Homeowners Insureance

Arizona Home Owner Insurance - Suffering Through a House Flood   by Gary Brown

Big claims and Small claims

Most of us think of fire or theft when it comes to home owner claims.

When I bought my home, which is an older 26 year old block home, I went through every room with a water connection and replaced the older metal water pipes that connected to every sink, toilet and my laundry washer with new, modern hoses.

Those old metal water hoses eventually wear out and break. I guess my years in the insurance business taught me to do the basic preventive maintenance.

Hindsight is 20/20

Unfortunately, I never told my friend this potential danger. He never thought about it either.

The Bad News

I got the phone call early on a Friday morning. My friend’s water hose busted in the middle of the night. Water poured out of the bathroom, into the hallway and every room in the house other than the master bedroom.

My friend’s had invested about $40,000 in a new kitchen and flooring throughout the house only a few years earlier. While their insurance will pick up the tab for most of the damage, the inconvenience is major. They likely will have to move out temporarily.

The restoration company cuts holes in walls throughout the house to allow for drying in the walls. The expensive wood flooring rose like a bridge over the San Francisco bay.

Uh Oh

The worst part? My friend has a $10,000 deductible. He wanted to plan for a major claim, against my advice of carrying a smaller deductible. There usually is not that big a savings to go too high on a deductble.

Remember to do the basic maintenance on your home. It will save you money and aggravation in the future.

Remember this

Keep in mind every time you get your auto and home policy renewal - should I have a review with my agent?

You never know if you will change your mind in the future with regards to your coverage or deductible. Things change. Your situation may change.

Always be open to an insurance review. It is only for your benefit.