Basics of Arizona Home Insurance

It’s important to have home insurance in Arizona. It doesn’t matter if you own your property or are still paying the bank, you need to protect your investment with insurance. Here is some information you should know when it’s time to invest in this important insurance coverage.

What Price is Based on
If your house is built of brick, it will cost a little less to insure than one made of wood. New homes often qualify for discounts because they have safety features not found in older properties. The size and value of your home will naturally influence the price, and you can expect to pay a little less if you live in an area with fire protection. Finally, your rates will be based largely on personal coverage levels and deductible levels.

Protect Your Home and Assets

Homeowners insurance Arizona is designed to protect you from events and accidents. If a tree falls on your roof during a storm, the insurance will cover your roof repairs, other structural repairs and your household belongings. Insurance covers robberies and most weather related incidents excluding floods. You can get your house rebuilt and the belongings covered if there is a fire. However, one of the most important features is the ability to shield you from lawsuits. If someone is accidentally hurt on your property, the insurance will cover their medical bills.

Understand Coverage Options
There are several types of coverages, and understanding them will help you ensure that you have the right coverage and levels.
• Property Damage – This is what you will file under if hail damages the roof or a windstorm blows out a window.
• Contents Insurance – This covers home contents like furniture and clothes. High-valued items like jewelry and electronics should be covered under a dedicated rider.
• Loss or Use – Also known as additional living expenses, this coverage pays for you to have a place to live while your home is being repaired.
• Personal Liability – This is what covers you in the event of a lawsuit due to bodily, property or personal injury to one of your guests.
• Medical Payments – Regardless of whose fault an accident is, this coverage pays for the reasonable expenses associated with their medical care.

Choose Replacement Value
Insurance companies will cover items based on actual cash value or replacement value. Actual cash value provides you with less coverage because they will only pay what an item is worth regardless of what you will have to pay to replace it. This becomes particularly troublesome with electronics and other high-dollar items. With replacement value, you will get your items replaced regardless of how outdated your original items were.

There are ways to lower your homeowner’s insurance expense in Arizona. Invest in a security alarm for a discount, and choose a slightly higher deductible to bring rates down further. Understand that insurance is designed to protect your home and your personal finances when choosing coverages. Your insurance should be enough to shield your wealth in the event of an accident. Invest in the right insurance, and then enjoy your house more knowing that you are properly covered.

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