How Is My Homeowners Insurance Premium Determined?The number of homeowners who do not exactly understand what is covered and what is not covered under their homeowners’ insurance policy is overwhelming. Likewise, the number of homeowners who simply pay their premium each month without understanding why they are paying that amount is extremely high as well. Gathered is a list of determining factors for your homeowners’ insurance premium:

Your homeowners’ insurance premium is determined based on:

  • Your homeowners’ insurance carrier will evaluate your home and determine exactly how much it would take to rebuild your home if it was hit by a damaging fire or other covered peril.
  • Your homeowners’ insurance carrier will also determine how vulnerable your home is based on the materials used to build it. If your home is made of newer, more durable materials, your homeowners’ insurance premium will not be as high.
  • Likewise, the age of your home is a large determining factor as well. If your home’s architectural design will make it more vulnerable or difficult to replace, you will likely receive a high premium estimate.
  • If your home is in an area that is particularly vulnerable to extreme natural disasters, your insurance carrier will increase your homeowners’ insurance premium accordingly.
  • In determining your homeowners’ insurance premium, the claims history of your home will also be evaluated. If the previous owner experienced multiple burglaries, you can expect to see higher rates.
  • Likewise, your personal claims history will also be taken into consideration, even if the records were from a different home.
  • Most influencing determining factor will be the coverage options you opt for.

We have been providing New York residents with unparalleled insurance solutions since 1926. Contact Scautub Agency in Scotia for all of your New York homeowners’ insurance needs. We can personalize a unique homeowners’ insurance policy based on your home’s exclusive needs.