American housing insurance purchase process:In the U.S Buy a house Or rent a house, understanding house insurance is a must-have process, especially for people who buy a house to buy a house, buying house insurance is a necessary condition for successful loans.What is American house insurance?How to buy the most suitable?What are the common housing insurance companies?
Directory of this article
- Common problems in American house insurance
- 2.Key vocabulary in American housing insurance
- 3.Recommended American housing insurance company
- 4.American housing insurance purchase process
- How to reduce house insurance premiums?
- American house buying process
- More American Life Guide
Common problems in American house insurance
The process of buying house insurance involves many doors, terms, compensation, and the purchase process.The following summarizes several issues that are usually most concerned about.
Question one: What is house insurance?
American house insurance, English is Homeowner Insurance, or Home Insurance.A kind of insurance for different degrees of claims.
Understanding house insurance can be understood from the aspects of underwriting scope, compensation level, and type of insurance.
Question 2: What are the scope of American housing insurance insured?
The scope of the house insurance in the house is mainly in the following six categories.When it comes to different insurance types, one or more of the six categories will be selected in the six categories.
- House insurance (Dwelling COVERAGE): The main body of the house and the auxiliary structure connected to the housing structure, such as the housing structure connected to the housing, the porch and other housing structures connected to the house.
- Other housing structure insurance (Other Structures Coverage): The affiliated structure that is underwritten is not connected to the main body of the house, such as the backyard fence, the independent garage, or the independent warehouse, and so on.The amount of underwriting is generally 10%of Dwelling Coverage.
- Personal property insurance (Personal Property Coverage): Insulting the personal property of the insured, including furniture, electrical and electronic products, clothing, and so on.This personal property insurance is generally 50%of house insurance.
- Personal liability insurance (Personal Liabiliy Coverage): The insured is the personal damage and property loss of the guests who come to the house.For example, if a guest falls at home, or the property of the guest is lost, then the liability insurance can be used for compensation.Some liability insurance can also pay more projects.For example, the petner’s pet bites a passerby or breaks through the fence of other people’s houses.It is also possible to apply for claims.Specific payment projects also need to verify with specific housing insurance companies.
- Medical insurance (Medical Payments to Others Coverage): Mainly used for guests’ medical compensation.If someone is injured in the house insured, but it is not the responsibility of the insured, you can pay it when you need medical expenditure.
- Extra life expenditure insurance (AdDitional Living Expense Coverage, Abbreviation Ale): Also known as Loss of USE, the insured is the accommodation, moving fees and catering expenses during the maintenance or reconstruction of the insured during the house damage.
Question 3: What are the claims of American house insurance?
The compensation level will directly affect the premium that the insured can get when applying for claims.There are usually three levels:
- Actual cash value (Actual Cash Value): During triggering claims, the amount of compensation is the current value of the damaged property, that is, the amount of the original value of the property after the value of the depreciation is reduced.It is usually applied to the compensation of personal items.For example, the depreciation rate is 70%, and the original price of $ 100 can beGet a insurance compensation amount of $ 70.
- Reset cost value (Replacement Cost Value): During triggering claims, the payment amount is the original value of the property.It is usually applied to the main body of the house without deducting any depreciation costs to ensure that the house can be restored to the original state after being damaged.For example, it costs $ 1 million when buying a house.The amount is $ 1 million.
- Extension reset cost (Extended Replacement Cost): Also known as the cost-preserving replacement cost, when triggering the claims, the payment amount is the cost required to reset the house, including the amount of compensation caused by inflation and other situations than the insured limit, such as when building a houseIt costs $ 1 million.Due to the inflation, labor and materials increased by price, it takes $ 1.2 million when reconstruction, and the compensation is $ 1.2 million.
Question 4: What are the types of American house insurance?
There are many types of house insurance in the United States.This is the main content you need to pay attention to when buying insurance.It is the most common situation of the house insurance industry.Different categories of induction.
At present, there are eight main categories of house insurance in the United States.It is represented by coded HO-1 to HO-8:
- HO-1 ( Basic insurance Cure: English is BASIC FORM.The case of claims includes the claims include Fire or Smoke, Lightning, Windstorms and Hail, Explosions, Riots and Civil Commotion, Damage from Vehicles, Volcanic Ericles, VANDALISM, theft/Malicious Mischief, etc.Ten kinds of external causes to housesdamage.Among them, the value of the house is underwritten by reset cost value, and personal property is underwritten by actual cash value, but HO-1 generally does not support ALE, personal liability insurance, and medical insurance.This kind of house insurance is generally used in different use.At the same time, if you plan to use HO-1, many housing loan companies may not lend you to buy a house.
- HO-2 ( Extended insurance Cure: English is the Broad Form.On the basis of HO-1, the claims can increase the house damage caused by electricity (Sudden and Accidental Damage From Artificially Generated Electrical Current), Weight of Ice, SNOW OR.Sleet), House damage caused by the frozen air conditioning system (Freezing of HouseHold Systems (SUCH As Ac or He He Heating), water or steam overflow of house damage (accountal discharge or overflow of water or Steam), pipelines or other systems or other systems Damage(Suden and Accidental Tearing Apart, Burning, Or Bulling of Pipes and Other HouseHold Systems), and the high-altitude falling objects caused to damage to the house.Among them Value to undertake, Personal property is underwritten with actual cash value, and some insurance companies’ HO-2 will provide ALE, personal liability insurance and medical insurance.
- HO-3 ( Full insurance Cure: English is SPECIAL FORM.Except for the clearly listed in the policy, all other situations that cause damage to the house can be claimed.Among them, the house is underwritten by reset cost value, and personal property is underwritten by actual cash value.The HO-3 insurance category also includes ALE, personal liability insurance and medical insurance.It is the type of house insurance selected by most customers.According to the US Insurance Supervision Association ( National association of insury commit) Published data, HO-3 occupies about 80%of house insurance.
- HO-4 ( Housing insurance Cure: English is Renter’s Insurance.The types of insurance designed for renters are designed for renters.Legal litigation costs incurred.The scope of underwriting includes 16 risks in HO-1 and HO-2.
- HO-5 ( Comprehensive insurance Cure: English is the comprehensive insury.This is the best and most comprehensive type of house insurance type.The scope of the underwriting is a house damage caused by all risks and personal property losses beyond the situation mentioned in the insurance regulations.Regarding the compensation level, both houses and personal property are repaid for cost value.HO-5’s insurance costs are relatively high and have stricter review standards.It is currently the second largest type of house insurance in the market.
- HO-6 ( Apartment insurance Cure: English is Condo Insurance.It is suitable for users to rent a certain unit in an apartment building to insure, underwent the indoor house conditions and personal property of the apartment, and personal responsibilities.Some public areas of the apartment building, including the exterior wall of the apartment and the situation before the apartment check-in.Before purchasing the HO-6, the insured needs to understand the HOA insurance range where the apartment is located, and the fee that you needThe HO-6 insurance amount that actually needs to be paid.
- HO-7 ( Mobile house insurance Cure: English is Mobile Home Insurance, similar to HO-3, but for mobile houses, it is not suitable for fixed houses.The types of mobile houses include but are not limited to: RVs, travel RVs, five-wheeled RVs, single-width mobile houses, dual-width mobile houses, modular houses and park model houses.
- HO-8 ( Old house insurance Cure: English is Older Home Insurance.For the insurance type of house design that has occurred serious aging, the contract scope is the same as HO-1, and the payment level is the actual cash value of the house.
In addition to the above-mentioned basic housing insurance, for the natural environmental characteristics of different regions, additional insurance types will be provided, such as
- Dwelling fire courage: House damage caused by factors such as fire, ice and snow, storms, and mold.
- Water Backup COVERAGE: Compensation for 16 types of house losses caused by water pouring in the home of urban sewer and other problems.
- Earthquake Insurance: Earthquake insurance, the loss caused by the earthquake is not in 16 cases, so the loss caused by the occurrence of the HO-3 and HO-1 contract after the earthquake.risk.
- Flow Insurance: Flood insurance, just like the situation of earthquake insurance, does not belong to the 16 cases introduced earlier, so you can choose to protect the flood insurance in areas with a greater probability of floods.
Question 5: Do I need to buy house insurance Intersection
The purchase of house insurance is divided into two types: rigid regulations and voluntary purchases.
A.The hard regulations for house insurance
When buying real estate by using loans, the lending party will need customers to provide valid insurance policies that have purchased house insurance for houses for subsequent loan procedures.Therefore, if you need to buy a house through a loan, you must buy house insurance.
B.When can you choose to buy house insurance voluntarily
After the loan is paid off, house insurance is a voluntary purchase range, but it is generally recommended to buy house insurance, because real estate, whether it is purchasing or renting, is almost the largest part of personal assets.Once damaged, it will suffer from damage and suffer.The loss is huge, so it is recommended to ensure that the appropriate insurance is purchased for the houses you stay in to ensure it.
Question 6: How high is it suitable for American house insurance?
The insurance amount of house insurance is usually determined according to the personal economic situation and house conditions of the buyer.
- For newly purchased houses and consolidated heavy money, HO-5 is the optimal choice, and there is basically no worries after purchasing.The second is HO-3.At the same time, Can increase earthquake insurance, etc.
- For ordinary houses and ordinary decoration, HO-3, and the insurance increase insurance types with the environment can provide a relatively complete property guarantee.
- If you think that the environment you live in, there will be no serious natural disasters.At the same time, your own care for the house is very good.HO-1 is a more appropriate and affordable choice.If the economic conditions are allowed, you can use HO-2 to insure.
- For ordinary housing, but internal valuable personal property items, such as valuable watches, calligraphy and painting, etc., choose HO-3 alone with property insurance, because HO-3 has an upper limit on the property part of the property and actual cash with actual cash.Value underwriting.
- If it is insured with old houses that have been disrepairing for a long time, most insurance companies will only support HO-8.
- For special circumstances, such as renting houses, mobile houses, etc., you can choose HO-4 or HO-7 to insure.
- If you buy an apartment in the apartment building, you need to understand the HOA insurance and contract scope of the apartment building first, as well as the insurance cost you need to share the payment, and then decide to buy the HO-6 insurance amount to avoid repeated insurance, pay the payment, pay the paymentExtra premestions.
- For specific premiums, after consulting different insurance companies, the relevant evaluation personnel will come to the door for value assessment.At the same time, the final insurance amount is provided according to the previous compensation of the house.The comparison between the amount finally decided to buy insurance.
Question 7: How much is American house insurance for about a month?
At present, according to the analysis of the 2021 annual rates provided by the QUADRANT Information, when the purchase insurance amount is $ 250,000, the premium is $ 1,312 per year, that is, about $ 109 per month, about $ 109 per month.【source】 Essence
When you need to upgrade to HO-5, or increase the insurance for environmental characteristics, your monthly premiums will increase, but the protection will increase.
In the clauses, if the cost value value is upgraded to the value value value, the premium will increase accordingly.
Question 8: When did I start to buy house insurance in the process of buying a house?
After signing a house order contract, it was the best choice to choose house insurance immediately.
- If you apply for a loan to buy a house, from the signing of a house purchase contract to the final house delivery for about one month, some areas may be extended.Successful application for loans is the prerequisite for the house can finally be successfully delivered.The necessary conditions for successfully applying for loans, the earlier to start choosing house insurance to get housing insurance contracts earlier, the more you can be submitted before the deadline for the loan application to ensure that you can successfully loans, and finally successfully conduct house delivery and obtain real estate.
- If the full amount is purchased and the house insurance is obtained as soon as possible, the house can be guaranteed as soon as possible to avoid excessive losses from damage to the new house.
Problem 9: How long does it take to buy house insurance?
When buying house insurance, insurance companies usually need customers to provide the following rough information:
- House address
- House area
- House age
- Type of the top of the house
- Number of bathrooms in the house
- Building materials used in houses, including ground, table and other
- Hall garage type, conjoined or independent
- The type of space owned by the house, including the basement, the attic
- Security facilities for house installation, including alarm systems, door locks, etc.
- Age
After providing this information to the insurance company, a general offer can be obtained in a few minutes.
After selecting several intentional insurance companies, you can contact the insurance company to check the specific insurance terms, or propose that the staff needed to conduct on-site evaluation.This may take a few days.
When these processes are processed, you can determine the insurance company and sign the insurance contract.This step is usually completed in a few hours.
Question 10: What are the American housing insurance companies?
At present, insurance companies with good word-of -mouth in the US market include: AllState, Amica, American Family, ERIE, Farmers, Liberty Mutual, National Farm, Travelers, USAA
Later, a detailed introduction of each house insurance company.
2.Key vocabulary in American housing insurance
- Homeowner Insurance: House insurance, English is also called Home Insurance.
- Named peril: Specifying the hazard is the case that causes house damage in the insurance regulations.The damage to the house is only due to one of the specified hazards, and the house insurance company will pay for it.
- 16 named perils: 16 specified hazards are the standards for most insurance companies, including: fire or lightning, blizzard or hail, explosion, riots or citizens, aircraft and vehicles, smoking, deliberate destruction, theft and falling objects, due to human factors, caused by human factorsElectric shocks, ice and snow heavy pressure, water heater or air-conditioning system break or burn, indoor leakage, water pipe freezing, and volcanic eruption.
- Open Peril：不指定危害，指的是除了保险合约中列出的指定危害以外的危害，常见的不指定危险有：洪水、泥石流、市政下水道、锈蚀和腐蚀、机械故障、地震、锅炉爆炸、员工盗窃、Mold fungal damage, animal or insects, air or water pollution, etc.
- Deductible: The exemption amount means that when the house is damaged, the insured person needs to pay first, and the cost of the deductible amount will be paid by the house insurance company.There are two types of deductible quota or a percentage of insurance insurance.
- HO-1 / BASIC: The most basic types of house insurance are paid for the loss caused by 10 specified dangers, and paid according to actual cash value, excluding ALE, personal liability insurance and medical insurance.
- HO-2 / Braad: Expanding insurance, adding 6 kinds of claims on the basis of HO-1, so that the overall satisfaction can be paid after the loss of 16 specified dangers cause losses to the house.Some insurance companies add ALE, personal liability insurance and medical insurance to HO-2.
- HO-3 / ALL RISK: Full insurance, providing 16 specified situations caused by the loss of house losses, as well as ALE, personal liability insurance, and medical insurance.The house is paid by reset cost value, and personal property is paid at actual cash value.
- HO-4 / Renter ’s: Rental house insurance, house insurance generated when tenants rent a house, and some insurance companies provide ALE, personal liability insurance and medical insurance.
- HO-5 / Comprehensive: Comprehensive insurance, all the losses caused by all situations except the specified situation are underwritten to reset cost compensation.
- HO-6 / CONDOMINIUM: Apartments, the insurers who are suitable for the purchase of apartments in the apartment building, need to combine the HOA insurance clauses and amounts of the apartment mouth to finally decide the insurance amount.
- HO-7 / Mobile Home: Mobile housing insurance, the types of insurance design for mobile houses such as RV and trailers.
- HO-8 / Older Home: Old house insurance, house insurance designed for the old-fashioned old house.
- Dwelling fire courage: Fire insurance, adding additional house insurance for house losses caused by accident fires.
- Water Backup COVERAGE: Alt the additional house insurance for the damage to the house caused by the municipal water pipe system.
- Earthquake Insurance: Alt the additional house insurance for the damage caused by the earthquake.
- Flow Insurance: Alt the additional house insurance for the damage caused by the flood.
- Actual Cash Value / ACV: Actual cash costs, when paying, pay for compensation according to the current cash value of the compensation target, and subtract the damage value for the original value of the object.
- Replacement Cost Value/ RCV: Reset the cost value.When paying, pay the compensation according to the original cost value of the compensation object.
- Extended Replacement Cost / ERC: Extend the reset value.When paying, the original cost of repayment is based on the original cost of the compensation object.
- Guaranteed Replacement Cost / GRC: Value of preservation and resetting, with ERC, when paying, the original cost of the payment object combines the current reset cost after inflation to pay for compensation.
3.Recommended American housing insurance company
Housing Insurance Company | Introduction to Housing Insurance Company | advantage | shortcoming |
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AllState | With strong financial strength, obtaining BBB’s A+ -level rating, products cover 50 states in the United States.It is currently the top brand of household insurance in the United States.Products include housing insurance, auto insurance and life insurance. |
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Amica | Established in 1907, it has a long history of business and obtains the BBB A+ -level rating.In terms of house insurance, it provides a variety of additional insurances to meet the needs of different people. |
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American Family | Established in 1927, it was first based on automotive insurance.It has become one of the most popular insurance companies in the United States.A variety of insurance means that customers can bundle purchase to reduce premiums and provide additional insurance types of housing insurance, such as earthquakes such as earthquakes such as earthquakes.Danger, etc.to meet the needs of different customers. |
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Erie | Insurance companies that conduct insurance services for 12 states and Washington Special Economic Zone in the United States have good rating and higher overall customer satisfaction scores.At the same time, consumers are rest assured.In areas covered by insurance services, there are a variety of insurance types.Customers can customize their own insurance according to their actual situation, and at the same time obtain a lower premium quotation. |
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Farmers | Insurance companies that provide high-quality household insurance for most parts of the United States, provide different levels of insurance types for different types of families, and support customers to flexibly choose additional insurance to improve their insurance content.At the same time, additional compensation for the reconstruction of environmental protection materials will also launch various preferential activities from time to time to reduce customer premiums, especially loyal customers.It also provides specific preferential plans for special groups such as soldiers, teachers and firefighters. |
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Liberty Mutual | Established in 1912, it received BBB’s A+ -level evaluation, providing a variety of insurance and flexible additional insurance combinations.Provide mobile clients, users can easily complete the policy payment, apply for claims, and query claims on the mobile phone. |
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Nationwide | An insurance company serving some parts of the United States, its characteristic projects are the insurance regulations for high-value houses, excellent claims capabilities, so that many high-value house holders are willing to choose NATIONWIDE as their house insurance vendors.In addition, there are also a variety of other types of house insurance, allowing users to flexibly choose to formulate insurance types that meet their needs.And the company has a good claim satisfaction score. |
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State farm | It is one of the largest home insurance companies in the United States.It has high rating and strong financial strength, providing a variety of family insurance, so customers can flexibly choose and bundle purchase to pay lower premiums. |
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Travelers | A insurance company with environmental protection concept, provided by the green household insurance plan, can inherit the additional costs required for environmental materials used in the process of damage to the house.You can get specific discounts.The insurance company supports online acquisition offer, and can also perform multiple insurance-related operations on mobile clients, which is very convenient and flexible. |
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USAA | Insurance companies that provide insurance companies that provide insurance companies, veterans, and their direct relatives in the United States cover 50 states in the United States.They provide a variety of insurance services for applicable people with low premiums and can flexibly choose. |
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4.American housing insurance purchase process
Process 1: Evaluate the value of housing assets
The value of assets that need to be underwritten includes the value of the house they want to insure and the value of personal assets in the house, which is mainly used to determine the general insurance amount of the final insurance.
- The value of the housing structure is mainly used to measure the amount of Dwelling.Of course
- The value of personal property in the house is mainly used to estimate the amount of Personal Property;
- In addition, you also need to consider Personal Liability, Medical Payments to Others, and Loss of USE;
Process 2: Query multiple American housing insurance companies
In the above, we have introduced several common American house insurance companies in detail.
You can learn about the insurance company’s portal, browsing the evaluation website of the insurance company, inquire about your existing insurance company account manager (Homeowner Insurance Agent), or ask the use of insurance companies used by relatives and friends to learn about different insurance companies to learn about different insurance companies.Word of mouth in the industry.
When we buy a house, we use a Chinese client manager (Homeowner Insurance Agent).Agent is generally the agent of multiple house insurance companies.They will make several quotes of insurance and corresponding prices.It is more convenient to let Agent help you complete all procedures.
Process 3: Comparison of house insurance prices
After determining the insurance company that is prepared, you can obtain insurance offers through the US housing insurance company website or artificial customer service.
Before the inquiry, please prepare the relevant information of the house in advance, including: house address, house area, house age, the type of the house of the house, the number of bathrooms in the house, and the building materials used in the house, including the ground, the table and other, the type of the housing garage, the typeConcern or independent, the types of space owned by the house, including the basement, the attic, etc., the security facilities of the house installation, including alarm system, door locks, etc., and their personal information, including the age of the insured.
If necessary, you can ask the staff of the insurance company to conduct on-site evaluation to obtain more accurate insurance offer.After obtaining the quotation of a number of insurance companies to compare, choose the insurance company that you think is suitable.
Process 4: Study House Insurance Terms
In comparison of house insurance prices, don’t just find the lowest price insurance company, but choose several insurance companies with different prices to check their insurance terms and pay standards and proportion to obtain more comprehensive insurance guarantee capabilities.
Process 5: Sign insurance contracts
After the insurance company screening and price comparison, choose an insurance company that believes that it can provide themselves with the most effective housing guarantee to sign a contract.House insurance is generally signed one year.
How to reduce house insurance premiums?
Reduce premiums can be carried out from two periods of time before purchasing insurance and purchase insurance:
A.Before buying house insurance
- You can make a multi-party comparison and ask the insurance company in time if there are specific discounts.
- Contact your existing insurance companies, such as car insurance or life insurance providers, usually insurance companies will provide discounts for existing customers.
- Ask the insurance company of relatives and friends, some insurance companies will provide discounts to customers introduced by relatives and friends.
- Understand the past claims of buying target houses.If this house has made many claims in the past, when purchasing, the premium will be relatively high.Choose a house that has rare past claims or almost no.It can not only reduce premiums, but also reduceThe probability of applying for claims in the future.
- Increasing the safety level of the house.When evaluating the premium, the safety level of the house is an information reference item.Therefore, before buying house insurance, you can add sufficient safety measures to the house, which not only guarantees the safety of the house, but also reduces the premium of the house.
B.After buying house insurance
- After purchasing insurance, increase your insurance deductible amount according to the living conditions, and will reduce premiums in the subsequent premiums.
- Maintain good use and credit situation, maintain more maintenance of houses, avoid triggering claims, while maintaining their own consumer credit status.This will help reduce premiums during the subsequent annual or quarterly premium review process.