Do People with Reverse Mortgages Need Homeowners Insurance?

Reverse mortgages can be a great way for seniors with limited funds to continue to live in their homes but not be required to pay for their mortgages any longer. In fact, those who decide to obtain reverse mortgages on their homes will receive money each month instead of paying it, which is why it’s called a reverse mortgage. If you’re considering a reverse mortgage, you are likely to have a number of questions.

One of these questions that you may have is whether you need to continue your homeowners’ insurance policy on your Kingwood, TX home with a reverse mortgage. This is a very valid question, and the answer is yes, you must continue your homeowners’ insurance policy under these circumstances.

Your Responsibilities After Closing on a Reverse Mortgage

While a reverse mortgage can be a great way to reduce the financial burden on senior citizens, there are certain requirements and responsibilities that you must be aware of. Firstly, you must reside in the home that you have a reverse mortgage on. A second requirement is that you must keep up maintenance on the home. The third requirement that you agree to upon signing paperwork for a reverse mortgage is that you will keep your homeowners’ insurance and maintain it throughout the entire period.

If you fail to maintain the insurance, your mortgage company may be forced to obtain its own policy for the property, which will then be billed to you. This is much more costly than keeping your own coverage. 

Consult With Us

If you’re a Kingwood, TX resident and you’re searching for a new insurance company, we at Boss Insurance Agency are here to provide you and all our other customers with top-notch customer service. Give us a call today at Boss Insurance Agency, and we can give you a quote, provide you with information, or assist you with anything else that you may need. 

What Could Happen if You Fail to Take Out Home Insurance?

If you own a home, it’s crucial to make sure that your property is protected with homeowner’s insurance. The fact is, homes are very expensive, and for many families, they are their most valuable asset. If you’re looking for home insurance, it’s wise to partner with an insurance agent who can explain the ins and outs of different plans. Visit Boss Insurance Agency, serving the greater Kingwood, TX community, to learn more.

The Consequences of Skipping Homeowner’s Insurance

First, Homeowner’s Insurance is required in some situations, and failing to take out an insurance policy could result in a breached contract. Often, when lenders offer mortgages, they will require that the home be insured. Why? Doing so lowers risks for the lenders.

Mortgages are typically secured loans, and the house purchased acts as collateral. If a homeowner falls behind on payments, the bank or other lender could take control of the house. Then the lender could sell the home and recoup at least some of their funds. If the property is damaged, however, say by a severe weather event, the value of the property will decrease. This means the bank may not be able to recoup as much money.

Further, for many people, their home is their most valuable asset and a crucial component of their nest egg. If an uninsured home is destroyed, it could quickly wipe out a family’s wealth.

Many home insurance plans will cover more than just damage to the home. In some cases, homeowner’s insurance will cover costs if someone is injured on your property. If a guest slips on a flight of stairs, your policy may cover medical bills and the like. If you don’t have homeowner’s insurance, you might have to pay these costs out of pocket.

Reach Out To Us

It’s crucial to study each homeowner’s insurance policy closely to see what is covered. Contact Boss Insurance Agency in Kingwood, TX to learn more.

Tips to Help Minimize the Chances of a House Fire This Holiday Season

At Boss Insurance Agency, serving the greater Kingwood, TX area, we have seen many house fires happen during the holiday season. As such, we are offering tips that can help you to minimize the chances of your home going up in flames this holiday season. 

Tips to Minimize the Chances of a House Fire

Keep Your Tree Hydrated

One of the most common reasons for house fires during the holiday season is that trees get dried out, and then warm lights can ignite a flame. If you decide to get a real tree, always ensure the tree stays hydrated. If the tree is drying out, avoid using the lights on the tree. 

Ensure You Do Not Overload Your Electric System

Electrical fires are also common this time of year. You are plugging more things into your electrical system, including holiday lights, inflatables, trees, and other decorations. It is easy to overload your electrical system. Be mindful of what you plug in, and if you are setting up an extravagant holiday display, contact an electrician to ensure your electrical system can handle the new load. 

Blow Candles Out  

You may host many holiday parties with friends and family during the holiday season, and you want your home to look and smell its best. As such, you may light some scented candles. Always be sure to blow these candles out at the end of the night. 

Get or Update Insurance Coverage For Your Home

These tips can help to minimize the chances of a house fire happening this holiday season, but you cannot prevent every house fire. This is why it is so important to have home insurance that you can trust and rely on. Here at Boss Insurance Agency, serving the greater Kingwood, TX region, we can help you find a policy that will cover you should the unexpected happen. Give us a call now to obtain estimates for a home insurance policy. 

Home Insurance Tips

If you’re in the market for home insurance in Kingwood, TX, you may be wondering what discounts are available to you. There are a number of discounts that insurers offer, and it’s important to know about them before you purchase a policy. Here we discuss some of the most common discounts available on home insurance policies. We’ll also provide tips on how to qualify for these discounts.

Home Insurance: What You Need To Know

1. Multiple Policy 

One of the most common discounts available on home insurance policies is the multiple policy discount. If you have more than one type of insurance policy with the same insurer, you may be eligible for a discount on your premium.

For example, if you have both auto and home insurance with Boss Insurance Agency, you may qualify for a multiple policy discount. To qualify for this discount, you’ll need to have both auto and home insurance with the same insurer. You’ll also need to maintain both policies for a certain period of time, typically one year.

2. Safety Device 

Another common discount is the safety device discount. If you have certain safety devices installed in your home, you may be eligible for a discount on your premium. Some of the most common safety devices include smoke detectors, carbon monoxide detectors, and deadbolts. To qualify for this discount, you’ll need to have the required safety devices installed in your home. You’ll also need to maintain them in good working order.

3. Claims-Free 

If you have a home insurance policy that has no claims on it, you may be eligible for a discount. This discount is typically called the claims-free discount. To qualify for this discount, you’ll need to have a policy with no claims for a certain period of time, typically three years.

4. Loyalty 

If you’re a loyal customer of an insurer, you may be eligible for a discount. This discount is typically called the loyalty discount. To qualify for this discount, you’ll need to have been a customer of the insurer for a certain period of time, typically five years.

Give Us A Call

There are a number of discounts available on home insurance policies. Boss Insurance Agency in Kingwood, TX can help you navigate through your insurance options. Contact us today to learn more.

How Much Home Insurance Do I Need?

Whether you are buying your first home or your tenth, knowing how much homeowners insurance to purchase is always a challenge. Not having enough coverage may result in lower premiums, but it may not rebuild the entirety of your home in a disaster whereas too much coverage can result in higher premiums. Given that a home is likely the most expensive purchase you’ll ever make, it is important to have a quality homeowners insurance policy that safeguards both your house and your belongings. Not only does a policy cover damage to your home from covered incidents, but also it offers liability protection from claims such as personal injuries and pet-related accidents.

Although homeowners insurance coverage can vary from one policy to the next, the most commonly covered perils include:

  • Lightning strikes
  • Riots or protests
  • Theft
  • Vandalism
  • Falling objects
  • Explosions
  • Damage from a vehicle or aircraft
  • Volcanic eruptions
  • Windstorms and hail

Keep in mind that a homeowners insurance plan will not cover every peril with the most commonly excluded items being floods, earthquakes, and sewer backup. Separate policies can be purchased for these items.

If you have a mortgage, your lender will require that you carry homeowners insurance. When deciding how much coverage to purchase, you’ll want to have enough to rebuild your home, replace your belongings, cover injuries and damages that occur while on your property, and reimburse your living expenses should you be forced to live elsewhere, post covered incident. Dwelling coverage is the type of insurance that helps pay to repair or rebuild your home and any structures such as garage, porch, or patio that are damaged by a covered incident. You’ll want your dwelling coverage to equal your home’s replacement cost. A reputable insurance agency like Boss Insurance Agency in Kingwood, TX can work with you and an appraiser to determine the right amount of insurance that you need. 

Preparing your home for an emergency

An emergency can strike at almost any time. Whether it is a tornado, a flood, or a winter freeze, being prepared will make the whole situation a lot less stressful. At Boss Insurance Agency in Kingwood, TX, we have 15 years of experience helping our clients find reliable and affordable insurance coverage. As an independent insurance agency, our loyalty is to our customers, not to one particular carrier which allows us to provide more choices, and ultimately, you will get the best possible deal. 

Stock up

You won’t always have a warning, but when you get into the season where emergencies are likely to pop up, make sure you have at least a 7-day supply of necessities, including water. Keep in mind that if you lose power, you may not have tap water or a flushing toilet. 

Have a generator

Having a generator can make all the difference between sweltering in a hot home or sitting in your cooled home. It also helps keep your food from spoiling in your refrigerator or freezer. You don’t have to spend a fortune to have this backup. Be sure to have enough fuel to fill it up at least once. 

Have an evacuation route

Plan ahead with the entire family. Know where you are supposed to meet and the route you will take to get to safety. This plan can save lives. Review your plan frequently and make any changes you need to make it work. 

Have your important papers together

If you are in danger you may forget where things are. Have all your important papers in one place preferably in a fire and waterproof container that you can grab and take with you in the event you are forced to evacuate. Your home insurance policy should be in the container as well as your inventory. 

Contact Boss Insurance Agency in Kingwood, TX with your home insurance needs. 

6 Top Home Insurance Terms Explained

If you’ve never owned a house before (and even if you have), there are likely many home insurance terms that are mystifying to you. The list of more commonly used words and phrases below should help to shed some light. However, you’d benefit from talking to an agent from Boss Insurance Agency of the Kingwood, TX area about anything that’s confusing to you in your policy documents. 

  • Additional Insured – This is a person or party besides the policyholder added to the policy and will receive coverage. 
  • Claim – A request to your insurance company that they pay you after you’ve experienced a loss. Once the company validates the claim, you’ll receive a payment.
  • Exclusion – A type or cause of loss that isn’t specifically covered by your home insurance policy. There should be a section in your policy that lists them and is labeled “exclusions.” 
  • Hazard – This refers to an action, circumstance, condition, or situation that indicates a loss is more likely to occur. 
  • Inventory – You would conduct a home inventory to present your agent with a list of possessions and their amounts of value so that you can quickly and easily settle claims and report any losses on your tax forms. 
  • Perils – A peril would be a specific risk or cause of loss that’s covered by your policy. Some examples are collision, explosion, fire, water damage, and theft. 

When you’re getting homeowner’s insurance, you don’t need to make it a point to understand every single word of the paperwork. It is still important that you know what the major terms mean so that you aren’t surprised to learn what isn’t covered or if there are certain steps you need to take when filing an insurance claim. Contact the experts at Boss Insurance Agency, serving the Kingwood, TX area, and you’ll have some peace of mind.