As the seasons shift and the time comes to think about your cottage insurance renewal, it’s important to be proactive. Without reviewing your policy, you risk not being adequately protected or paying for more coverage than you need.
While renewing your policy may seem routine, it’s important to take the time to think about your options. Here at Buckler Insurance, we’ll look at what you need to consider during your renewal and the steps to take to ensure you have the right insurance for your needs. Let’s get started!
Understanding Your Current Policy
Before looking at any renewal documents, it’s important to understand what coverage you already have. This will allow you to see if there are any changes or gaps in the policy that you may have missed the first time around.
You should take the time to look at the coverage limits and deductibles and check to see if there are any exclusions in the policy documents. Understanding these details will equip you with the knowledge you need to get the right coverage on renewal.
Take the time to review the limits, deductibles, and exclusions outlined in your policy documents. Understanding these details will help you evaluate whether your current coverage adequately meets your needs.
Assessing Changes in Property Value
One of the key aspects of renewal for cottage insurance is knowing your property value. This can fluctuate over time but are highly likely to change of you’ve made any renovations or home improvements.
Consider whether or not the value of the property may have significantly changed. If the value has increased, then you may need a high level of coverage. This will help to prevent underinsurance in the event of a claim.
Evaluating Coverage Limits
The coverage limits in any type of insurance policy determine the maximum that the insurer will pay out for losses. These limits can be both for one individual claim as well as a limit for multiple claims across the same policy.
Check over these limits to see if they align with the replacement cost of the property along with all of its contents. If you’ve added value to the property, such as new furniture or technology, then your existing limits may not be enough.
Likewise, you may feel like the coverage is too high and want to save a bit of money. Either way, ensure you’re adequately protected for all eventualities.
Reviewing Liability Coverage
Whether it is auto insurance, home insurance, or almost every other type of policy, liability coverage is vital. This component will protect you financially in the event of property damage or bodily injury that happens on the property.
As you assess your renewal, take the time to check to see if your liability coverage gives you adequate protection based on your assets and exposure to risk.
The biggest factors in this will include the frequency of guests visiting the property and any recreational activities undertaken. For example, if you’re expecting an increase in guests, it may be a wise move to increase your coverage.
Updating Personal Belongings Inventory
Your cottage will most likely contain a wide variety of different personal belongings. These usually include furniture, appliances, electronics, and much more. Crucially, the combined value of our personal belongings is constantly evolving.
Due to this, it’s good to create an inventory. Each year, you can cross-check against this inventory and see what’s changed. If you already have one, then make sure it’s updated.
Not only does this inventory allow you to get sufficient coverage, but it can also be important evidence in the event of theft or loss. If anything is of particularly high value, then you may need to get separate coverage for it.
Assessing Additional Coverage Needs
There will be plenty of optional extras with your cottage insurance. These are to cover specific risks or circumstances that may be unique to your cottage. For example, a property on a hill is extremely unlikely to need flood coverage, but one by a river would.
Also, you may need extra insurance depending on additional items around the property. For example, if your property is by a lake, you may need insurance for a personal watercraft. It’s a good idea to discuss the coverage options with your provider or insurance broker to ensure you’re adequately covered.
Exploring Discounts and Savings Opportunities
Another good idea is to explore how you can save money on your renewal. In terms of discounts, a provider may reduce your premiums if you have security measures such as cameras or fire alarms. You may also be offered savings if you winterize the property between seasons.
One way to save money with an insurer is bundling the cottage insurance with other policies, such as tying your cottage insurance in with your home insurance at your primary residence. When renewing, speak with your insurer about possible savings.
Seeking Professional Guidance
Navigating the world of insurance renewals can be a little complicated at times, especially when considering coverage limits and optional extras. If you’re unsure, don’t hesitate to speak to a professional.
An experienced insurance broker will work with you to give personalized advice. Independent from an insurance company, their advice will be based on what best meets your needs, allowing you to make an informed decision about your coverage.
Final Thoughts
Renewing your cottage insurance doesn’t need to be a big deal, but it’s worth checking your policy. The nightmare scenario is updating without a review and not being covered for something you thought you would be.
If you’re looking for bespoke advice or cottage insurance renewal policy, speak with Buckler Insurance today. We’ll happily assess your individual circumstances to ensure your cottage insurance accurately reflects your needs.
