Do not make these four critical mistakes that can potentially cost your over $30,000 dollars.
Are you moving to Mount Pleasant, Isle of Palms or Charleston, SC? The last thing you want to do is find a new insurance agent or company, right? You just say, “hey, I will just call my current agent and have her move my insurance”, right?
Seems logical…until your current insurance company won’t write home insurance on the coast in South Carolina…or maybe your agent doesn’t understand wind or flood insurance.
What if I told you this was a colossal mistake? What if I told you that you could be costing yourself literally $20,000 or $30,000 a year?…I am serious and I will tell you why below.
Don’t just assume your current home insurance company can, will, or wants to insure your new home when moving to areas like Mount Pleasant, Isle of Palms, or Charleston, SC.
I am referring to the “big dogs” like State Farm, USAA, Allstate, and many other large “national” insurance companies.
What they don’t want to tell you is that they actually do not want to write your home on the coast and include key coverages like wind and/or flood insurance. Yes, they might be able to offer you a “wind policy” through what is called the “wind pool”, which is literally the “last resort” option(too many quotations, I know!). Seriously, even on the wind pool (SCWHUA) website, they say it for themselves!
So why should you not purchase a “wind pool” policy (last resort option)? For starters the premium is about 30-40% higher than the standard market. Number two, their deductibles are super high…I am talking $20,000 or $30,000 deductibles for a $500,000 home. Try that on for size! And number three, their coverages are bare bone. So let’s recap that…high premiums, high deductibles, bare bone coverages…I think I will pass!
If I wasn’t clear enough. I will say it plain and clear. KNOW YOUR POLICY AND KNOW YOUR DEDUCTIBLES. Do not find out after a loss that you have a $30,000 wind deductible and no coverage for your personal property (contents) or loss of use coverage.
Another thing to keep in mind is that EVERY PROPERTY IS IN A FLOOD ZONE. Yes, EVERY PROPERTY…EVERY PROPERTY! Many people that “think” they are not in a flood zone are in an X flood zone. When you are in an X flood zone, lenders do not require you to carry flood insurance. So where is the risk then, right? Well for starters, nearly 30% of all flood claims occur in X flood zones and the average flood loss is over $28,000. You can buy an X zone flood policy for as little as $250 a year. Why risk your home over this? Buy a policy today (seriously, click here) if you do not have one…you will thank me later.
So, you are probably thinking, Andrew all this sounds really expensive and somewhat scray and rethinking your move to the Mount Pleasant, Isle of Palms or Charleston area, right? Well, look at your property tax bill…some of the lowest in the country!
Here is a real world example:
We have a client, Mike, that moved here from Cleveland, OH and was paying over $10,000 in property taxes and only $1,000 on his home insurance. In Mount Pleasant, they are only paying $4,000 in property taxes but $4,000 on their home insurance. A net savings of $3,000 a year…not bad, right? Oh yea, and you don’t have to deal with the snow either!
Keep listening because I am going to reveal ways you can possibly bring your home premium down from that $4,000 to $3,000 a year.
One key to the savings is called a Wind Mitigation Form. Many agents do not talk about this gold mine because it means lower commissions for them. In short, a wind mitigation form identifies features on a home that help keep it safe and secure during a hurricane (or other wind events). In turn, insurance companies will give you a credit. However, they do not give you the credit automatically. You must get this form completed by a licensed contractor that is qualified to complete the wind mitigation form. Don’t worry, just reach out to our office and we can lead you in the right direction.
But that is not all. You want to save even more? Some other things that can make a big impact to your premiums are – monitored burglar/fire alarm system. Full or partial updates to your roof, plumbing, electrical and hvac systems can help give you some savings as well. Do you live in a gated community? Do you have a great credit score? How about no claims in the past three year? Maybe your a “senior” (over 50 for most insurance companies)…I know 50 isn’t old but hey, if you can get the discount sign me up, right? Lastly, something as simple as placing your auto insurance through the agency that writes your home insurance can save you another 10%…and let me tell you, 10% here, 5% there of $3,000 or $4,000 can add up quickly!
So what are you waiting for. Click the button below to get started. Why wait? Don’t just start saving money now, but save yourself from an uncovered flood loss or that $30,000 wind deductible that will kill your bank account. Act fast before it is too late. These low rates and discounts will not last forever. Lock them in by clicking on the link below to get started.