Published: March 01, 2025

Home Insurance 101: Protect Your New Property

Purchasing a new home is an exciting milestone, but securing the right home insurance is just as important as choosing the perfect property. Home insurance protects your investment, offering financial coverage for damages, theft, and liabilities. Without proper coverage, unexpected disasters could lead to significant financial losses. Understanding how to get home insurance for your new property ensures you make informed decisions and get the best policy for your needs. In this guide, we’ll walk you through the home insurance process step by step.

1. Understand Why Home Insurance Is Important

Home insurance provides financial protection against unforeseen events such as fires, storms, vandalism, and theft. It also covers liabilities in case someone is injured on your property. Mortgage lenders typically require home insurance before finalizing a loan, making it a crucial step in the home-buying process. Beyond lender requirements, having a solid policy gives you peace of mind that your home is protected.

Key Benefits of Home Insurance:

• Property Protection: Covers damages to the structure of your home.
• Personal Belongings Coverage: Protects furniture, electronics, and valuables
• Liability Protection: This covers legal costs if someone is injured on your property.
• Loss of Use: Pays for temporary living expenses if your home becomes uninhabitable.

2. Determine the Coverage You Need

Every home has unique insurance needs based on its location, size, age, and risk factors. Here are the main types of home insurance coverage:

• Dwelling Coverage: Pays for repairs or rebuilding if your home is damaged by covered events like fire or storms.
• Personal Property Coverage: Covers the cost of replacing belongings such as clothing, electronics, and appliances.
• Liability Protection: Provides coverage for lawsuits related to injuries or property damage caused by you or your family.
• Additional Living Expenses (ALE): Covers temporary housing and expenses if your home is uninhabitable after a disaster.
• Floods and Earthquakes: Standard policies don’t cover floods or earthquakes, so you may need separate coverage.

3. Compare Different Home Insurance Providers

Not all insurance policies are the same, and premiums can vary significantly among providers. Comparing multiple home insurance companies helps you find the best deal and coverage for your home. Look for providers with strong reviews and reliable customer service.

Factors to Consider When Choosing an Insurer:

• Reputation and Customer Reviews: Look for insurers with strong customer satisfaction ratings and positive reviews.
• Financial Stability: Check the company’s financial strength through agencies like A.M. Best or Moody’s.
• Claims Process: Choose an insurer with a straightforward and efficient claims process.
• Discounts and Bundling: Many insurers offer discounts for bundling home and auto insurance or security systems.

4. Get a Home Insurance Quote

Before purchasing a home insurance policy, request quotes from multiple insurance companies. You can get a home insurance quote online, through an insurance agent, or directly from an insurer. Comparing different quotes helps you find the best coverage at the right price.

What You’ll Need for a Quote:

• Home Details: Address, square footage, construction type, and year built
• Security Features: Smoke detectors, alarms, deadbolts, and security systems
• Claims History: Any past insurance claims related to your home.
• Coverage Amounts: The value of your home and personal property.

5. Understand Policy Exclusions and Limitations

Every home insurance policy has exclusions and limitations. Read your policy carefully to know what is and isn’t covered.

Common Exclusions:

• Flood and earthquake damage (requires separate policies)
• Routine wear and tear
• Damage from pests like termites
• High-value items beyond standard policy limits (e.g., jewelry, artwork)

If needed, you can purchase endorsements or riders to cover additional risks.

6. Lower Your Home Insurance Premium

While home insurance is essential, there are ways to reduce your premiums without sacrificing coverage.

Ways to Save on Home Insurance:

• Increase Your Deductible: A higher deductible lowers your monthly premium.
• Bundle Policies: Combine home and auto insurance for discounts.
• Improve Home Security: Install alarms, smoke detectors, and surveillance cameras.
• Maintain a Good Credit Score: Insurers often consider credit scores when setting rates.
• Avoid Small Claims: Frequent claims can increase premiums over time.

7. Finalize and Purchase Your Policy

Once you’ve compared options and chosen the best policy, finalize the purchase. Provide all necessary documents to your insurer and set up payment for your premium. Review your policy details carefully to ensure you understand your coverage and any exclusions.

Before Signing, Review:

• Coverage limits and deductibles
• Policy exclusions and optional endorsements
• Payment terms and renewal policies

8. Keep Your Policy Updated

Your home insurance needs may change over time, so review your policy annually to ensure adequate coverage. Inform your insurer if you:

• Renovate or expand your home
• Purchase expensive valuables
• Install security upgrades

Securing the right home insurance for your new property protects your investment and provides peace of mind. By understanding your coverage needs, comparing providers, and taking steps to lower premiums, you can find an affordable policy that offers comprehensive protection. A little research can save you money. Start the process early to ensure seamless coverage before moving into your new home.

For help moving to your new home, visit UNITS® Moving and Portable Storage of Northeast OH, Cleveland & Akron, or call (440) 613-7743.