How Do I Insure My Second Home?

How Do I Insure My Second Home?

How do I insure my second home? The purchase of a second home is an exciting prospect. It usually means a home in an exciting location with a lot of benefits. It becomes very important to insure this property as vacation homes are generally located in locations that can be risky and sometimes dangerous. Many second homes are located on coastlines in the line of fire for hurricanes or tropical storms that can be damaging. Home insurance is an essential part of protecting one’s finances from the effects of a storm. Your personal, local insurance agent can recommend the type of insurance policy that will work the best for your family’s second home.

A second home can sometimes be protected under your current home insurance policy. Nothing extra is necessary, although some policies only protect that second dwelling up to a certain amount. The good news is that generally a smaller, and less expensive policy can protect your second home. Something like a dwelling fire policy will protect your new property against fire, lightning, windstorms, hail, explosions, riot or civil commotion, and damage by an aircraft or vehicle. The coverage is extensive and does not cost as much as an independent home insurance policy. The local insurance agent that deals with your policy can help you find the most cost effective way of insuring that your second home is kept safe.

How to get a copy of your insurance policy >

The important aspect to home insurance policies is most often the liability portion of the coverage. That will almost always extend to your second home, whether or not you have a separate policy for that property. You can rest easy knowing that your beach home in Florida will be covered under your current home insurance’s liability section. Even if you decide to get a separate home insurance policy for the secondary dwelling, liability coverage generally extends to wherever you reside in the world.

Some things to think about when finding insurance for your second home is the location of the property and the risks that are associated with that location. The cost of the policy is based on many factors but most importantly on the location of the dwelling. You can lower this cost with the installation of an alarm system. You can also save money by living in a gate community. Consolidating all your insurance policies under one local, professional agent will also help keep costs low. Some insurance agents will even advise you to purchase an umbrella or excess liability policy to cover all your assets. Some umbrella or excess liability policies extend your coverage up to $1 million or much more.

Insuring a second home is imperative to protect against any dangers that threaten the property, but you have to know all the facts. Enlisting a local, professional insurance agent for help is a great way to find out all the details. They can let you know that you may not even need another policy if your second home is a condo or located in an apartment building. They can also help you find discounts in different places. For example, if your home has a roof that is 20 years old or younger you can save a significant amount of cost monthly.

Other Enhance Insurance articles related to “special” Home Insurance:

Do I Need Car Insurance or Home Insurance for My RV

The Hidden Implications of a Large Home Insurance Deductible

Does Home Insurance = Dorm Insurance

Mobile Home Insurance

Tiny Houses Can Be Insured

Enhanced Insurance is not written by attorneys. If you’re looking for legal advice, you need to contact a lawyer. Further, insurance practices and forms change constantly and are varied from state to state. For definitive answers in your area, contact a local agent.

While the majority of people want an agent involved in their purchase of insurance, many people want to see if they can save money by buying direct from the insurance company. Others want to try a direct quote to make sure the premium they’re now paying through their local agent is fair. If you want a quote for your coverage, click on the competitive quote button on the right side of this page.

Jim operates an insurance agent network called Insurance Partners, aggregating agents in the Midwest for over 25 years. He was National Agent of the Year for Metropolitan in 1993 and Midwest Agent of the Year for Travelers in 2011. He served as a founding board member of the Surplus Lines Association of Minnesota.

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