Insurance Changes with Moving
Depending on what stage of your life you are in, you may encounter unique living situations. Whether you’re single, dating, or married, changes in your life may lead to changes in your home, renters or condo insurance. The policies themselves each have their own differences. It is important to first understand the coverages associated with each policy to help you determine which one is right for your living situation. However, some living situations may leave you wondering which coverage is right for you, or possibly thinking that you don’t need any coverage at all.
Let’s first talk about the differences between policies that protect the space you are living in:
- Homeowner’s Insurance
- Condominium Insurance
- Renters Insurance
This policy protects property that you both own and inhabit. If you have a mortgage on your home, you will be required by your mortgage company to have a home insurance policy. Even though CT, MA and NJ state laws do not require you to have coverage otherwise, it is still important in order to protect your home and your property, as well as the possessions you own, living expenses in the event of a disaster, and liability coverage from lawsuits.
For condominium owners, some insurance is provided by your association. But what you might not be aware of is that it may not be enough. While your association covers the structure of the building you live in, any updates and possessions inside are your responsibility. You will need to reference your condominium association’s bylaws in order to ensure the proper amount of coverage on your policy. In some situations, bylaws state that the unit owner also has to contribute to the reconstruction of their unit. An agent can help you decipher the proper amount of coverage for your unit. Similar to a home insurance policy, if you have a mortgage on your condo, you will be required to have condo insurance. But it is a good idea to have coverage regardless of whether or not it is required.
If you are renting a home, condo or apartment in Connecticut, Massachusetts or New Jersey, you will want to look into a renters insurance policy in event that there is liability damages, damage to the space in which you are living, or damage to your possessions. If you are deemed at-fault for any damage, you will be responsible for covering the costs associated. To avoid paying out of pocket, it’s best to have insurance coverage to rely on.
- Off to College – Extra coverage for a Dorm?
- Moving Back Home or Living with Parents
- Moving In with a Significant Other or Friend
- Buying a Condo
Off to College – Extra Coverage for a Dorm Room?
If your son or daughter is off to school, he or she is likely bringing numerous personal belongings, many of which are expensive electronics such as laptops, tablets, or televisions. This poses the question about whether or not extra insurance coverage is necessary. The insurance your child’s school has would not cover any personal belongings if there was any sort of loss. However, your personal home or condo insurance policy would up to a certain amount. In the event of a covered loss, the personal possessions coverage would help you replace anything that was lost or stolen, subject to your deductible and up to the limit on your policy. The secondary residence clause of your policy will allow for a certain percentage. Check with your agent to ensure that you have enough coverage on your policy. If you think that you need to raise your limits or add a policy for additional coverage, you should talk with an agent.
Moving Back Home or Living with Parents
If you’ve decided to move back home after school, or you’re moving back in with your family to save money, you may consider obtaining a renters insurance policy. While your parents’ homeowner’s policy may cover your belongings to a certain extent, you want to make sure that you and your possessions are fully covered in the event of a loss. Renters insurance coverage would protect your possessions from loss or damage, as well as protect you in the event of a liability issue. Don’t rely on your parents’ coverage to ensure that you are fully protected. The best idea is to have your own coverage as backup. Additionally, if you have your own auto insurance policy, you could consider a combine and save discount. Many people notice valuable savings.
Moving In with a Significant Other or Friend
Whether this is your first time moving out or you’re just moving into a different apartment with new people, you’ll want to make sure you have a renters insurance policy to protect from damage in your apartment, damage to your possessions, or liability damage. For your first policy, you’ll want to contact your agent to give them details about your living space and your personal belongings. If you’re moving into a different home, condo or apartment, be sure to let your agent know so that your policy can be updated with the proper information and your coverage limits can be reviewed. You may also consider additional coverage such as an umbrella insurance policy for extra liability protection or specialty insurance for other areas of concern. Your agent can help you decide if these are right for you based on your lifestyle and possessions.
It doesn’t matter if you’re a first time buyer or if you’re downsizing to a condo, it is still important to have a condominium insurance policy to protect your new home and your belongings. While you may notice that your condominium association has a master policy, this does not protect your individual unit or the things that you have inside. If you decide to make some upgrades before moving in, you’ll also want to make sure you update this information with your insurance agent. Depending on your liability concerns and the possessions you own, you may also consider specialty insurance policies such as umbrella insurance, jewelry insurance or collections insurance. As stated above, your association’s bylaws state the exact coverage provided by condominium association. To get the most accurate quote, be sure to get a copy of these bylaws so that your agent can recommend the best coverage and limits for you.
For more information on these living situation changes and the others that you encounter, it’s best to talk to an agent to ensure that you have the right coverage in CT, MA and NJ. Don’t forget to ask about combining and saving, or other forms of discounts, to help you get the best price. Talk with our agents at 888.865.1244 for more information or your personalized quote.Read More