Policy Price

Article by Sean Kimbrough

The best property insurance company is the one with the lowest premium offering the most coverage. That answer is highly subjective to who is answering the question “which is the best property insurance company?” Mine is the best is what we all think when posed that question. Everyone wants to think they have the best policy ever issued. No matter what, when they have loss, they believe they are going to be taken care of and made whole, indemnify.

The real answer lays in what are you expecting from your insurance company. Most insurance consumers have no idea what they need so how can anyone really answer that question? What consumers expect is what should be asked. Do you want your insurance company to pay claims in a fast a fair manner? Is it fair to pay as little as possible to the insured if it is a fast payout? Do you want 24/7 customer support? Do you want to be notified of optional coverages vie email or regular mail? Where does the agent fit into the equation? How will a covered loss effect my renewal premium and should I report it?

Coverage in Homeowners HO-3 policies is universal with the main factor being the dwelling coverage A limit. The other property coverages are percentages of the dwelling amount with minimum percentages allowing each company to offer higher but not lower percentages for each coverage limit, i.e. separate structures, personal property/contents and loss of use. More importantly, in HO-3 homeowners’ policies, is the covered perils. Homeowners’ policies are “All Peril” policies meaning ALL losses (anything that can harm your house) are covered unless excluded in the policy by the insurance provider.

Investment property owners are in a different boat when it comes to property insurance needs. Landlords are in need of DP (dwelling property or dwelling fire) policy types. The main difference between HO and DP is the covered perils. DP policies are “Named Peril” policy types using the same named perils for DP-1 and expanded named perils for DP-3. That strictly means that only perils listed in the policy are covered. No exceptions.

Dwelling Property policy types are also used to cover primary residences of lesser quality or poor maintenance. These are viewed as higher risk of loss so the premiums are typically higher per ,000 of coverage to offset the greater chance of paid claims. Also, if the property is located in a high risk area, such as along the Gulf Coast, home owners have few choices of policy types with DP being the only option, usually.

Some additional coverages to get consumers attention are: identity theft, foundation coverage, extended replacement cost, personal injury liability, no cost additional insured (important for investors using property mangers), and glass replacement. These are a few of the additional features insurance companies rarely pay claims on and are happy to add for additional premiums or maybe no additional charge.

With over 2,000 property & casualty insurance companies operating in the United States, there is not one better than any other. The big name companies that advertise at all the sporting events, radio stations, television channels and now throughout the internet are all offering the same thing with a few bells and whistles a little different than the other big guy.

The best Property Insurancecompany for you is the one offering the highest coverage limits, most bells and whistles with the lowest premium.

About the Author

Learn more about how to save money on property insurance premiums by Clicking the following link for details:Property Insurance Online

Security First Insurance Company has teamed up with Enservio to deliver My Choice Home Protection, the nation’s first intelligent home inventory system integrated with the world’s largest personal property database. My Choice Home Protection provides an estimate of personal property coverage based on each individual’s household profile. Your household profile consists of information such as property location, marital status, and whether or not you own pets. The system also creates a home inventory list customers can use to customize to record items in their home. The list can be used to help in the claims process to ensure customers receive the settlement they deserve. For more information visit securityfirstflorida.com.

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