Important insurance factors that home buyers should consider.
If you are looking to buy a home, then you have a lot to consider. While you might not want to add anything else to your plate, it’s vital to think about how much it will cost to insure a property before you make an offer. Here are some of the insurance factors that home buyers should consider.
- How Close the Fire Department Is
No matter what type of home you are looking at or where it is located, there is always a risk for a home fire. This is why insurers will factor in how long it will take for local firefighters to arrive at the property in the event of a fire emergency. The closer the property is to a fire station, the lower the risk for serious fire damages. Naturally, this translates into cheaper insurance rates for the homeowner.
- State of the Home’s Plumbing and Electrical Systems
Poorly maintained plumbing systems can lead to major damage events such as flooding and water damage. Outdated electrical systems increase the property’s chance of electrical fires and, in extreme cases, explosions. If the home you are looking at has poorly maintained, unsafe, or outdated plumbing and electrical systems, then it will cost more to insure.
- Risk for Wind Damage
Homes located in certain areas (such as tornado and hurricane-prone areas) face a higher risk for wind damage. While standard home insurance policies will provide some coverage for wind damage, it may not be enough to address your risk completely. As a result, you may need to invest in additional private or state-run insurance that is specifically designed to cover the damage caused by windstorms. Securing this additional coverage comes at a cost, so make sure you consider this before closing on a home.
These are some of the important insurance factors that home buyers should consider. Do you have questions about insuring your new home? If so, then contact the experts at Champion Commercial Insurance in Dallas, Texas. Our dedicated team is eager to assist you with all your homeowners insurance needs today.