Buying your first home is an exciting time and a reason to celebrate. It is something you have been thinking about and planning for a while and will finally happen. While it is undoubtedly a reason to celebrate, there are essential commitments attached to purchasing a home, and one of those is home insurance.
Even though home insurance is not required in Florida (unless you have a mortgage), it is worth considering if you think about the potential threats involved in owning a home in Florida, such as weather, fire, theft and more. The expenses you would have and money you would need to pay to rebuild your home after a hurricane, for example, could be astronomical and beyond the value of the house itself.
As a first-time homebuyer, here are a few things to consider when thinking about purchasing home insurance in Florida:
- If you decide to buy home insurance, it is recommended that you shop for pricing well ahead of time. The potential threats to property in Florida can result in expensive premiums, and taking your time to look around before closing on your home can save you money.
- Consider bundling insured assets like a home, vehicle, boat or yacht. It can decrease the cost of your premiums and make it much easier for you if you file a claim when all assets are under the same insurer.
- Before deciding whether you will or will not purchase home insurance, decide how much money you are willing to spend if your property is damaged. Ask yourself if you can afford the cost of rebuilding the entire home or making repairs as necessary.
- If you can pay an insurance premium in full, consider that option. It probably will save you quite a bit of money to pay the premium all at once and before you move into the property, especially if you have bundled assets under the same insurer.
- Consider liability coverage and how much you need. Liability coverage is the part of insurance that pays for medical or legal fees if you are responsible for damage caused to another individual or their property.
It is also important to remember that insurance companies want to save money. As such, it may be a good idea to seek legal guidance from an expert in this field.
Buying your first home is exciting and something you should feel proud of. At the same time, it is crucial to consider the potential expenses you would incur in the event of damage to your property.