Is It a Mistake to File a Home Insurance Claim?

Is It a Mistakes to File a Home Insurance Claim?

Should you think twice before filing a home insurance claim? 

As a homeowner, you pay your homeowners insurance premium monthly and have the peace of mind that you have reliable coverage in place. That means you should never have to hesitate before filing a claim. After all, isn’t that what your premiums are for? The reality of the situation is that it can sometimes pay not to make a claim.

Filing a small claim, such as a broken window or a minimal amount of water damage due to a leaking pipe, might mean you’ll end up paying a lot more in the long run. This is due to the fact that your premiums may rise once you file a claim. Making multiple small claims can even cause your insurance company to cancel your policy.

Keep in mind that there is also a deductible you must meet before the insurance company will help. Even if the amount you must pay out of pocket for the repair/replacement is above your deductible, it can be prudent to avoid making a claim. For example, say you have a $500 deductible. A claim would amount to $1000. Paying $500 above your deductible may save you in the years ahead. A claim can remain on your report for up to seven years, and the more claims you file, the higher your rates will climb.

Homeowners insurance is not a maintenance policy. Ideally, you will want to save your policy for those potentially catastrophic events that are beyond your control. This is when you will truly reap the full benefit of having homeowners insurance coverage.

Homeowners insurance can help you save money and protect your home from damage and disaster. Ensure that you have the optimum coverage by visiting the professionals at Gee-Schussler Insurance Agency. Our team is here to help you protect your home in Orland Park, Illinois.