5 Common Misconceptions About Home Insurance

Most people have a lot of misconceptions about home insurance. Many people don’t even bother to get it because they think it’s too expensive or don’t need it. But the truth is home insurance is an integral part of protecting your home and your family. Here are five of the most common misconceptions about home insurance:

1. Home Insurance Only Covers My Home, Not What’s Inside It

People tend to believe that home insurance only covers the structure of their home and not its contents. But it’s designed to cover both. That means damages from theft, fire, and accidents are taken care of in most scenarios.

2. All Home Insurance Policies Are the Same

There are many different kinds of home insurance policies to choose from. Make sure you get one that fits your needs by researching beforehand. For example, if you’re planning on living in your home for a long time, it might be worthwhile to invest in replacement cost coverage rather than actual cash value.

3. Home Insurance Is Too Expensive

While home insurance can certainly be pricey, it’s often less than people think. And in the long run, it’s an investment you won’t regret when disaster strikes, and your policy saves you thousands of dollars.

4. If I File a Claim, They Will Drop Me as a Customer

Many people believe that their home insurance company will drop them as a customer if they file a claim. But the truth is, most providers want to keep their clients happy. So unless you’ve tried to defraud your home insurance company, you have nothing to worry about.

5. Home Insurances Covers Floods

While many states are subject to hurricanes, tornadoes, or other natural disasters, it’s important to know that floods aren’t covered by home insurance. If you live in an area where flooding is a concern, make sure you get separate flood coverage

There are many misconceptions about home insurance, but removing these roadblocks will make it easier and less expensive to protect your home and family. So do your research and invest in a policy today. Looking for home insurance in Stamford, CT? Allkane Insurance is here to help. Call us to learn more.

Is Motor Home Insurance Required in Connecticut?

Motorhomes are one of the best ways to see all the beautiful scenery the East Coast has to offer. Many families elect to travel this way because it’s more affordable, convenient, and more fun than flying! 

If you are thinking about purchasing a motorhome and are in the Stamford, CT area, Allkane Insurance wants to make sure you’re well informed on the coverage options and importance of motorhome insurance in general. 

Connecticut state law requires that registered motorhomes carry liability insurance coverage that protects other drivers, passengers, or pedestrians against accidents that aren’t their fault. Liability insurance also covers property damage and injuries to others in accidents that are caused by you. 

While liability coverage is a good place to start, we recommend investing in more coverage in order to protect yourself financially,  along with any other assets you have. Purchasing a motorhome is not a cheap venture, and it should be protected as such. If you plan to keep your motorhome for many years, insurance will protect and maintain its value. 

Many unforeseen things can happen when we’re driving; from collisions to bad weather, anything can happen on the road. Let your trips be memorable while your motorhome is safely ensured, no matter what happens. 

Allkane Insurance serves the Stamford, CT area and has years of expertise insuring families with motorhomes. If you’re on the hunt for a new policy, want to increase your coverage, or see what your options are, we are here for you.

Reach out to us today and we’ll help you get a plan that fits your lifestyle, travel plans, and future goals. 

How long do I have to carry mortgage insurance? Is there any advantage to keeping it when I’m no longer required to?

When you buy a house in Stamford, CT, you get all the advantages of the location but you also take on a lot of responsibility. After taking into account the mortgage, utilities, repairs, and everything else that comes with owning a house, you are probably looking for ways to save money.

When you purchased your homeowner’s policy through Allkane Insurance, you probably had to get Private Mortgage Insurance (PMI) as a requirement. Usually, anyone who did not put a full 20% down towards the total house payment is required to purchase PMI. The cost of the PMI is usually about .20% to 1.5% of your mortgage, depending on factors like your credit score and loan term.

The mortgage insurance is there so that if you end up not being able to make the payments on your home, the mortgage insurer will pay for a portion of that loss. Unfortunately, the PMI protects your lender but offers no protection to the homeowner.

That means that you may think it is beneficial to cancel the Private Mortgage Insurance as soon as you are allowed to do so. You can check your contract, but most lenders will let you cancel your PMI once you have a certain amount of equity in your home, probably 20 or 25% of the total value. This does not mean that you need to stop having insurance on your home. There are many things that can happen from liability issues to fire and hail. A lot of unpredictable situations can occur. A home insurance policy is beneficial to anyone who wants to hold the value of their home.

If you live in Stamford, CT, you don’t want to miss out on coverage from events that could be easily fixed with the right policy. If you have any questions about homeowners or mortgage insurance, or other general questions about insurance, please feel free to call Allkane Insurance today.