quotes, compare them to see which serves your interest best in price/value.

1. Does your house have fire escapes? If you do then make it known to your agent and see what discounts this will get you. Even with simple rope ladders for the upper rooms, you still could get some discounts. Make sure you have a fire escape unless you do not intend to benefit from this savings opportunity. And don’t forget to ask your agent what your insurance company sees as a standard fire escape because complying with that assures savings.

2. Although you have the choice of insuring against every imaginable peril, you really do NOT need to. There are perils that will never happen in certain places. Knowing the climate trend of a place you can say with a level of assurance the types of perils that can strike.

It is wise to ensure you insure your house against every peril that has a reasonable possibility of happening. At the same time, you may just be wasting your money if you purchase coverage for a peril that has never happened in your state’s past records. Review your policy for only likely losses. You’ll lower your premium by doing this if you purchased more than necessary at first.

3. You will lower your home insurance rate by up to 15% if you change to modern heating, electrical and plumbing systems. For example, the traditional fire place may be more romantic but it’s however not as safe as a modern heating system. Building technology has improved in many ways to make your home safer. Make good use of them as they’ll not only lower your home insurance premiums but add to the value of your house in several cases.

4. You’ll get lower home insurance rates if you obtain group homeowner’s insurance. You can confirm from associations you are part of since they might have obtained group discounts for home insurance.

However, before you apply this option, compare the rates you will get from such an association with what you will pay with another insurance company. This is because you may end up finding an insurance company that is ready to take less than you’ll even obtain with your association’s discount. Shopping extensively will enable you get the best rates.

5. Do you know everything your home insurance policy excludes? They’re things that the policy does not give you coverage for.

Before you start celebrating about that cheap offer, ensure that the exclusions section does not slash off things of great importance to you. Any home insurance policy that places you at risk is NOT really worth the paper it is written on no matter how inexpensive it is. Before buying make sure you understand what is covered to avoid rude suprises.

6. You can save a lot of money in home insurance if you get and compare home insurance quotes from insurance quotes sites. You’ll realize savings if you use just one quotes site. However, you will get more by using at least five. The simple reason for this is that you will receive a greater number of home insurance quotes from a wider range of insurers. This raises your chances of receiving better quotes.

1. Install a security system:

If your home has a security system you may be eligible for discounts on your homeowners insurance premiums. Insurance companies know that homeless with security systems are far less likely to be burglarized. This means that the insurance providers are less likely to have to pay out claims for damage caused by a burglar or for missing personal property.

2. Quit smoking:

Believe it or not, non-smokers can actually pay less for their homeowners insurance than smokers do. The reason for this is because a large percentage of house fires are caused by cigarettes. If you reduce the risk of your home being destroyed or damaged in a fire the insurance company has less risk of paying out claims and the savings are passed on to their customers.

3. Raise your deductible to lower your premiums:

The deductible is the amount that you are required to pay out of pocket before the insurance provider will pay out for a claim. If you were to raise your deductible from $500 to $1500 you could save hundreds of dollars in premium payments. Raising your deductible would make filing a claim for small damages like fixing a backyard fence that blew down in a heavy wind out of the question. But Keep in mind that making small claims with your insurance company would raise your premiums so it’s probably not a good idea anyway. Your home would still be fully covered should you sustain more substantial damages and you will certainly save a lot of money in the long run.

4. Bundle coverages to get discounts:

If you carry more than one type of insurance with the same company you may be eligible for discounts on those different coverages. For example if you carry homeowners insurance, auto insurance, and life insurance all with the same company you may be eligible for discounts on each of those.

5. Don’t over insure:

A mistake that a lot of homeowners make is thinking that if they paid $300,000 for their house they need to carry $300,000 worth of homeowners insurance. The fact of the matter is that a large portion of the cost of a home is the land that it sits on. If your home were completely destroyed you would not need to replace the land you would need to replace the structure and any personal property that was lost. Figure out how much it would cost to rebuild your house and replace your personal property and that is how much insurance coverage you should have.

6. Comparison shopping:

There are a lot of insurance companies providing homeowners coverage these days. With competition among insurance providers comes an opportunity for customers to save money. Whether you’re currently shopping for homeowners insurance or you’ve been with the same provider for years, and few minutes spent online getting multiple homeowners insurance quotes could save you hundreds of dollars. Get a quote from a number of different companies and then choose the one that offers the most coverage at the best price.

Professionals encourage new homeowners to evaluate insurance rates prior to making a lasting commitment. This process has grown especially easy now that websites can help pinpoint customer needs. In fact, some websites will even offer price comparisons based on minimal information, such as home locality and square footage. For a more individual glance, homeowners can also contact a local insurance company and meet with an agent.

Importantly, mortgage lenders frequently call for a borrower to exhibit a minimum level of home insurance. Buyers should also take notice that while lenders may not insist on insurance for condominiums, neighborhood covenants may insists on some coverage. Fortunately, borrowers remain masters of their insurance selections, but always double check the cheapest policies for important exceptions or gaps in coverage.

Typical policies will provide compensation in cases of damage incurred by fire, smoke, ice and theft. In addition, liability for persons hurt on the owner’s property may include legal or medical fees up to an amount stipulated in the policy.

Outside of these basics, consumers may wish to add coverage depending upon their respective needs. For example, while coverage may extend to a limited number of the home’s contents, expensive items not covered often can be added to the overall policy. Homeowners can purchase replacement coverage, which comes in two varieties. “Actual cash value” will reimburse the article based on its age, while “replacement cost” will cover the expense of purchasing a new item.

Flood coverage is also often overlooked by homeowners who assume that their policies account for this sort of disaster. Homes situated in flood plains remain principally at risk. Contact the Federal Emergency Management Agency (FEMA) to determine if a certain home is in danger and to what degree that home’s specific location may be prone to flood damage.

Title insurance is an additional option. Though relatively new, this option compensates legal and other fees if problems arise regarding the property title. Such a chance seems remote, but issues can arise even with new construction projects.

Finally, a few easy steps can result in substantial savings on the final cost of home insurance. For example, many providers offer more than one type of insurance. To promote customer loyalty, they will provide discounts if the homeowner adds home insurance to auto or life insurance from that company. Adding security measures such as an alarm system or additional locks may also meet provider requirements for a reduced rate. In addition, increasing a policy’s deductible can often reduce premium payments. Finally, maintain good credit – providers always want to reduce risk, and this is one way to demonstrate dependability.

2. Subtract the worth of your land when you buy your homeowners insurance policy. You do not need to insure the land on which a home is built. Bear in mind that the land on which your home rests can neither be lost nor destroyed. When you apply, remember to deduct the land’s value. This is because doing the contrary means you’re buying far more than is useful. As you well understand, buying more means spending more whether it’s necessary coverage or not.

3. You’ll get more affordable rates if your house is well secured. You might save up to 5 percent if you have security systems. With some insurers discounts of up 20% are available with the installation of certain really advanced security devices. Just note that such systems must be such approved by your insurance company for you to get such huge savings. The irony, though, is that despite the fact that such systems will bring down your premiums, they are never cheap.

4. A home that houses smokers will attract high premiums. Your home insurance rate will be less if any smoker in your household quits. Many a fire in homes can be traced to smoking. Do take note that certain insurance companies do not have any discounts for this.

5. Certain insurance companies will give you lower rates once you’re retired. The reasons for such discount are very obvious: Retired individuals have more time to maintain their homes are also in a better position to spot fires since they’re usually at home most times.

6. Associations could get discounts for their members. Find out if such has been arranged for any association you belong to. You might have discounts waiting for you to take. But be aware that you may pay less with another insurer despite the markdowns negotiated by your association depending on your unique needs and profile. To be sure you have to get and evaluate as many quotes as make sense from various insurance companies. It’s the only way to ensure you’re not paying higher rates than you should.

7. You will qualify for rebates if you remain with an insurance company for over three years. Your rebate increases the more the years you remain with an insurer. The discounts you get for remaining with an insurer may be smaller than what you’ll save if you switch to another insurance company. It’s quite easy to know where you’ll enjoy more with insurance quotes sites. If you get and compare quotes from different insurance companies you will see what you’ll save or lose if you switch.

8. A higher Deductible will give you cheaper premium.

A deductible is an amount a policyholder must pay before their insurance company becomes bound by law to pay as indicated in the terms of their policy. $250 seems to be the smallest deductible selectable in home insurance. You could easily save up to 12 percent on your premium if you increase your deductible from this base amount ($250) to $500. If you elect to make it $1000 you might easily make savings of around twenty-four percent. What you’ll as discount for each deductible amount will be different depending on your insurer.

9. Visit not less than three quotes sites. Getting and comparing quotes from a minimum of three quotes sites raise the chances that you would get cheaper home insurance quotes. This is because insurers not covered by one site will be represented by the other.

And, you should understand that since your chances of getting lower home insurance quotes is related to the range of quotes you obtain, the more insurance companies you receive quotes from, the brighter your chances will be. Getting your home insurance quotes online will help you save a bundle if you invest around 15 minutes to obtain quotes from at least 3 insurance quotes sites.

You can enjoy shopping for insurance from your home computer and request free quotes from as many insurance providers as you wish. Experts will tell you that in order to do a good comparison of the rates, you should request three or more quotes and then sit back and compare them.

When you request multiple home insurance quotes, it is imperative that you provide the same information to each provider to ensure that you are getting coverage for the same things. Although the bottom line in helping you decide which of the home insurance quotes you accept is the price, this is not the only factor you should consider in the comparison.

Before you start shopping for online home insurance quotes, you do need to make a list of what you need to have in insurance coverage for your home, personal belongings and your outbuildings. You have to look at the cost of replacing your home at today’s rates when considering the coverage you should have.

This may be a lot more than it cost you to build the home or the amount you paid in the purchase price. If you are in any doubt contact a builder to find out what it would cost to rebuild and use this figure as a guide in helping you get the coverage you need in a home insurance quote.

If you have a pool, you may need to consider extra coverage in the home insurance quote you request to cover damages to the pool and liability coverage for any guests who may be injured in or around the pool. Take stick of your valuables because while your personal belongings are part of the coverage equal to half of the coverage of your home, the quote will not include coverage for furs, expensive artwork or jewelry. You will need to have extra insurance on these items.

The amount of deductible you choose will affect the cost of homeowner insurance quotes. Choosing a higher deductible means you will get a lower premium. In each of the home insurance quotes you request, make sure you choose the same level of deductible for each one in order to do an accurate comparison.

Water damage from inside the home, such as from broken water pipes, is standard coverage in home insurance policies. However, damage sustained from outside sources, such as a river close to your home overflowing its banks, is not part of a standard home insurance quote. If you need this extra coverage, you will have to specify this in your request.

When you finalize the home owner insurance comparison and narrow down your choice to one or two insurance companies, check out these companies before you make your purchase. Check the rating of the companies to make sure they are solvent. Another important factor to consider is the customer service the company provides.

Check customer reviews to see if there have been complaints against the company and to see how long it will take you to get results if you do have to submit a claim. If you are satisfied with all the information, then you can conveniently purchase the policy online without having to leave home or take time off work to do so.