Meet Emily Emily is about to become a first-time homeowner

Emily has watched our video “Homeowners Insurance 101”, so she understands the importance of homeowners insurance However, she has no idea how to actually get it What should she do? Well, her first step is simple: shop around for the best homeowners insurance plan To do this, Emily can either go online and get quotes from insurers, contact a local insurance agent, or use our preferred website to easily compare insurance quotes from the best providers Now that Emily understands how homeowners insurance works and how to get it, as long as she follows these ten rules she should be set for the future! Rule 1: Always opt for the comprehensive HO-3 plan and always get enough dwelling coverage to cover 100% of the costs of rebuilding your home

Note, this is not the same as as your home’s market value, which includes the value of the land beneath the home, but not local construction costs For more details, check out our recommended calculator Rule 2: Always opt for plans that reimburse the full replacement cost of an item, not just cash value That’s because cash value factors in depreciation, so your insurer may only pay $500 for that refrigerator you paid $2,000 for five years ago Rule 3: To save money, choose an insurance plan with the highest deductible you are willing to pay

The higher your deductible, the lower your monthly premium Rule 4: Before getting any homeowners insurance plan, be sure to carefully read its fine print Rule 5: Be sure to shop around for homeowners insurance plans at least every three years Depending on your circumstances, you may qualify for lower rates Rule 6: Before you get a policy, do a home inventory

This is simply a record of the cost of all items in your home, ideally with photographs attached to prove ownership This list will prove invaluable, both when determining how much coverage to buy and in the event that you need to file a claim Rule 7: If you have expensive artwork, furs, or jewelry, all items generally not covered by the standard homeowners insurance, consider paying a little extra to add them to your policy Rule 8: Make your house as risk-free as possible Your insurer may give discounts for installing thing like smoke detectors, storm shutters, burglar alarms, and sprinklers

Rule 9: If you currently have car insurance, consider getting your homeowners insurance through the same insurer You may get a discount for bundling the two plans And finally Rule 10: If your property is damaged or stolen, don’t delay, call your insurer and file a claim as soon as possible They’ll likely reimburse you, even if the theft or damage took place outside of your home Congratulations! You have finished the homeowners insurance basics curriculum! Be sure to check our our next video to learn how to close on a home and a mortgage, and to check out our website, where you can find more educational material and great homeowners insurance recommendations