A lot of home insurance policyholders in Lynnwood, WA do not see the importance of reviewing their policies annually. Unfortunately, this does more harm than good. In Lynnwood, WA, a lot of policyholders believe that reviewing their policies will lead to increases in their premium. They often ignore the benefits therein.
Sound Choice Insurance Agency, Inc. will always notify you if there is an increase in your premium. Based on the terms of service in Sound Choice Insurance Agency, Inc. and other reputable insurance companies in the state, here are the reasons you should review your home insurance annually.
In case of an upgrade in your home
It is possible to renovate or retrofit your home. You could also build an additional structure on your property.These upgrades to your home raise its value tremendously. Yes, reviewing your home after the upgrade may lead to an increase in your premium and deductible, but it also means you will be paid more in case of loss or damage.
In case of a disaster, you don’t want to be compensated based on the old value of your home after upgrading it. So, it is essential to review your home insurance policy after an upgrade.
Increase in premium
The premium on your home insurance policy can increase without your knowledge. Although reputable insurance companies will not increase your premium without a legitimate reason, premiums do seldom increase. You will be informed why during the review.
If you decide to install security gadgets or alarm systems in your home to prevent intrusion and burglary, you should review your insurance as you may be entitled to certain discounts. An insurance review is not only about an increase in the premiums, but it is also about possible discounts as well.
It has become a common occurrence to rent out homes to tourists. If you decide to rent out your home to guests, you should also review your home insurance policy. You don’t want to pay for the carelessness of your tenants.
In conclusion, whether there is a change in your home or not, it is important to review your home insurance policy annually because the laws guiding home insurance often change. You may lose money for years if you are not aware of specific changes. An annual review is a great way to keep yourself updated.