A home is undoubtedly everyone's biggest asset.
Protecting that house is one of the biggest things to
do, which is why choosing the right Alabama home
insurance is so important. But no one wants to
spend once cent more than necessary on home insurance, it’s
important to shop smart. That’s where Insurance Rates
Online can help, giving consumers the information
needed to compare coverage and rates, then offering
the best Alabama homeowners insurance companies in your
Know Before Shopping for Alabama Home
Home insurance covers several different risks that come with
owning a home. These include:
- Property Damage – damage to the home due to
covered occurances, such as fire, theft, wind, etc.
- Personal Property – damage or loss of personal
property, everything from toothbrushes to computers.
- Personal Liability – claims or lawsuits from
injuries or property damage that occurs on the
- Medical Payments – pays for medical expenses of
people injured on the property by family or your pets;
this doesn’t pay for injuries to anyone living in the home
The first step is deciding how much risk is acceptable.
There are two main choices in home insurance:
- Replacement Cost Insurance, which covers the actual
cost to repair or replace the dwelling up to the
limit of the policy. It costs more, but will pay out more
in case something happens.
- Actual Cash Value Insurance which deducts for
depreciation of the original item then pays the balance
toward repairs. Though less expensive, if there’s a
problem, the homeowner has to come up with the
difference between the depreciated value and the cost of
Money on Homeowners Insurance in Alabama
There are many ways to lower the cost of home insurance
premiums with just a little effort. For example:
- Raising the deductible – By moving
to just a slightly higher deductible, like increasing
from $250 to $500, it’s amazing how much money can be
- Securing the Home – Adding things like
deadbolt locks, smoke detectors, and fire extinguishers can
reduce insurance premiums. Before spending a lot of
money on a monitored alarm system, check with the
insurance company to see whether it will save enough to
justify the expense.
- Choosing the Right Home – When shopping for a
home, remember that a brick house costs less to ensure than
a frame home, newer homes are cheaper than older ones, and
there’s a discount if the fire department is
nearby and even if a fire hydrant is close by.
- Comparison Shopping – This is a major purchase, so
it’s important to compare coverage and rates. Different
insurance companies will charge different rates to cover
the same home, based on their claim experience in the area.
Shop at least once every few years to make sure
the rates still getting the best deal.
Concerns for Alabama Homeowners
Living in Alabama comes with certain risks not faced in
other states. For example, residents living along the
coast who own a boat, should not assume that it
is covered by a homeowners policy. Things like boats,
recreation vehicles, and ATV’s require separate policies.
Home insurance policies in Alabama don’t cover
flooding. Any homeowners who live in a flood plain,
whether it’s close to the Gulf of Mexico or near a river,
should buy flood insurance from the National Flood Insurance
There is a even a chance of earthquake in Alabama, since the
New Madrid Fault runs through the northern part of the state.
Earthquake insurance is available at a relatively low cost as
an endorsement to Alabama home insurance policies.
Information on Alabama Home InsuranceFor
additional information about homeowners insurance in
Alabama, contact the Alabama Department of Insurance, PO Box
303351, Montgomery, AL 36130-3551. They can also be reached by
phone at 334-269-3550.
Saving Money on Alabama Home Insurance Now
Armed with the knowledge of how to choose the right
insurance policy and reduce insurance premiums, it’s time to
start shopping. Simply click on "Get Quotes" and you’ll
instantly be matched with a list of great insurance companies
offering home insurance in Alabama. Click on the three or four
companies that sound best, and request a free quote. Almost
immediately the savings on Alabama home insurance will start
adding up. Start now!
For more money saving ideas, check out Homeowners
Insurance Shopping Tips.
Get more information on Flood Insurance at www.Floodsmart.gov.