Advertising And Marketing Targeted At Consumers For Auto Insurance

701 Words Sep 12th, 2015 3 Pages
Due to the sheer amount of advertising and marketing targeted at consumers for auto insurance policies, people have become more aware of their auto insurance coverage and cost. Homeowner 's insurance, on the other hand, is another matter entirely. These premiums are often seen as a necessity--embedded in your mortgage and escrow payments to the point where you aren 't really aware of what your coverage gives you. That makes it difficult to determine whether your coverage is correct or not.

To better understand where your insurance premium goes--and how to determine if you 're paying too much--you 'll need to understand the four areas that homeowner 's insurance covers. These areas include:

The cost to repair/rebuild your home 's structure in the event of a disaster
Replacement costs for your personal belongings
Liability coverage for injuries on your property
Living expenses if you find yourself relocated while repairs are made
Repair/Rebuild Cost

This is commonly misunderstood portion of your homeowner 's policy, and a point where people often choose too little coverage. What 's important to know about this is that the cost you should look at is the cost to rebuild--not purchase--your home. Too many people consider the cost they paid for their home and start from there. Others make an ever larger mistake and consider their home 's current market value.

Even though certain factors, such as land costs, won 't need to be repeated in the event of a rebuilding, labor for…

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