Homeowner
insurance is one of the most important products you will ever
purchase. It is the largest single investment for the majority
of Arkansans.
Getting
the BEST coverage at the BEST possible price.
Buying
homeowner insurance is a lot like buying anything else. The more
you shop, the more likely you are to find the best deal. McGhee
Insurance Agency is an independent agency; that means
we represent a lot of insurance companies and can help you find the best coverage
for the best possible price. Homeowner policies can be Basic, Broad
or Special. There are special policies for Renters, Condominimum Owners
and Owners of Older Homes. Our Homeowner
Insurance Glossary provides more information.
How to Determine What You Need.
Homeowner
Insurance provides coverage in many areas: protection for your
home, your personal property, any outside structures you may have
as well as personal liability coverage should someone be injured
while on your property.
We've
prepared a special page to help you get started with your homeowner
insurance protection planning. Please read Determining
Your Home's Replacement Value. You can then return
to this page by clicking the Home Insurance link in the left-hand
column.
Homeowner Insurance Includes Four Basic Coverages.
Coverage
A is insurance protection for the dwelling or house. It
includes attached structures such as a garage or carport as well
as materials
you may have that are to be used for repair or construction. When
a homeowner policy is issued for $100,000, that means it has $100,000
Coverage A.
Coverage
B protects outside structures not attached to your dwelling,
such as storage buildings, fences, playhouses, pool houses, etc.
The
amount of insurance protection under Coverage B is usually 10%
of Coverage A.
Coverage
C protects your personal property. This is usually worldwide
protection and includes theft protection -- even if you're on vacation
and your personal property is stolen in a faraway place. The amount
of protection for Coverage C is usually 50% of Coverage A, and
most policies include a list of limitations and/or exclusions.
Our Helpful Tools page
has a FREE Home Inventory Software you can
download to keep track of your personal property. Also, be sure
to check out the Helpful Tips page.
For
instance, animals are not covered. Credit cards are not covered.
Theft of guns from your property might have a limitation of $2,000
and theft of furs or jewelry may very well be limited to $1,000.
Riders (endorsements) can be added to your basic homeowner policy
to increase coverage for your personal property.
Coverage
D provides living expenses for you should your dwelling become
uninhabitable. Your increased living expenses are paid until you
are able to return to your home or you permanently relocate.
Automatic Additional Coverage.
Section
I of your Homeowner Policy includes certain automatic coverages
such as:
$500 protection for loss of credit cards or loss due to forgery or counterfeit money
$500 for debris removal made necessary by storm, hail, sleet, snow
or ice.
Coverage for trees, shrubs and other plants.
$500 toward Fire Department Service Charge
Reasonable repairs to protect property against future loss
Glass breakage
This is not a full list, but it gives you an idea of the additional coverages
to Section I of your homeowner policy.
Common Exclusions.
Perhaps
you've heard the old joke that your insurance company only pays
if you are hit by an object falling from space at 10:00 a.m. on
the third Tuesday of the seventh month. Well, it's not that bad
but there are some perils not usually covered by homeowner's insurance.
Some
of the more usual exclusions are:
Damage by animals owned or kept by you
War or Nuclear Hazards
Flood
Intentional Loss
Power Failure
Negligence
Earthquake
Rust or Corrosion
Order by Civil Authority
Endorsements Allow You to Increase Coverage.
There
are several endorsements, also known as riders, that you can
add to your homeowner policy to increase its protection value. At today's prices, how many Arkansas hunters could replace
their weapons with $2,000? It doesn't take many jewelry items to exceed $1,000. Listed here are some of the more popular
endorsements:
Replacement
Cost Endorsement - Your personal property is
covered by your homeowner's policy up to 50% of the policy's
face value, but the insurance
company pays only actual cash value for the items. What
is the actual cash value of that sofa you bought ten
years ago? What would it cost to replace it today? Now
apply those questions to all your personal property.
Scheduled
Personal Property Endorsement - This provides
extra coverage for items such as furs, jewelry, fine
art, coin collections, etc. Each item is listed at a stated value.
Inflation
Guard - This endorsement helps keep your coverage
in line with inflation. The endorsement states a limit on
the annual percentage increase.
Mobile
Home Endorsement - This alters certain policy
provisions to make mobile homes eligible for coverage.
Unit
Owners Coverage Endorsement - This provides special all-risk
contents coverage for condominium owners.
Home
Day Care Endorsement - This extends the $2,500
Business Property limit to apply to home day care centers.
How
May We Help You?
The agents at McGhee Insurance Agency have
been trained to help you get the best coverage at the best price for your personal situation. Contact one of our offices for a homeowner
insurance quotation or more information.
Little
Rock Office: (501) 224-6666 or 1-888-214-3149
Sherwood Office: (501) 392-0300 or 1-888-861-8368
Conway Office: (501) 327-4666 or 1-888-563-5656 |
