9/7/2011 - How to avoid being underinsured
As Insure.com says, one of the most disheartening things a policyholder can experience is finding out their homeowners insurance is not extensive enough to cover the damage done to a property.
"I would be conservative in saying that 70% or more of all homeowners are underinsured," Joe Brennan, owner of Insurance Claims Group Inc. of North Carolina said in an interview with the website.
Chris Amrhein, a 30-year insurance industry professional, told the source this typically happens because homeowners often opt for the least expensive insurance plan. Once their home is damaged, they learn their policy wasn't sufficient.
The Insurance Information Institute has a checklist of all the things homeowners should consider before purchasing an insurance policy. To view the list, click here