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Important Questions to Ask Your Homeowners Agent

Shopping for insurance can be confusing and overwhelming.  Choosing the wrong coverage can be a costly mistake. You don't want to find out after you've filed a claim that the damage is not covered. To help you get the information you need to make an informed decision, we have provided a list of questions below to ask your agent prior to purchasing a policy. 

QUESTIONS TO ASK ABOUT YOUR COVERAGE

  1. What policy(s) do you sell?
  2. Is it an all risk or a named perils policy?  
  3. How does the policy compare to coverage I currently have?

IMPORTANT: NEVER take “It’s basically the same coverage as you had before” for an answer. Verify what the agent tells you with an independent source (such as the OPIC Policy Comparison Tool). If there are discrepancies, ask your agent to explain them.

YOU MAY BE ABLE TO PURCHASE ADDITIONAL COVERAGE BY ENDORSEMENT.
Ask your agent what endorsements are available. If you are interested in adding an endorsement to you policy, be sure to ask the following questions:
  1. How much will the the endorsement increase my premium?
  2. Is the endorsement available at any time or only when I buy my initial policy?

QUESTIONS TO ASK ABOUT YOUR RATES

  1. Is this the best rate offered to any applicant by any company the agent represents?
  2. If it is not the best rate, why not?
  3. When and how much was the company’s last rate increase?

IMPORTANT: Agents do not have a specific duty to tell you this information unless you ask them.

QUESTIONS TO ASK ABOUT YOUR CREDIT

If an agent asks for your social security number, they are most likely going to run your credit score. Here are some questions to ask your agent about that process:
  1. Why does the company need my credit score?
  2.  Is it used to turn me down, for setting rates, or for determining my coverage?
  3. How often does the company recheck my credit?
  4. If the company rechecks my credit upon renewal, is it used to non-renew me, increase my rates, or to lower my rates?

FOR MORE INFORMATION ON RATES AND COMPLAINTS: Please check Helpinsure.com. Helpinsure.com allows you to compare sample rates, complaint information, and the financial rating of the top 25 national insurance groups writing residential property insurance in Texas. PLEASE NOTE: Because this information is limited to the top 25 National groups, not all companies will be listed. You can also get complaint information from the Texas Department of Insurance Company Profile Page.