Homeowners Insurance In Orange County, California
If you live in Orange County, CA, your home is probably the most valuable asset you own. Property values are higher out here and many people have chosen to remodel. Orange county also faces different perils than other states. Homeowners insurance in Orange County is a bit different than in other parts of the country. Here are some helpful pointers you should know in order to choose the best insurance coverage for your needs:
Your market value is not the same as your reconstruction value. Insurance agents recommend that you get enough insurance to cover the cost of rebuilding your home if it were destroyed completely. Have a contractor estimate the cost of rebuilding your home and insurance for that amount. It does not include the land your home sits on, or the amount you still owe on your mortgage. Talk to your insurance agent for more specific details.
You need earthquake insurance. Southern California is prone to earthquakes. Did you know your regular homeowners insurance does not cover damage cause by the ground shaking or water damage that results from an earthquake? If you have an expensive wine collection that is damaged by an earthquake, you may need additional coverage as well.
Valuables such as jewelry, collections, artwork, wine collections, sporting equipment or fishtanks may not be covered by your regular insurance policy. You will need an "insurance rider" which is an additional statement that covers items not covered by your regular insurance.
If you remodel your home, you need to talk to your agent about changing the policy to cover whatever changes you have made. Your new granite countertops were not included in the first estimate!
If you live in a condo, your HOA will have insurance that covers the structure. Many HOAs have a "bare walls" policy that only covers the structure. If you have a flood you will have to repaint, fix the carpet, and replace any other items inside your home. Talk to your agent about specific details.
You should also have liability coverage in case a guest is injured on your property. This is included in most homeowners insurance policies, but talk to your agent to make sure.
Flood insurance: You may not think you need it, however California occasionally has floods and your regular insurance will not cover damage cause by water from a flood unless you have it.
You should make a home inventory so that you know exactly what you have and how much it is worth. Taking photos or a video can be helpful along with an itemized list. You'll want to store it in a location away from your home. If a disaster strikes, having a home inventory will help speed up the claims process.
Living in Southern California is a luxury. Most homeowners insurance packages may not suit your needs. Talk to your agent about your unique situation so you can determine the financial protection you need.
Your market value is not the same as your reconstruction value. Insurance agents recommend that you get enough insurance to cover the cost of rebuilding your home if it were destroyed completely. Have a contractor estimate the cost of rebuilding your home and insurance for that amount. It does not include the land your home sits on, or the amount you still owe on your mortgage. Talk to your insurance agent for more specific details.
You need earthquake insurance. Southern California is prone to earthquakes. Did you know your regular homeowners insurance does not cover damage cause by the ground shaking or water damage that results from an earthquake? If you have an expensive wine collection that is damaged by an earthquake, you may need additional coverage as well.
Valuables such as jewelry, collections, artwork, wine collections, sporting equipment or fishtanks may not be covered by your regular insurance policy. You will need an "insurance rider" which is an additional statement that covers items not covered by your regular insurance.
If you remodel your home, you need to talk to your agent about changing the policy to cover whatever changes you have made. Your new granite countertops were not included in the first estimate!
If you live in a condo, your HOA will have insurance that covers the structure. Many HOAs have a "bare walls" policy that only covers the structure. If you have a flood you will have to repaint, fix the carpet, and replace any other items inside your home. Talk to your agent about specific details.
You should also have liability coverage in case a guest is injured on your property. This is included in most homeowners insurance policies, but talk to your agent to make sure.
Flood insurance: You may not think you need it, however California occasionally has floods and your regular insurance will not cover damage cause by water from a flood unless you have it.
You should make a home inventory so that you know exactly what you have and how much it is worth. Taking photos or a video can be helpful along with an itemized list. You'll want to store it in a location away from your home. If a disaster strikes, having a home inventory will help speed up the claims process.
Living in Southern California is a luxury. Most homeowners insurance packages may not suit your needs. Talk to your agent about your unique situation so you can determine the financial protection you need.
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