If you’re buying a home in Idaho, you’ve already taken a step toward finding the best deal on homeowners insurance. That’s because when it comes to homeowners insurance Idaho has the lowest premiums in the nation, according to the Insurance Information Institute. Even so, you still need to do your homework to ensure you get the best coverage at the best price. Your research should start with knowing how to determine the amount of coverage you need. Once you know that, you’ll need to know how to make sense of the different coverage options, discounts, and whether to go with a company just because it is a recognizable brand.
How Much Does Homeowners Insurance in Idaho Cost?
Idaho doesn’t see a lot of tornadoes, earthquakes, or hurricanes. The infrequent natural disasters are one reason it’s among the five least expensive states when it comes to homeowners insurance. Coming in at 47 percent lower than the median price for insuring a home in the U.S., the average annual cost of homeowners insurance in Idaho is $534–just under $45 per month.
Drilling down even further, if you want to know where homeowners insurance is least expensive in the Gem State, cities in the southern part of the state take the prize. Pocatello’s average premium is 10 percent less than the state average. Twin Falls–about 112 miles west of Pocatello–has the second lowest premiums in the state at 7 percent less than the state average.
How do You Determine Coverage Amount?
Though what you end up paying for homeowners insurance in Idaho depends on the area of the state you live in, your total cost will also be determined by the amount of coverage you opt for. The first step in determining how much coverage you’ll need is to find out what it would cost to replace your home if you had to rebuild it from the ground up. People sometimes make the mistake of assuming the sales price or market value of the home is the same as the replacement cost, but that is not accurate. Keep in mind that even though you are shopping for insurance today, it could be years before you have to make a claim for a complete loss. The hope is that situation will never arise, but if it does, prices for materials and labor will likely have gone up across the country including in Idaho. You will want an insurance policy that covers at least 100 percent of the amount of rebuilding your home and, often, homeowners opt to increase the coverage amount to 200 percent or more to hedge against inflation and unexpected issues.
Does Homeowners Insurance in Idaho Cover Personal Possessions?
When purchasing homeowners insurance Idaho residents should inventory the contents of their homes to include in the coverage amount. On the average, just over half of U.S. homeowners prepare an inventory of possessions. However, because many valuables such as collectibles, computer equipment, art, jewelry, and sports equipment like the skis, kayaks, and camping gear that many Idahoans have are not typically covered by basic homeowners policies, everyone who owns a home should have a record of their home’s contents. You can choose to document the items in your home in writing or by taking a video-recorded tour of each room in your house. Either option will provide you with a way to figure a replacement price for the items that aren’t fully covered so you can include a personal articles policy with your homeowners coverage.
Is the Lowest Price Always the Best Deal?
Finding the lowest price shouldn’t be the only goal when shopping for homeowners insurance Idaho. You get what you pay for, and you may not be able to get the coverage you really need at the rock-bottom lowest price, especially if you live in central or northern Idaho where homeowners insurance premiums tend to be the highest.
When comparing the deals that different companies offer, it’s OK to look at price first but then study what coverage is included and what add-ons you might need. For instance, with numerous rivers and lakes, many Idaho homes require a flood insurance policy. Also look at whether insurance companies offer discounts, how they handle claim management, and whether there are additional benefits to buying homeowners insurance through them. Having to buy extra coverage because of the age of your home or for flood protection will increase what might have started out to be a bargain premium. However, discounts for bundling insurance coverage for home and auto, installing home security devices, a history free of claims, or other reductions can offset increased premiums and bring them back down to a level that fits your budget.
How Should You Choose and Agent and Company?
When hearing friends or family sing the praises of certain homeowners insurance Idaho homeowners can be tempted to go along with the crowd. Just because an insurance agent gave your best friend a terrific quote, however, that doesn’t mean you’ll get an amazing quote or the coverage you need. It is fine to look into an agent or company about which you hear great things but check with the Idaho Department of Insurance to confirm that they have the proper credentials and are fully licensed.
Additionally, it is important to know that not all Idaho insurance agents are the same. Exclusive agents are ones who represent one insurance company while independent agents sell insurance from several different companies. If you need help comparing quotes and coverage, an independent agent can offer help by providing a number of quotes at once for you to weigh against each other. If you have already done your homework on various companies and know which one you want to go with, an exclusive agent can help you but, especially in larger cities, there may be more than one agent representing the same company. The prices each one offers will be essentially the same but different agents set themselves apart from the crowd by offering personalized, complementary services to persuade potential clients to buy from them rather than another agent.
Should You Buy Insurance From a National Name Instead of a Local Insurer?
In the process of shopping for homeowners insurance Idaho homeowners will come across small, locally-based insurers as well as big, well-known names. Because bigger doesn’t automatically mean better, you’ll want to compare the little guys to the national names to ensure you get the best deal on homeowners insurance. Weigh the pros and cons of each. Local insurers may not have the resources that the national companies do, but they might make up for it with more personalized customer service, customization options for your coverage, or they might offer a service that connects you with local contractors when you need home repairs.
On the other hand, the brand-name insurers typically have online account and claim management tools and apps for smartphones and tablets that make it easy to pay premiums, make changes to your coverage, or even submit a claim anywhere, anytime. Some of the big guys have relationships with hotels to provide short-term housing in case of emergency in addition to partnering with lumber supply centers and home security companies that allow you to take advantage of discounts on materials for improvements and repairs and safety features for your home. Some national insurers even have partnerships with theme parks, pharmacies, car rental agencies, and financial institutions that provide valuable discounts when customers patronize those partner businesses.
2 Point Highlight
1. When it comes to homeowners insurance Idaho has the lowest premiums in the nation.
2. Local insurers may not have the resources that the national companies do, but they might make up for it with more personalized customer service, customization options for your coverage, or they might offer a service that connects you with local contractors when you need home repairs.
