Home insurance is something that everyone has to have. But choosing the right home insurance shouldn’t be based on rates alone. Reading the fine print when it comes to an insurance policy is tedious, to say the least, but not reading through a policy in its entirety can lead to some very sticky situations for homeowners.
Contracts come with lots of details. Insurance policy contracts are no exception. We understand that it’s easier to read through, roughly understand (or take an agent’s word), and sign a policy. The problem with this mentality is, though, that you are at fault and liable if you do not ask the right questions.
Ask questions about your policy. Ask all the questions you want prior to signing on the dotted line. Even the ones that seem obvious. Even if you think that you might sound stupid or silly. Just ask. If an answer seems convoluted or you don’t understand a response, ask a lawyer. Trust us, it will pay (in more ways than one!) to spend the money on having a lawyer look over your home insurance policy.
Repair policies are one very good reason to take the above advice.
How Will Your Home Be Repaired?
The ‘right to repair’ clause or the ‘managed repair’ clause (this can be worded either way) means something very simple for homeowners. As this article details, these phrases mean that your insurance company will choose the contractor that repairs your home following damages. You won’t have the opportunity or option of choosing your own contractor. You will not have a say in what get’s repaired.
Further, the contractor that is chosen to repair your home may or may not act swiftly. Insurance companies will often find the cheapest way to make necessary repairs, which does not bode well for homeowners in most situations. It is always our mandate to make sure that you are protected from such clauses (most homeowners have no idea that this clause exists within a contract!).
It is absolutely outrageous that insurance companies are allowed to “sneak” this policy provision into an insurance policy. So, what can you do? Because of this type of garbage, all homeowners must now take additional steps to protect themselves. We have come up with a checklist of questions to ask your insurance agent BEFORE you sign on the dotted line.