Why Some Types Of Homes Are Difficult To Insure

Not all homes are created equal. While someone on the market for a home may see the advantages of one house over another through the lenses of aesthetics, practicality and preference, when it comes to insurance coverage, the variances are viewed from a different perspective altogether.

To the insurance company, what makes one home harder and therefore more expensive to insure than another?

The following summarized list will give you an idea.

• HOMES LOCATED WITHIN STORM, WILDFIRE AND EARTHQUAKE ZONES
In some areas across the country, Mother Nature is not especially kind. And that's precisely why it's near impossible to find cheap homeowners insurance. When there is high liability risk exposure due to the likely losses and damages that can occur to your property when disaster hits, the underwriters need to protect their own interests. They do this by providing coverage that has high premiums. So although a romantic ocean-front beach house or private home in the woods may be your dream, it can actually materialize into a nightmare when it comes to procuring a fitting policy at a low quote.

• OLDER HOUSES
Though you may adore the style and lure of the older home, the insurance companies do not share the enthusiasm. Due to older internal electricity and plumbing systems, the older home may require costly upgrades and repairs in the event of damage.

• PROPERTIES THAT INCLUDE TRAMPOLINES OR SWIMMING POOLS
Trampolines or swimming pools may invite loads of fun and opportunity for wholesome activity. They also invite liability exposure and that's exactly why the insurance carriers are wary of them. Whether you like it or not, these types of extras pose a danger threat.

• HOMES SHARED WITH CERTAIN PETS
Your dog may be your best friend, but when it comes to insurance rates, some certainly don't make for saving insurance dollars. Statistics point to tens of thousands of dog-bite insurance claims, with more than $483 million payouts annually. Because of that, specific dog varieties may cause you to have coverage denied and certain dogs living within your home may trigger limits to any dog bite claims.

• VACATION HOMES
Though you live within this home during your vacation, no one is there during other times. If a small problem comes up when you are not there, it can turn into a big problem if no one repairs it and that is a problem for the insurance company. Moreover, thieves are attracted to homes that are not occupied. When you are not vacationing, they may break in.

• VACANT HOMES
This type of home may have been attractive when you were looking to invest in it, but now that it's yours and there are no tenants, the insurance companies have a clear issue with it. Due to a lack of occupants, the home may be in disrepair. Furthermore, thieves can do their damage easier than in an occupied home.

• NUMEROUS CLAIMS ON A HOME
If the home you bought has a history of many claims, the insurance companies will not look kindly at it. Such a situation may point to maintenance problems and the probability of future claims.

PRIME Insurance is the A++ rated agency that has won numerous industry awards. We have also been appointed to conduct direct business with scores of the leading insurance companies. Using our broad resources to successfully shop the market for you, PRIME locates tailored coverage at competitively lowest quotes.

For all types of nationwide plans, including NJ general liability, home, auto, commercial, workers comp, life, bonds and more, visit us online at http://www.primeins.com/, email us at PRIME@primeins.com, or call us at 732-886-5751.