Buying a New home? Here are 5 ways your insurance agent can help
Buying a new home is exciting—but it can also be a daunting and complicated task. You may think that the most important people to have on your team for this major transaction is a realtor and a mortgage broker. But did you know that having an independent insurance agent involved in the process can save you not only time but sanity? Below are 5 ways they can help you navigate the home buying journey.
1. Insurance Agents are Local Experts
Buying a home in a new city? You may not know where to begin. What are the best communities to fit your lifestyle, where are the safest neighborhoods, and the best schools? A local, independent insurance agent is a wealth of information! They are likely very involved in their communities and willing to give you recommendations. They may also have a list of recommended local professionals such as realtors and home inspectors.
2. They Can Configure Your Cost of Coverage Prior to Purchase
Picture it: you’ve just purchased your dream home, everything is in order—and then you get hit with an unexpectedly high insurance bill. That can be avoided! Most mortgage lenders require homeowners insurance. Along with escrow payments for taxes, these costs can easily get lost in the pre-buying shuffle—and it’s important to know what you can afford.
The good news is that your independent insurance agent can provide estimates of your potential insurance costs before you purchase your home. Premiums will vary, depending on the size and location of your home (and other factors, such as pools, pre-existing damage, proximity to a fire station, etc.). Using this tactic can help narrow your list of potential homes and eliminate ones out of your price range.
3. They Can Recommend Added-Value Coverage to Consider
Besides standard home insurance, you should talk to an agent about other coverage options. With things such as fire zones and wildfire seasons, California homes can be complicated to insure. Certain homes qualify for fire insurance under the California FAIR Plan. We also suggest insurance that will cover damage done by service lines, water backups, and policies that offer guaranteed replacement costs.
4. They Can Provide Full Disclosure Regarding Previous Claims
If you’ve ever purchased a used car, you likely received a report detailing any accidents it was involved in. A house is no different! By utilizing the comprehensive loss underwriting exchange (CLUE), your independent insurance agent will be able to tell you what claims have been filed in the history of the house. If it’s had a lot of claims, insurance companies may charge a higher premium because they see the home as being “high-risk,” which can be a dealbreaker for some.
Pro tip: After a home inspection, be sure to share the report with your independent insurance agent. They can spot any red flags associated with the inspection that could impact (and raise) insurance rates.
5. The Benefits of Working with an Agency
Above all else, an independent insurance agent should understand your needs and get you the best results. At The Weiser Agency, we are your trusted local experts when it comes to insurance. If you’re working with a lender, we can partner directly with them to get everything they will need for closing quickly—which is not always the case when working with a large corporation (1-800# hold music, anyone?). We are a direct line for you and your lender. Since the home buying market moves incredibly fast these days, a closing period can easily get pushed back if insurance isn’t provided to a lender promptly. We’ll make sure that doesn’t happen.
At The Weiser Agency, we are committed to helping you find the best insurance package to fit your lifestyle—and your new home. Our team is ready to assist you. Drop us a line today at 805-984-3777, or contact us through our website at www.theweiseragency.com.