Having a comprehensive insurance policy is an absolute must for any homeowner, but finding the right policy is often easier said than done. Getting covered doesn’t have to be a hassle! With Obrella, you can take the stress out of choosing a home insurance policy. Obrella connects you with our friendly and knowledgeable insurance experts, whose familiarity with the nuances of Vermont home insurance policies makes it easy to find the best policy for you. They can identify your needs, help you sort through your options, and get you set up with the best policy for you.
Homeowners in Vermont
Vermont homeowners pay less than most of the country for home insurance premiums. The average home insurance premium here is $782 annually, compared to the national average of $1,034 per year. With premiums $250 below the national average, Vermont comes in as the 12th most affordable state for home insurance.
- Median Home Value: 223,000
- Household Income: 60,708
- Percent of Income on Home Ownership: 34.80%
The median home value in Vermont is $216,800, and the median household income is $52,578. Vermont homeowners spend nearly 35% of their total household income on home ownership. This makes Vermont the 10th highest state in regard to home ownership costs. As a Vermont homeowner, you understand the value of your investment and the importance of protecting it. Let an insurance expert help you evaluate your current insurance policy to make sure you have all the protection you need for your Vermont home.
How Are Vermont Home Insurance Premiums Determined?
How much should you expect to pay for your home insurance policy? Your provider may look at a variety of details when determining your premium, such as the cost of building a home in your area, the area’s crime rates and other statistics, the size of your home, and the year it was built. Even your credit score will be evaluated.
Insurance premiums will also take into account how likely your home is to be damaged by floods, tornadoes, earthquakes, or other environmental factors. Locations that experience higher-than-average natural disasters are likely to see more expensive insurance premiums, since premiums take into account the amount of risk the company assumes when insuring your property.
Additional property characteristics, like swimming pools and guest homes, will also affect insurance premiums. Fortunately, installing home and property protection devices like motion-sensor lights, security systems, and surveillance cameras can lower your homeowners insurance rates in many cases.
About Homeowners Insurance in Vermont
Most Vermont home insurance companies offer a range of coverage options; some of which are defined below:
- HO-1: Limited Coverage
- No longer available in most states, this basic policy offers coverage against 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.
- HO-2: Basic Policy
- A basic policy, HO-2 insures your home in the event of all 16 classified disasters.
- HO-3: Standard, most popular
- With very few exceptions, this standard policy offers the most extensive home protection.
- HO-8: Older Home
- As your home ages, its market value may be less than the cost of major repairs. With an HO-8 policy, you’ll receive reimbursements for damage on an actual cash value basis, rather than the full cost of the repairs. Moreover, older houses may not be eligible for plans that cover the full replacement cost of the home in the event of a total loss.
What Will Standard Vermont Homeowners Insurance Cover?
Do you know what’s covered under your insurance policy? Home insurance coverage will typically only reimburse you if the damage to your home or the personal injury of another on your property occurs as part of a situation specifically outlined in your policy. So, if an earthquake caused part of your home to collapse and you didn’t have earthquake coverage listed on your policy, you would have to pay for repairs on your own. Check out the definitions of some of the most common home insurance coverages below:
- Coverage A – Dwelling
- Protects against damage to the home and attached structures. This includes damage to the home’s plumbing, wiring, and permanent air-conditioning and heating systems.
- Coverage B – Other Structures
- Other Structures coverage insures any structures that are not connected to the house, such as tool sheds, guest homes, free-standing garages, and fences.
- 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—so items in a storage unit, for example, would still be covered.
- Coverage D – Loss of Use
- While a home is being repaired, Loss of Use coverage will pay for living expenses.
- Coverage E – Personal Liability
- If found legally liable for injuries that occurred on their property, a homeowner can use their Personal Liability coverage, which will cover the homeowner’s financial loss.
- Coverage F – Medical Payments to Others
- Takes care of the medical costs of anyone injured by the homeowner’s pets or anyone injured on the homeowner’s property.
Vermont Insurance Resources
The Insurance Division of the Vermont Department of Regulation regulates the insurance industry in our state. All insurance policies sold in Vermont are reviewed and approved by the Insurance Division to make sure they provide the protections required by state law. The division’s main goal is to ensure the affordability and availability of insurance for you and your fellow Vermont residents. This division also strives to foster a healthy market for insurers to create a stable, competitive insurance marketplace.
Trying to figure out your home insurance options on your own can be frustrating. Fortunately, there is another option! Shopping for a home insurance policy in Vermont is easier than ever with Obrella. You can talk to insurance agents who can answer your questions, discuss your needs, and review your options with you to help you find the best coverage for your needs. They can even bind your policy over the phone!
So quit worrying and start using Obrella for your home insurance needs. Professional insurance experts are just a phone call away, so pick up the phone and dial 855-462-2213 today.