Are you protecting one of your biggest investment? Getting a comprehensive home insurance policy is a vital part of responsible home ownership. Obrella makes the home insurance policy shopping experience easier than ever before. Connect with insurance experts who can point you to offerings from top regional providers and answer any questions you might have in one simple call. Experienced in the complexities of Tennessee home insurance policies, licensed agents can even bind your policy over the phone.

Tennessee Home Insurance Costs

Annual home insurance premiums in Tennessee average $1,008, which is right in line with the national average of $1,034 per year. Those rates place Tennessee as the 20th most expensive state in the nation in regard to the cost of annual home insurance premiums.

  • Median Home Value: 147,500
  • Household Income: 43,716
  • Percent of Income on Home Ownership: 28.40%

Tennessee homeowners appreciate the sense of security that comes with home insurance, especially when the median home value in Tennessee is $139,200. In Tennessee, homeowners spend a little more than 28%of their overall household income on home ownership, and the median household income in Tennessee is$44,297. This makes the Volunteer State the 20th least expensive place to own a home when it comes to home ownership costs.

As a homeowner who wants to protect your investment, you should consult an insurance expert to make sure your Tennessee home is fully protected. Call 855-462-2213 today.

Determining Home Insurance Premiums in Tennessee

Insurance companies determine your premium based on the amount of risk they take on by insuring your property. The higher the risk, the higher the premium.

Home insurance providers assess risk by looking at both the property itself and the surrounding area. Your provider will evaluate your home’s size, date of construction, and add-ons like swimming pools and guest homes. Environmental factors, local crime rates, and even the cost of other homes in your area can also affect your premium. For example, if you live near a flood-prone river, you can expect to pay a higher insurance premium than someone who lives on higher ground nearby. Likewise, living in an area with high rates of vandalism and home burglary makes you more likely to be the victim of a theft, so you’ll probably wind up with a higher premium.

Fortunately, your homeowners insurance premium can be lowered with a few proactive steps on your part. You can install home protection devices like surveillance cameras, motion-sensor lights, or a security system to lower the risk of your home being attacked, which would in turn lower your rates. Improving your credit score can also help in some cases.

Homeowners Insurance in Tennessee

The majority of Tennessee home insurance companies have multiple coverage options to pick between; here are a couple of those options:

  • HO-1: Limited Coverage
    • An HO-1 policy offers coverage in the event of any of the first 10 classified disasters: fire or lighting, windstorms or hail, explosions, riots, damage caused by aircraft, damage caused by vehicles, smoke, vandalism, theft, and volcanic eruption. However, this basic policy is no longer available in most states.
  • HO-2: Basic Policy
    • HO-2 policies are designed to provide coverage in the event that your home is affected by any of the 16 classified disasters.
  • HO-3: Standard, most popular
    • The standard policy offers the broadest home protection, with a few exceptions.
  • HO-8: Older Home
    • This policy guards against declining home values by reimbursing homeowners on an actual cash value basis. However, some more aged homes may not qualify for complete replacement cost policies.

What is Covered By Standard Tennessee Homeowners Insurance?

Simply stated, you are only covered if the damage to your home is caused by a specific situation outlined in your policy. If your home is damaged by a flood, for instance, you will only be paid for damages if your policy specifically covers flooding. Read on to learn frequently used home insurance coverage terms to help you navigate the specifics of your policy:

  • Coverage A – Dwelling
    • Covers damages to a home and any structures attached to the home, including damage to plumbing, wiring, heating, and permanent air-conditioning systems.
  • Coverage B – Other Structures
    • Tool sheds, free-standing garages, fences, guest homes, and other non-attached structures are covered under Other Structures.
  • Coverage C – Personal Property
    • Homeowners with Personal Property coverage will receive compensation in the event that a personal possession—like clothes, furniture, or electronic equipment—is lost or damaged. This coverage is valid whether or not the loss or damage occurs on the property—meaning items kept in a storage facility, for example, are still protected.
  • Coverage D – Loss of Use
    • With Loss of Use coverage, the homeowner can get reimbursed for living expenses during home repairs.
  • Coverage E – Personal Liability
    • If a homeowner is sued and found legally responsible for damages or injuries to another person, Personal Liability will cover the homeowner’s financial loss.
  • Coverage F – Medical Payments to Others
    • In the event that someone is hurt on your property or by your pet, this coverage will take care of any resulting medical bills.

Tennessee Insurance Resources

Tennessee Department of Commerce and Insurance:Oversees insurance activities throughout Tennessee. They offer a selection of educational programs about insurance and insurance-related issues. Another primary purpose of the department is to investigate and mediate insurance claims and disputes, and validate that insurance companies and agents are acting in accordance with state law.

Finding the right home insurance policy shouldn’t be difficult. That’s why Obrella makes it easy to find an ideal home insurance policy for your lifestyle. Call an experienced insurance professional and trust them to help you decide on and secure the coverage you need. You’ll even have the ability to bind your policy while you’re on the phone!

Are you ready to find a comprehensive home insurance policy for your Tennessee home? Speak with a friendly and helpful insurance agent today at 855-462-2213 .