According to Marshall & Swift, nearly 60 percent of US homeowners are underinsured by an average of almost 20 percent. This means that when a disaster strikes, most homeowners do not have policies that cover the cost of rebuilding their homes; on average, they are left with approximately 20 percent less than what they need. This problem happens for two main reasons:
- Rebuilding Costs – Generally, the cost of cleanup and rebuilding is more than the market value of a home. When purchasing your Putnam Connecticut homeowners insurance policy, take into account the true cost of rebuilding or replacing your home. Otherwise, losing your home can be financially devastating despite your insurance policy.
- Failure to Update Coverage – The typical homeowner purchases coverage when their home is new, and then rarely thinks about their benefits again until he or she has a problem. Every year when you renew your Putnam Connecticut homeowners insurance policy, review your coverage details. Additions, improvements, inflation, and economy all affect the cost of rebuilding or replacing your home.
Get the Protection You Need
When you pay attention to your rebuilding costs and you update your policy annually, your Putnam Connecticut homeowners insurance keeps you safe. Everyone hopes that a disaster will never come, but every year people lose their homes due to fire, flood, hurricane, or one of many other disasters. Make sure that if the unthinkable happens, you have the coverage you need to recover from the hardship.