Is Homeowners Insurance in El Dorado Hills Required?

By law homeowners insurance is not required. This doesn’t mean you won’t be required to carry it though. If you have a mortgage on your home, more than likely the lender will want you to have enough homeowners insurance to rebuild the home if the worst were to happen. Please also keep in mind that many condo associations and private communities will require homeowners insurance.

Although, if your home is free and clear and you do not carry a mortgage, homeowners insurance can still be a great investment. Think about how much it would cost you to rebuild your home. If it were to be destroyed it could be financially crippling and put you out of one of your largest investments. 

How Much Does Homeowners Insurance in El Dorado Hills Cost?

Your homeowners insurance premium will depend on a few key factors. The cost of your policy is very dependent on the risk the homeowners insurance company is taking on. There are other factors that will play a key role such as building costs, age of the home, size of the home, location, condition of the home, materials used to build the home, security features, riskier amenities (ie; pools) and roof condition and material. If you have a larger home or an older home, you should expect to pay a higher premium. New homes typically have less issues than an older home. 

Other factors to keep in mind are historical claims data and local weather conditions. If the area you live in has a history of a lot of claims filed, you should expect a higher rate.In addition, if you live in an area prone to wildfires there’s always a chance you may not get coverage. Homeowners in high brush areas have alternate choices such as the California FAIR Plan and DIC coverage. If you live in an area that experiences flooding or earthquakes, you may have to deal with higher premiums. Please also keep in mind that earthquakes and flooding are not covered in your typical homeowners insurance policy. To obtain coverage for these disasters you will need to purchase extra coverage. 

When you install security features it may help to decrease your homeowners insurance rate. Items such as deadlocks, fire alarms, security systems, and burglar alarms can all help to reduce your home insurance premium. On the flip side having higher risk amenities can raise your homeowners insurance premium. Things such as swimming pools or trampolines may create a rise in insurance cost. 

What Does Homeowners Insurance in El Dorado Hills Cover?

Your standard homeowners insurance policy will provide coverage to repair or rebuild your house if it is destroyed or damaged due to fire, theft, vandalism, smoke, severe weather such as hail, lightening, or wind. Your typical homeowners insurance policy will cover cooling and heating systems as well. Items such as water heaters, a furnace, an air conditioner, and more may be covered. Homeowners insurance will not cover wear and tear, component failure, or the typical items covered in a manufacturers warranty. 

A good homeowners insurance policy will also cover personal property within the home. This typically includes items such as clothing, furniture, electronics, and more depending on what’s stated within your homeowners insurance policy. 

Homeowner insurance policies all have limits to the amount of coverage they provide. This may or may not be enough to cover the rebuild of your home or the personal property you wish to protect. Which makes it very important to ask your agent about the amount of coverage you’re getting and to construct a policy that meets your needs. 

The majority of homeowners insurance policies will limit the amount of coverage you receive for higher priced items such as jewelry, artwork, and collectibles. If you wish to cover these items for their value you may need to purchase additional coverage. 

Homeowners insurance can also help to cover you for additional living expenses. For example if you are unable to live in your home and need to stay in a hotel and eat out at restaurants while the home is being repaired or rebuilt, your homeowners insurance policy may help to reimburse some of those costs. ALE can also help to cover you for lost income if you rent out a portion of your home and you tenant is unable to use the property. 

Another thing homeowners insurance can provide is personal liability coverage. If someone becomes injured or is hurt on your property, your homeowners insurance can cover you for legal and medical fees. 

How Much Homeowners Insurance Do I Need in El Dorado Hills?

When you’re looking into getting homeowners insurance you’ll want to make sure you get enough coverage to repair or replace the home if the worst were to happen. Keep repairs to the main structure in mind, as well as detached buildings and structures such as garages and gazebos. 

El Dorado Hills Homeowners Insurance Quote

If you’re interested in finding out more information about homeowners insurance rates in El Dorado Hills or would like a free quote, please give us a call today at 916 313 6100