Frequently Asked Questions About Home Insurance

Home insurance is vital to protect your home and belongings in an accident or disaster. But with so many different policies available, it can be challenging to know which one is right for you. To help make the process easier, we’ve compiled a list of frequently asked questions about home insurance. Whether you’re a first-time homebuyer or a seasoned homeowner, we’ve got you covered.

1. How Much Home Insurance Do I Need?

The amount of home insurance you need depends on several factors, including the value of your home and belongings, the risks associated with your location, and your personal preferences. To determine how much coverage you need, it’s best to speak with a professional insurance agent. They can help you assess your risks and recommend a policy that meets your needs.

2. What Does Home Insurance Cover?

Generally, home insurance policies cover damage to your home and belongings caused by fire, theft, or natural disasters. Policies also provide coverage for liability if someone is injured on your property. To ensure you’re getting the coverage you need, read your policy carefully and speak with your agent about any questions or concerns.

3. How Much Does Home Insurance Cost?

The cost of home insurance varies depending on the value of your home and belongings, the coverage you need, and the deductibles you choose. Request a quote from your insurance agent to get an idea of how much your policy might cost.

4. Do I Need Add-On Coverage?

In some cases, you may need to purchase additional coverage, known as add-ons, to protect your home and belongings fully. For example, if you have valuable items such as jewelry or art, you may want to add coverage for them to your policy.

5. How Do I File a Home Insurance Claim?

If you need to file a home insurance claim, the process generally involves contacting your insurance agent and providing them with information about the incident. Your agent will then work with you to determine the best way to proceed.

If you’re looking for home insurance in Centennial, CO, Compass Insurance is here to help. We offer a variety of policies to meet your needs and can help you find the right coverage for your home. Contact us today for a free quote.

How Renovations Impact Home Insurance

Compass Insurance provides coverage to the Centennial, CO community. For over 15 years, we have helped our clients find the policies they need to protect their assets. We work with multiple carriers throughout the area. This helps us provide flexible policies that adapt as our client’s needs change. We look forward to assisting you.

How Renovations Impact Home Insurance

Owning a home is a great achievement. However, it’s important that you protect one of your most prized possessions. Home insurance covers interior and exterior property damage. All of your personal items are covered if you are a victim of theft or if your property is damaged in a fire. Liability insurance is another significant part of your policy. You are covered if a guest visits your home and suffers an injury or if you accidentally damage someone’s property. You can add extra coverage to protect accessories such as your patio. 

Perhaps you are making plans to renovate your Centennial, CO residence. Maybe you want to increase the value of your home or make it more energy-efficient. You will have to alter your home insurance. Once you renovate your home that may change the repairs regarding possible interior or exterior damage in the future. You can amend your policy to cover any materials that are damaged during the process. Foundation coverage protects your home if the basement suffers damage during the renovation process. If you are making extensive changes, add alternative living coverage. Alternative living coverage protects you as you seek a temporary place to stay until your home is repaired.

Compass Insurance Will Help You Protect Your Asset

Visit our website to learn more information about home insurance.

What Is Covered With Homeowners Insurance?

Everyone knows that, when they buy a home, they need to get homeowners’ insurance. However, they may not know what all is covered. Though there are different plans, which cover different things, there are some things that are covered with standard homeowners’ insurance. 

Here are some things that should be covered by your homeowners’ insurance policy. 

Damage to your home due to fire and smoke. Fires can really damage a home, along with the smoke that occurs afterward.  

Damage from storms. Most homeowners’ insurance policies cover damage from a range of storms, including winter storms, ice, thunderstorms, and even tornados. It should even cover any damage that may occur due to the buildup of snow and ice. 

Roof damage. Though damage to your roof may not seem significant, the damage could be quite extensive. Not only is water leaking in your roof, but it may also damage the ceilings, walls, and floors throughout your home. Mold is often common and can be quite expensive to fix. 

Plumbing problems. If you have frozen pipes and other water damage due to pipes bursting, it should be covered. 

Damage caused by other people. Homeowners’ insurance also covers theft, along with damage caused by vandalism. It will cover the cost of your belongings, up to a certain point. 

Your homeowners’ insurance will cover a range of damage that may occur, from natural disasters, fire, and even vandalism. It will also cover damage that occurs due to plumbing and electrical issues. 

If you want to make sure that your home is covered in case anything happens, you need to speak with a professional insurance company. Here at Compass Insurance in Centennial, CO, we would be happy to find you the right coverage for you and your family. 

Stay Protected With Home Insurance

Owning a home comes with a wide range of responsibilities. One of these is to get a home insurance policy and to keep it for as long as you own the home. If you need home insurance or want to know more about it, give us a call at Compass Insurance in Centennial, CO.

Protect Your Home

Part of the home policy that you get for your home will be devoted to the house itself. A lot of things can happen to a house, and many of these cause damage that must be repaired. Paying for house repairs can be extremely expensive when you have to come up with the money yourself. If you have a home insurance policy, your policy will pay for what is needed.

Protect Your Belongings

Home insurance also covers your belongings that are inside your home. If you add up all that you have paid for your possessions, it is a considerable amount. You can protect that investment by getting home insurance. It will pay for damages to your things that happen due to a covered situation. This can save you from having to replace everything you lost on your own. 

Protection Against Lawsuits

If someone came to your home, had an accident, and was injured, you would be vulnerable to a lawsuit if you didn’t have home insurance. This policy can pay for many of the expenses that come from an accident so that you won’t have to pay it yourself. It can pay for medical bills as well as lost wages and other costs that are caused by the accident. 

Protect Your Home With Home Insurance

If you own your home and don’t have home insurance, you could be in serious financial danger. To cover your home with insurance, call us at Compass Insurance in Centennial, CO.

Home-Inventories And Why They’re Vital

Owning a home brings with it a certain amount of risk. Things can go wrong that will damage your house or even totally destroy it. No one likes to think about this possibility, but it is better to be prepared for the worse than to be caught off guard. At Compass Insurance in Centennial, CO, we have been providing our clients with choices since 2002.  We offer an exceptional level of customer service and if you ever need to file a claim, we will be there with you all the way through. 

A home inventory will be your best friend if you ever need to file a claim. The insurance company is going to need proof of what you had before the damage or destruction was done to your home. Your inventory will be that proof, and it will make the whole process go faster and easier. 

You can do a video inventory, but you will still need to provide specifics and receipts if you have them. But, the ideal way is to just do it the old-fashioned way with a pad and pen and your phone or camera.  Go room to room and write down everything you see in as much detail as possible. Take pictures from a bunch of different angles. Be sure to look in drawers and closets. 

Go through your home top to bottom and don’t forget the attic, basement, shed, and garage. For electronic in particular, write down the serial number, brand, and model. With jewelry, art, or antiques an appraisal is the way to go. Attach any receipts you have to the inventory along with the photos. 

Store it in a safe place where it is easy to access but won’t be destroyed along with your home. The Cloud is a good option; it can be accessed from anywhere you might end up. 

Contact Compass Insurance in Centennial, CO for all your home insurance needs. 

Renovating your home? Don’t forget to make sure your insurance is keeping pace!

Renovation projects can be very exciting for residents in the greater Centennial, CO area, and Compass Insurance is here to help you make sure that your hard work is protected! If you are considering a home renovation project, or have one already in the works, it’s important to ensure that your home insurance policy is keeping pace with the increased value of your home. 

Don’t let the value of your home exceed your coverage level

Many major home improvement projects, such as updating a kitchen or bathroom, can create a significant increase in your home’s value. While such projects can be massive undertakings that can disrupt your family’s day to day life, they are worth doing. If you have an exciting project lined up for your home, be sure to check that your current policy provides adequate coverage. 

We also recommend that our clients review their policy prior to beginning any work on their homes. This can ensure that the proper coverage is in place before the contractors get to work. Having liability and damage coverage in place at the onset of the project can help relieve stress and protect your family from any damages that can occur.

The family home is typically the largest investment that we make in our lifetimes, and it only makes sense to take the time and make sure that this asset is protected! Home improvements can make our daily lives better while also increasing the value of our homes. 

Contact Compass Insurance for all of your insurance needs

We are proud to serve the greater Centennial, CO area, and look forward to providing your family with all of its insurance needs! Call or stop by our office today to schedule your policy review appointment. 

Keeping your home safe while you are away

Getting away for a day or a week is something that people enjoy. You make your plans, pack your bags, and load the car for the airport or the road. You leave your home behind and an unoccupied house needs to be safe. Bad things happen but they don’t need to happen to you. In Centennial, CO Compass Insurance offers you choices. As independent agents, we represent some of the most respected carriers in the business and we help you find the one that is right for you. 

Set your home security system

If you have a home security system it is a great way to protect your home but only if it is turned on and armed. With all the advances in home security, you should be able to turn your system on remotely with your smartphone even if you realize it after you leave. 

Stop your mail

Nothing says we’re not home like an overstuffed mailbox. It is as simple as going online to the USPS website to fill out the dates you want your mail stopped and when to resume it. It is a good idea to ask mail to stop a day before you are leaving just to make sure your mailman got the message. 

Talk to a neighbor

Neighbors see things, and when you are planning to be away, a nosey neighbor can be your best friend. If you know someone walks the neighborhood every day, ask them to look for anything unusual about your home while you are away. 

Don’t announce your plans

Media silence when you are planning to be away is the best policy. Why give thieves the information they are looking for? Don’t share vacation pictures until you get back. 

Contact Compass Insurance in Centennial, CO  and let our experienced and friendly agents help you choose the perfect home insurance. 

Home Insurance for New Homeowners

Maybe you’re buying a new home for the family, or you’re purchasing your first-ever home in Centennial, CO. Either way, if you’re a new homeowner, you need homeowners insurance. If you’re new, it can be hard to know what home insurance covers and what policy is right for you. Learn the in’s and out’s of home insurance with the experts at Compass Insurance. 

What Does Home Insurance Cover? 

Home insurance provides you with financial protection in the event that your home sustains damage from an accident or other type of incident. Since new homeowners may be unfamiliar with home insurance protection, here are some areas in which you can receive coverage with home insurance: 

  • Property damage
  • Damage sustained from a natural disaster
  • Liability
  • Injury 
  • Damage of another person’s property
  • Other structures on your property

These are just some of the areas in which home insurance can provide coverage. The specific coverage types and coverage amounts will depend on what home insurance policy you choose. To find the right home insurance policy for you, visit Compass Insurance for a consultation. 

Why Is Home Insurance Important?

Home insurance doesn’t just provide your home with protection, but it gives you relief from the fear of not being covered. Life can be unpredictable, and your home is your best investment. You want to do everything in your power to make sure that your home is properly protected. It’s always better to have coverage and never need it than it is to never have coverage and need it one day. 

Protect Your Home with Compass Insurance

When it’s time to choose a home insurance policy to protect you and your family, visit Compass Insurance to find the right policy for you. Our office serves the Centennial, CO area, and you can contact us online or over the phone to receive your consultation. 

What Home Upgrades Should I Tell My Insurance Provider About?

Whenever you perform a home upgrade you will improve the value of your property. Ideally, you’ll insure these upgrades just in case it is ever damaged due to a storm, fire, or other issues. While you’re not obligated to tell your insurance provider about your home upgrades some are more important than others. Here at Compass Insurance, we want to help educate you on home insurance and the ins and outs within these policies. So, if you’re looking to upgrade and live around Centennial, CO, here are some of the upgrades you need to consider informing your insurance provider about. 

Kitchen and Major Bathroom Renovations

If you make any kind of major kitchen and bathroom renovations you should tell your insurance provider. If your home was damaged you wouldn’t want to repair these out of pocket all over again, would you? Now, if you just update fixtures and the paint color you don’t need to, but anything that you spend more than several thousand dollars on is something you should likely discuss. 

Finished Basement

If your home has a basement and you finished it up you’ll want to contact your insurance provider. This drastically improves the value of your home. You should consider doing the same if you finished your attic. 

Update Your Home Insurance Today

It doesn’t matter if you currently have home owner’s insurance, there’s a good chance you can find a policy that better fits your personal needs as a homeowner. If you’re interested in shopping around and finding a new policy that covers your property our staff here at Compass Insurance is here to help. So, if you live in Centennial, CO we are happy to address all the questions and concerns you might have. 

How To Value a Home For Proper Home Insurance

There are many ways to value a home. Let’s consider the different ways and how to obtain adequate home insurance coverage. If you prefer, you can simply call your agent at Compass Insurance, serving Centennial, CO and the surrounding area, and make them do all the work. They will review existing insurance that you have, if any, and give you a professional recommendation that you can rely upon as being in your own best interest. To be a better-informed consumer it is helpful to know how home valuations are calculated.

How does valuation work?

A home has five valuations, which are:

1. Private Mortgage Insurance (PMI)

2. The Purchase Price

3. The Resale Value

4. The Reconstruction Cost

5. The Replacement Cost (including the contents)

Over 60% of homes in America are either not insured or underinsured. That risk you want to avoid.

Private Mortgage Insurance Valuation

Private mortgage insurance (PMI) is sometimes required by a lender to close the loan. This adds a monthly premium included in the monthly mortgage payments. This insurance only covers the remaining balance on the loan for the home. 

PMI does nothing at all to protect a homeowner. It is often wrongly thought by the homeowner to be adequate insurance, which it is not. It does not cover any money paid for the down payment or the closing costs to buy the home. It does not cover any equity value that might increase over time.

Purchase Price Valuation

The purchase price is easy to calculate. You simply look up the total price paid including the down payment and the closing costs in the document to buy the home. Insuring a home for the purchase price is also underinsured for two reasons. Usually, the home goes up in value or it becomes more expensive to rebuild it if it is destroyed.

Resale Value

The resale value is what the home would sell for to another person. This is estimated by using three comparable homes that are listed for sale. They should be as close to the characteristics of your home as possible. Usually, this value is higher than what you paid for the home but not always. In depressed real estate markets, homes sell for a fraction of their purchase price. Those homeowners are "underwater” because the homeowners owe more for the home loan than what it is worth.

Reconstruction Cost

This value is the average price of construction of a new home of the same type in the same area. This is the gold standard for home insurance coverage. It needs to be regularly updated as construction costs increase or the home is improved.

Replacement Cost

This adds to the gold standard and may be set up to cover the cost to replace anything lost including the contents of the home, up to the policy limits.

Summary

Now, that you are well-informed, talk over your circumstances with your agent to make sure you have adequate coverage. Ask about flood insurance too, which is a separate coverage that everyone needs. To get an insurance review and a quote, contact your agent at Compass Insurance in Centennial, CO.