home owners insurance

[jack707]

I am thinking about getting rid of my H.O before I retire, I have about 8 to 10 years to go and when that happens I will just have my pension and S.S if that's still around. As far as my house its nothing special just a 1200 sq.ft. house in the country.

 

[teg]

Do you feel lucky? Can you build/replace the house if something happens?

 

[teejk]

If you don't have a mortgage then I think it's up to you whether you assume the risk of a total loss or not. The premiums are outrageous and quite frankly I don't know where they come up with their "replacement cost" numbers. My house is insured at about 175% of what it cost to build 5 years ago and that includes the foundation, well and septic (never heard about any of them needing replacement in a fire or tornado or hail storm).

 

[JerryK]

Part of the insurance is liability insurance... but I don't see any reason you could not stick your head on a chopin' block for the house.... Doesn't get THAT COLD up there in the boonies.... [[[ ]]]

 

[fordmantpw]

If you can't afford your home owner's insurance on your retirement, then you probably shouldn't retire yet.

 

[smstonypoint]

What sort of deductible do you have on your HO policy? If you are not already at the maximum allowed deductible, you can reduce the cost of your coverage by increasing the deductible.

If you can't afford your home owner's insurance on your retirement, then you probably shouldn't retire yet.

I agree.

Steve

 

[teejk]

Part of the insurance is liability insurance... but I don't see any reason you could not stick your head on a chopin' block for the house.... Doesn't get THAT COLD up there in the boonies.... [[[ ]]]

The various coverage details (and associated premiums) are usually laid out in your bill. I think you'll find that the bulk of the cost is in the dwelling and I think it is crazy how they calculate it. I keep a $1,000 deductible because I have yet to file a homeowners claim on any house I have ever owned since the early 80's and don't plan on ever filing one...seems it only increases your future insurance costs if you do.

 

[teejk]

If you can't afford your home owner's insurance on your retirement, then you probably shouldn't retire yet.

You have no problem with the pricing of the product? I understand the whole concept of "risk pooling" but the entire market is one of subsidizing people in high risk areas and/or stupid people. Just MHO.

 

[kenmac]

Depends on what you are willing to loose if someone happens on your property, and gets hurt..
I don't think you can just get liability on a home like you can vehicles

 

[ovrszd]

I've always carried insurance on everything. 7 years ago my Shop burned completely. Inside were my 3 yr old Dodge Cummins truck, 2 Jeeps, 2 tractors, 2 ATVs and all my tools/shop equipment. It turned out to be a $193,000 claim. I was 57 years old at the time. Without insurance I would have never financially recovered. With proper coverage it was only a slight setback and within a year I had fully recovered with a new shop, newer truck, Jeeps, Tractors, ATVs and a full line of tools/equipment.

I'll always have proper insurance coverage. And, if I never have another claim in my life the premiums I'll pay will be a very small percentage of my $193K claim. No brainer to me. I think anyone who has had a large claim would say the same thing.

Gamble all you want. Just don't whine when it goes bad.