I've had my homeowners insurance with State Farm since I bought it in 2008. I'm refinancing right now and the lender I'm working with forwarded me a quote from another agent which is quite a bit less than what I'm paying now. The difference in the two makes me wonder if there's something that I'm overlooking or if my current policy is just that much more expensive.

Current policy (State Farm)
Dwelling coverage - $187,400
Personal property coverage - $140,550
Loss of use - Actual loss sustained
Deductible - $1,874 (1%)
Hurricane deductible - $9,370 (5%)
Personal liability - $100,000
Premium - $1,730 (includes $191 discount for alarm system and $379 discount for claim record)

Proposed policy (Gulfstream)
Dwelling coverage - $170,000
Personal property coverage - $42,500
Loss of use - $17,000
Deductible (all perils) - $3,400 (2%)
Personal liability - $100,000
Premium - $1,156

I know the coverages and deductibles are a little bit different and that I'd probably get better service with State Farm, but any other things that I should be looking out for or considering would be greatly appreciated.

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Posted by diat150

Louisiana

Member since Jun 2005

43442 posts

Posted on 1/25/14 at 1:42 pm to Brummy

quote:
Personal property coverage - $140,550
Loss of use - Actual loss sustained

quote:
Personal property coverage - $42,500
Loss of use - $17,000

these are the 2 things id pay most attention to, especially the personal property coverage. usually they categorize your property into computers, electronics, furniture, etc. The state farm may cover 2000 for computers and 5000 for electronics while the other quote may max out at 500 for each.

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Posted by Iowa Golfer

Heaven

Member since Dec 2013

10229 posts

Posted on 1/25/14 at 2:48 pm to diat150

Not trying to be a smart arse, but here goes anyway. You own a home that would take between $170K, and $190K to rebuild, and you only carry $100K of personal liability? Ever had a party and served drinks?

All due respect sir, if you were personally liable to me due to your negligence, maybe I became disabled and couldn't earn income, after your insurance company paid the limits of liability, and declined further legal defense, I would own your home, and take the maximum allowable by law from your paycheck for the remainder of your life.

I saw the other thread on here about an umbrella policy. I was shocked. $300 a year, and people didn't think this was a good idea. Maybe in the sports threads, but on the money board? I bet I can guess their relative net worth, and lack of success at money management and investing.

This post was edited on 1/25/14 at 2:50 pm

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Posted by Tigah in the ATL

Atlanta

Member since Feb 2005

27539 posts

Posted on 1/25/14 at 10:48 pm to Brummy

State Farm is never cheaper. But I wouldn't buy insurance from a company I've never heard of.

Usaa FTW.

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Posted by wickowick

Head of Island

Member since Dec 2006

45786 posts

Posted on 1/26/14 at 8:18 am to Brummy

What type of policy? Named peril policy, All risk policy? $42k in contents is pathetically low unless you are a college student. Are the contents and dwelling replacement cost or actual cost?

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Posted by yellowfin