Can You Buy Your Own Home Insurance Instead Of The Bank Get It For You?
December 31st, 2009 - ByPosted in Home Insurance
if you are in the process of buying a home they require that so can you find your own insurance or you have to take the one they offer for the first year? it seem too much for the premium for the year they want to charge me. any advice
8 Responses to “Can You Buy Your Own Home Insurance Instead Of The Bank Get It For You?”
December 31st, 2009 at 12:34 pm
You have a right to get your own quotes & go with whoever you want. The mortgage company does not care who you go with as long as you have enough coverage to cover your loan balance if home burnt down. Most mortgage companies have a few agents that they call for quotes just because most buyers do not want to take the time to do this. If you are willing to do your own shopping go for it! There is a wide variance of prices out there.
Good luck!
December 31st, 2009 at 4:24 pm
It is always cheaper to arrange your own insurance, however it must match or be better than theirs.
December 31st, 2009 at 7:05 pm
absolutely, you have the right to buy your own homeowner insurance from the insurance company you choose- if you will fail to pay the insurance premium in the future- your bank has the right to buy this insurance from any company they choose and you have to reimburse them no matter what.
December 31st, 2009 at 10:40 pm
Of course. A lender can not force any single company on you. I am employed by one of the largest mortgage brokers in the country. We work with over 350 lenders to bring you the best rates and programs. I welcome the opportunity to help. Please feel free to contact me via email anytime with any questions you may have.
January 1st, 2010 at 12:59 am
sure you can I catually do that before buy the home and tell my insurance co. to work with the bank and that way i get the best deal with my insurance…
January 1st, 2010 at 2:11 am
Do your own shopping for home insurance. Start with the same company that you currently use for your auto insurance. Discounts are available when you have multiple policies with one company. Also, contact independent agencies that represent several different companies. Make sure the coverages and deductibles are the same so you get an accurate comparison. Also check the companies rating with A.M. Best. The company should carry no lower than an A rating.
January 1st, 2010 at 6:40 am
Yes – most home insurance agencies offer renters insurance. It only covers your personal property (limits the apartment’s liability if the place burns down).
Call around.
January 1st, 2010 at 8:20 am
You can get your own but they may insist a one off admin fee is charged for them to check the policy cover (it still seems unfair) but it works out much cheaper.
As long as they confirm the policy meets their standards you wont have a problem, and shop about for the best deal.
If you fail to pay for insurance the bank will be notified as they will insist that as long as you have a mortgage they are named on the policy as an interested party. They will then take out a policy on your behalf and bill you for it, so its important to keep up to date with the payments on the insurance.
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