The Cost of Carolina Homeowners Insurance
Homeowners insurance is often a package policy of two separate insurance policies. A policy that covers you for any damages or hazards done to your home, and a policy that covers you for any damages that may occur to other people as a result of your home such as dog bites.
Homeowners insurance does not cover you in the event of a flood or an earthquake, but separate policies can be purchased for these events. In Carolina, especially if you live on the coast or in the western part of Carolina, you are more prone to flooding.
How Much Homeowners Insurance Do I Need?
Homeowners insurance is not like auto insurance, and is not required by the state in order to own a home. It is possible for a person to own a home and carry no homeowners insurance.
However, if you had to finance your home and take a mortgage out, then chances are your lender requires homeowners insurance as part of the loan.
Many people bundle their Carolina homeowners insurance into their mortgage payments, but some people purchase insurance from a separate company. There are no state requirements, but there may be lender requirements, so consult with your lender before making a change or setting up your policy.
For damage done to your home, the recommended coverage is to insure the home for replacement costs. In other words, if your home was to be completely destroyed by a fire or tornado, how much would it cost to build the home and furnish it? If you are uncertain about how much it would cost to do this, consult with a builder or speak with your insurance agent.
To protect yourself for any liabilities such as a dog bite, it is generally recommended that you carry anywhere from $100,000 to $250,000. If you require special insurance for objects with a high value, such as jewelry, it is recommended you cover it on its own policy.
How much does Carolina Homeowners Insurance Cost?
The cost of homeowners insurance varies greatly; the two most important factors are location and cost of the home.
Homeowners insurance in Carolina is among the more expensive in the nation with those costs being mostly in coastal cities. Due to the weather and threat of hurricanes, freezing and flooding, a lot of damage is caused to homes on a yearly basis.
The larger and newer the home, the more it would cost to build the home, resulting in a higher premium for your home insurance.
To make any changes to your homeowners insure, first contact your lender to see if there are any insurance requirements and then contact your insurance agent to make changes.