Simple Homeowners Insurance Mistake They Can Cost You Thousands!
As a local insurance professional, I can assure you that it is relatively easy to make a mistake on your insurance that could cost you thousands of dollars.
So when you are shopping for King of Prussia Car Insurance, or King of Prussia Homeowners Insurance, or the surrounding areas the most important part of your decision making process should not be based on how much money you can save, but rather what kind of advice do you receive to make sure that you are properly protected?
As insurance experts we want to help you have the proper protection. It’s too late to change your coverage after the claim happens!
Call us today at 610-413-9880 for a free policy review, or to receive online insurance quotes click on Online King of Prussia Pennsylvania Insurance Quotes. (Quotes available in all areas of Pennsylvania.)
How Could a $50 Homeowners Insurance Mistake Cost You Thousands of Dollars down the Road?
When you inadvertently step down your homeowner’s policy from an H05 coverage form to an H03 policy form!
What Is the Coverage Difference between the H03 and the H05 Policy?
The most common homeowners insurance policy sold in the United States is the HO3 homeowner’s policy form. However the H05 policy form is available to homeowners in Pennsylvania.
A standard H03 and H05 homeowner’s insurance policy provides coverage for your home, your contents, and liability exposures up to your policy limits. The major difference between the H03 and the H05 policy involves your personal property or contents coverage.
An H03 homeowner’s insurance policy provides content coverage for claims that are named in the policy and often insurance companies refer to this coverage as named perils coverage.
If coverage is available for a claim, that claim event must be named in the policy.
The typical H03 homeowner’s insurance policy provides personal content coverage for up to 16 different types of perils. One of the perils is fire damage.
If your house catches on fire and all of your personal belongings are destroyed by that fire, coverage would apply because the claim is named in the policy.
What happens if a claim event is not named in the H03 homeowner’s insurance policy?
No coverage would apply.
The H05 homeowner’s insurance policy does not have such a named perils restriction, please note how one H05 policy reads:
- We cover risks of direct physical loss to property under the Dwelling, Other Structures and Personal Property Coverages, except for losses excluded by the exclusions in Section I of your policy.
In all fairness the H05 homeowner’s insurance policy does not cover every possible claim situation, but it does provide increased protection compared to the H03. In fact there could be hundreds of different claim scenarios were coverage would apply for the H05 but it would be denied by the H03.
How Much Is the Difference in Price between the H05 and the H03?
In many cases it’s probably only around $50 more per year for the H05.
So if you previously owned an H05 homeowner’s insurance policy and you switched to a company offering the H03 policy, you have just given up very valuable protection that could cost you thousands of dollars down the road in the event a claim occurs to your personal property that is not named in the policy!
Why Are We a Better Choice?
Purchasing cheap homeowners insurance in King of Prussia may cost you financially. We will provide you the professional advice you need to make an informed educated decision about your homeowners insurance.
Call 610-413-9880 for King of Prussia homeowner’s insurance quotes, or click here to receive an instant homeowner’s rate quote.
Call us