If you are a first time home buyer then chances are you may not understand the lingo. Don't worry, it's really not you. The GEICO Property Agency understands you don't want to master a second language just to obtain a homeowners insurance quote.
Here is our quick and easy guide to home insurance jargon:
Term: Actual Cash Value Coverage
Translation: This coverage may not pay what is needed to replace the property. It typically only covers the actual damages minus depreciation.
Tip: Speak to your representative at the GEICO Property Agency about Actual Cash Value Coverage versus Replacement Cost Coverage to determine which suites your needs best.
Translation: How much you will pay out of pocket if you experience a claim.
Tip: Setting a higher deductible for your homeowners insurance policy can help to save money on your insurance premiums, but only if you can afford the deductible. Also, a higher deductible will make you think twice about claiming something small. Many times it is not the amount of the claim that counts, but how many claims you have that affect your renewal premium.
Term: Effective Date
Translation: The date your insurance policy actually begins.
Tip: Don't let your insurance coverage lapse. If you need to renew your policy, give us a call at 1-800-841-3005.
Translation: Certain situations, conditions or even people that are not covered by the insurance policy.
Tip: Understand what is and isn't covered. Many policies have certain exclusions. If you need coverage for a situation that is excluded then it is often possible to purchase it separately. Ask a representative at the GEICIO Property Agency for more information. You might also want to discuss the option of all-risk policies. All-risk policies cover most claims except those excluded on the policy.
The above-listed tips are for informational use only. Refer to your insurance policy contract for specific information regarding your coverages and for actual terms, conditions and exclusions. The above statements are general in nature and may or may not reflect the actual terms of your insurance policy.