Anyone who lives in a house should have some type of homeowner’s insurance. However, the bank only technically requires it when it is still paying its mortgage. Those who own their home directly don’t need to buy insurance for homeowners. In the USA UU., The standard homeowners’ insurance policies are called HO1-HO8, which generally cover most of the scenarios in which damage can occur. There are some home insurances that are designed only for rentals or tenants, which generally only covers possessions within the home and isolated events that are not included in the property owner’s insurance.
The most important thing to consider when buying a policy is how comprehensive the coverage needs to be. Most insurance policies for homeowners offer coverage for the main home, additional structures on the property (garages, sheds, fences, etc.), personal property and loss of use. Loss of use coverage pays all of your living expenses above your regular expenses if you are forced to leave while the repairs are being made, or if a government order denies you access. Additional property coverage may provide charges for fire services, removal of debris, removal of property, theft or illegal use of credit cards and building collapses.
It is also important to remember that your coverage needs will change over time. Therefore, we recommend that you evaluate the value of your possessions annually to see if your current coverage is adequate. Major purchases, such as appliances, can easily change the amount of coverage you need. Conversely, certain items of value could depreciate markedly over the years, which makes you pay more than necessary. It is also important to remember that many high-value items, such as jewelry and works of art, may have limited coverage under the basic insurance for homeowners. These items require additional “float” costs that specifically cover them.
Home insurance is a form of protection for what is probably your most important and expensive asset, as well as for the content it contains. If a disaster occurs, your insurance company will be there to help carry the financial burden. However, deciding what type of home insurance can be a difficult task. What’s more, deciding which home insurance provider can be even more complicated. So, to help, we look at all the leading candidates and rank among the top 10 home insurance companies:
- Amica Mutual
Founded in 1907 and headquartered in Lincoln, Rhode Island, Amica is clearly the preferred insurance provider among American consumers and obtains the highest possible ratings in all categories. Amica began offering homeowners insurance in 1956, and from that moment on, the company separated from most of the major US insurers, earning praise for its customer service and receiving an A rating from AM Best Company.
- Car owners
Auto-Owners is headquartered in Michigan, and from its inception in 1916 until 1935, he wrote policies exclusively in his home state. Currently, the company operates in 26 states. It ranks 428 in the 2014 edition of “Fortune 500”, and was rated A by AM Best Company.
- State Farm
He sees the company’s commercials all the time, and for good reason: he ranks 41st in Fortune 500, State Farm is one of the most profitable companies in the country, with an income of $ 68.3 billion in 2013. Although primarily known for its car insurance, State Farm homeowners’ policies are hailed for their variety of different options, as well as for the general ease of interactions with customers.
- Erie Insurance
Despite having only 4 million customers in 12 states and the District of Columbia, Erie was ranked number 416 in the latest edition of “Fortune 500”. The company was founded in 1925 and only offered auto insurance, and began offering insurance for homeowners in 1961. This insurer is known for its distinguished policies and the accessibility that customers have before them.
- American family
Like many other insurers on this list, American Family originally only had auto coverage. Founded in 1927, the company began offering insurance for homeowners in 1958. Today, the company operates in 19 states.
- Automobile Club of Southern California
Although it is primarily known for its auto insurance, AAA (American Automobile Association) has offered property insurance to its members since 1983. The company is known for its affordability, as well as for the flexibility and variety of its policies for homeowners, It offers significant discounts when combined with auto and/or life insurance.
- The Hartford
Headquartered, as expected, in Hartford, Connecticut, The Hartford was founded in 1810. During the 1900s, the company underwent some radical organizational changes, acquiring in 1970 before becoming independent again, in 1995. Today, The Hartford ranks 113th in the ranking. In addition, this insurer raised more than $ 26 billion in 2013 alone, becoming one of the most valued insurers.
- Financial country
The country began in 1925, offering insurance by and for Illinois farmers. Today, the company still operates outside of Illinois, but has expanded to 18 other states and has policies in several different areas. The country covers approximately half a million American households and was recently rated A + by AM Best Company.
Founded in 1962 and headquartered in Los Angeles, Mercury was created to be a low-cost alternative to some of the insurance giants mentioned above. Since then, the company has focused on maintaining affordable policies for its clients. In 2014, Forbes named Mercury on its list of “The Most Reliable Companies in the United States.” Mercury is available in 13 states.
Allstate was founded in 1931 and is currently ranked n. ° 92 in “Fortune 500”. You’ve probably seen your commercials asking, “Is he in good hands?” There is a good reason why: the company is the largest listed insurance provider. in the country, raising $ 34.5 billion in revenue in 2013. For all its success and notoriety, however, consumers rate the company below average in almost all areas.
* Classifications and data were obtained from the 2014 JD Power and Associates home insurance study, which evaluated customer satisfaction in five categories: the variety of policy offerings, price and value, billing and payment facility, quality of interaction between the client and the insurance representative and the quality of customer complaints.