For Tennessee home owners, life can be beautiful. The state
offers everything from stately mountains to rolling meadows,
but nature can be tough too. Tennessee home insurance
policies must cover a variety of natural events, including
tornadoes, hurricanes, wildfires, floods, and even
earthquakes. That’s why it is important for everyone
buying Tennessee home insurance to know what to look for
when buying a policy, as well as what extra coverage to
purchase to ensure they have the protection they need.
Basics of Tennessee Home Insurance
Home insurance is not required by law, but is usually
required by lenders if a home has a mortgage. Most Tennessee
home policies cover the same primary areas:
- Dwelling Coverage – damage to the
house itself, for repairs or replacement, up to the face
amount of the policy.
- Other Structures – covers repairs
or replacement for additional buildings on the property,
such as a detached garage, tool shed or fencing.
- Personal Property – provides for
replacement of household contents like furniture and
appliances, as well as personal items such as clothing or
jewelry. This is usually limited to 50% of the dwelling
- Additional Living Expenses – if
occupants cannot live in the home while covered repairs are
being made, this provides funds to live somewhere else
until the house can again be occupied.
- Comprehensive Personal Liability/Medical
Expenses – protects homeowners from claims
resulting from accidents injuring visiting guests or their
One of the most important decisions to make when buying
Tennessee home insurance is the type of replacement coverage.
There are two basic choices.
- Actual Cash Value provides the amount to repair or
replace home and belongings after depreciation.
- Replacement Cost coverage pays the amount necessary to
restore or replace everything without deducting for
It is important to remember that in times of significant
loss, such as the total destruction of a home, the difference
between Actual Cash Value and Replacement Cost can be several
thousand dollars. The insurance premium amount involved isn’t
that much, so this usually isn’t the place to save money on a
Flood insurance is not included in any home Insurance
policy. It is available through the National Flood Insurance Program.
Depending on the home’s location, this additional coverage
could be very important to Tennessee residents.
Affecting the Rates for Tennessee Home
Tennessee insurance companies take a large number of items
into consideration when determining the amount to charge for a
home insurance policy. Knowing these factors can help consumers
make smart choices to lower the rates for coverage.
- Type of Construction - Frame homes are
more expensive to insure than brick
- Age of Home - New homes have lower
premiums because all of the systems, like plumbing, heating
and electrical, are new
- Fire Protection - Proximity to a fire
station, or even just a fire hydrant, can lower home
- Safety Equipment - Discounts are
available for smoke detectors, fire extinguishers, deadbolt
locks or burglar alarms
Additional Coverage Available for Tennessee
Home insurance is not a one-size-fits-all product. Each
person’s situation is different, which is why it is important
for home owners to review each policy to know exactly what is
and is not covered. If something is a common risk but is not
included in the policy, or the policy coverage is insufficient,
consumers can buy an “endorsement” which adds additional or
increased protection for an additional cost.
The most common endorsements are:
- Personal Property – Most policies
have limits on the coverage amounts for specific types of
expensive property, like computers, jewelry, antiques or
- Inflation Guard – If a home’s
value is increasing due to inflation, this endorsement will
insure that the policy’s face amount also increases to keep
the home fully protected.
- Building Codes – Home repairs
must meet the current building codes rather than the
originally ones. This can make repairs much more extensive
- Earthquakes – This is not
normally included in insurance policies, but it is a
definite risk in Tennessee.
- Broken Pipes – Water pipes that
break outside the home or sewer backups within the home can
cause a great deal of damage that isn’t covered without an
Discounts Available on Tennessee Home
There are additional ways for Tennessee homeowners to save
money on insurance. When shopping for a policy, make sure to
ask for all available discounts:
- Non-smoker Discount – Non-smokers
have fewer claims than smokers, especially fire related
claims, which means lower rates.
- Seniors Discount – Seniors
traditionally spend more time at home and can thus protect
or minimize property damage.
- Multi-Policy Discount – Buying
both home and auto insurance from the same provider will
- Credit Score – Consumers with
good credit pay less.
For more ideas on reducing the cost of home insurance in
Tennessee, visit Home Insurance
Best Way to Save Money on Tennessee Home
The smartest thing anyone can do to lower home insurance
costs is the same as any other major purchase – comparison
shop! Fortunately it is easy to do this – just enter your zip
code in the box below to be instantly matched to the top
insurance companies offering coverage in Tennessee. Click on at
least three or four and request a free quote, then compare the
rates and coverage to determine the best deal. Don’t wait
another second – enter your zip code now!