Because homeowners insurance differs from seasonal property insurance, it’s important your clients fully understand the differences and what it means for them and the policy they need. If you’re working with seasonal property insurance policies, here are three factors you should be sure to cover.
1. Renting your home could void your insurance policy
Homeowners should be aware that rules tend to be stricter when it comes to renting their seasonal property. While homeowners won’t necessarily have to pay higher premiums or opt for commercial coverage, they do need to tell their agent if they plan on renting. For good measure, be sure to ask your clients if they plan on renting out their seasonal property, and if so, discuss what this means for them.
2. The most common type of insurance claim probably isn’t what they think it is
Homeowners commonly think that fire or theft is the most common type of claim for seasonal properties. However, water damage is actually the biggest culprit. If your clients are planning on using their water year-round, they should consider installing temperature and water alarms, which will notify them remotely if there are any potentially frozen pipes or flooding. For homeowners who don’t use their property during the colder months, advise them to drain the pipes and consider investing in a monitored alarm or make arrangements for someone to routinely inspect the property for water damage.
3. There is a time limit on damages and losses
For some homeowners, their seasonal properties go unattended for the better part of the year — but this doesn’t mean the property doesn’t need to be checked regularly for safety and security. Not only does this help cut down on potential damages and losses, but if any damages occur, they can be addressed right away. Unfortunately, many insurance companies have a maximum number of days homeowners can be away before coverage could be denied. By ensuring your clients are fully aware of potential time limits of damages and losses, you can prevent them a costly headache down the road.
Learn More About ASI
ASI is one of the largest homeowners insurance carriers in the United States. Through a network of independent agents, the company offers home, condo, renters, dwelling fire and flood insurance in over half the country, with plans to cover the rest by 2017. Find out more at AmericanStrategic.com.