Our home programs cover many kinds of properties and risks. Coverage
options may differ by program.
Primary residences, seasonal and secondary homes
Older homes or lower in value
Homes with minor cosmetic conditions
Applicants with credit or loss issues
Applicants who have been declined, canceled or
non-renewed by another insurance company
Your Independent Agent will help you determine what
program is best suited for your home.
Property insurance covers physical damage to your home, other detached
structures or personal property. While no insurance policy covers
everything, your policy should cover a wide range of possible damages
or causes of loss. 1 Preferred Place has homeowners and dwelling fire
owner-occupied programs that cover losses differently.
Comprehensive Coverage - Covers
direct, sudden and accidental physical losses that aren't
specifically excluded in your policy.
Named Peril coverage - Covers the
perils (causes of damage such as fire, wind, hail, etc.) which are
specifically named in your policy.
Liability insurance covers you if you're found legally responsible for
a covered injury or property damage to someone who doesn't live in
your home. It compensates injured persons for their medical bills,
lost wages, pain and suffering and property damage, and if the
coverage applies, legal counsel is furnished if you're sued.
1 Preferred Place offers important optional coverage that let you customize
your policy. Some coverage may be subject to company approval. These
are a few of the most popular coverage options:
Replacement Cost coverage on personal property
Additional coverage for jewelry, watches and furs
Business property and liability
High liability limits
Your settlement method depends on which 1 Preferred Place policy you choose and
whether or not you purchase any optional endorsements.
Actual Cash Value. An ACV
settlement is the cost to replace or repair your damaged property,
with a deduction to reflect the age and condition of the damaged
Agreed Loss Settlement. An Agreed
Loss settlement means that in the case of a covered total loss to
the home, your settlement will be the Amount of Insurance listed on
your Declarations Page, with no deductible on the coverage for your
home, unless stated elsewhere in the policy.
Replacement Cost. Our policy with
Replacement Cost settlement reflects the cost to repair or replace
damaged items with new items at today's prices.
Extended Replacement Cost. For a
covered loss, Extended Replacement Cost covers the cost to repair or
replace your home when those costs exceed the amount of insurance
stated in your policy, up to the limit stated in your policy.
If you'd like a flood policy through the National Flood Insurance
Program, 1 Preferred Place's Flood Unit can help.
Visit the Flood Insurance page
for your no-obligation estimate.
Insuring expensive items with floaters/endorsements.
There may be limits on how much coverage you get for expensive items
such as jewelry, silverware and furs. Generally, there is a limit on
jewelry for $1,000 to $2,000. You should ask your agent or look it up
in your policy. This information is in Section I, Personal Property,
Special Limits of Liability. Insurance companies may also place a
limit on what they'll pay for computers.
If the limits are too low, consider buying a special personal property
floater or an endorsement. These allow you to insure these items
individually or as a collection. With floaters and endorsements, there
is no deductible. You are charged a premium based on what the item (or
collection) is, where you live and its dollar value.
You can determine the value by providing your agent with a recent
receipt or getting the item or collection appraised.
Additional living expenses after a disaster
This is a very important feature of a standard homeowners insurance
policy. This pays the additional costs of temporarily living away from
your home if you can't live in it due to a fire, severe storm or other
insured disaster. It covers hotel bills, restaurant meals and other
living expenses incurred while your home is being rebuilt.
Coverage for additional living expenses differs from company to
company. Many policies provide coverage for about 20% of the insurance
on your house. Some companies will even sell you a policy that
provides you with an unlimited amount of loss of use coverage, for a
limited amount of time.
If you rent out part of your house, this coverage also reimburses you
for the rent that you would have collected from your tenant if your
home had not been destroyed.
You should talk to your agent or company to make sure you know exactly
how much coverage you have and how long the coverage will be in
effect. In most cases, you can increase this coverage for an
Liability to others
This part of your policy covers you against lawsuits for bodily injury
or property damage that you or family members cause to other people.
It also pays for damage caused by pets. It pays for both the cost of
defending you in court and for any damages a court rules you must pay.
Generally, most homeowners insurance policies provide a minimum of
$100,000 worth of liability insurance, but higher amounts are
available. Increasingly, it is recommended that homeowners consider
purchasing at least $300,000 to $500,000 worth of coverage of
Umbrella or Excess Liability.
You should buy enough liability insurance to protect your assets. If
you own property and or have investments and savings that are worth
more than the liability limits in your policy, you may consider
purchasing an excess liability or umbrella policy.
Umbrella or excess liability policies provide extra coverage. They
start to pay after you have used up the liability insurance in your
underlying home (or auto) policy. An umbrella policy is not part of
your homeowners policy. You have to purchase it separately. In
addition to providing a higher dollar amount, they offer broader
coverage. You are covered for libel, slander, and invasion of privacy.
These things are not covered under standard homeowners or auto
The cost of an umbrella policy depends on how much underlying
insurance you have and the kind of risk you represent. The greater the
underlying liability coverage, the cheaper the policy. This is because
you would be the less likely to need the additional insurance. Most
companies will require a minimum of $300,000 on your home and your
car, if you own one.