Alabama Home Insurance
If you are planning on purchasing a home in the state of Alabama, you will need a full and comprehensive homeowner's insurance policy.
There are many considerations which you will need to keep in mind when choosing which company you will work with. But, first, you will need to have a clear idea of what you are getting into.
Be sure to always compare rates before making any decisions. Using a comparison tool such as the FREE one at the top of this page will get your started!
Homeowner's Insurance Is A Practical Necessity
While it is true that the state of Alabama does not absolutely require you to possess homeowner's insurance before purchasing a home, it is also true that many mortgage lenders and realty agents will not deal with you if you do not possess proof of holding a current policy.
It is, therefore, more of a practical than legal necessity, but a necessity all the same.
Research Is The Key To Getting The Best Deal
When choosing between competing offers, research is the key to getting the very best deal on homeowner's insurance. Your logical first step in researching all of the key elements of knowledge you will need to make an informed decision should be the official State Of Alabama Division Of Insurance website.
Perusing the official Alabama Division Of Insurance website will make you aware of the wide range of options that you will possess as the holder of a homeowner's insurance policy. This is the best way to get acquainted with all of the rights and responsibilities that you will be taking on as a home owner in Alabama.
The Alabama Policy Holder's Bill Of Rights
One of the major innovations that sets the regulation of the insurance industry in Alabama apart from other states is the Alabama Home Owner's Bill Of Rights Act. This is a very important piece of legislature which was first enacted in 1975.
The purpose of the Act is to guarantee home owners the right to fair and cost effective insurance from each and every company that does business in the state of Alabama.
The Significance Of The Alabama Homeowner's Bill Of Rights Act
The Act covers many diverse issues related to homeowner's insurance, but the gist of it can be summed up by paraphrasing three of its more important articles:
- Article 1 guarantees that home insurance policy holders will have full access to the variety of benefits conferred by the lawful competition of companies, subject to state regulation.
- Article 6 guarantees that policy holders will have the right to receive written notice from their insurance company in the event of the cancellation of their policy and the coverage it provides. This also guarantees that policy holders will always have a certain number of days to prepare for the ending of this coverage.
- Article 11 stipulates that policy holders will always have the right to file a complaint against their homeowner's insurance provider in the event that they feel they have a legitimate grievance, regardless of the reason. This particular Article also guarantees that policy holders can report this grievance directly to the State of Alabama Division Of Insurance.
Federal Legislation Concerning Homeowner's Insurance
Once you have been to the Alabama Division Of Insurance website, your next step should be to log on to the National Association Of Insurance Commissioners website.
The NAIC is the Federal body that regulates the conduct of the insurance industry in the United States as a whole. This is an excellent place for you to learn more about how the company you choose for your policy coverage is required by law to conduct itself.
It is also an excellent resource for any further questions you may have concerning how a homeowner's insurance policy, or the concept of insurance itself, works. The NAIC website has many sidebars and specialized pages which you can access.
The NAIC Consumer's Guide To Homeowner's Insurance
The NAIC has recently published a very valuable Guide To Homeowner's Insurance on its website, which is available in PDF form.
This document covers a wide range of subjects, beginning with why you should take out a policy of homeowner's insurance in the first place, and covering such crucial subjects as the different types of homeowner's policies that are available.
This guide is well worth the read. If you are concerned about making the best possible decision regarding your future homeowner's insurance policy, this document should be able to answer the majority of your most pressing questions and concerns.
Be Sure To Compare And Contrast
Remember that competition is the key to a healthy American free market system. This principle holds true especially with regard to homeowner's insurance. Before you make an agreement with an insurance company, make sure that you have shopped around in order to get the very best deal.
Make use of independent testimonials and customer review sites and blogs. The Better Business Bureau website is an excellent online resource that you can consult to verify the claims made by insurance companies in your area.
Shop Around And Remain Skeptical
Be sure to make use of all of the tools that are available to you on the Internet. Don't take any company or agent's claims at face value. Keep your goals clear and your expectations high, and don't settle for less than the best deal you can get.
When choosing homeowner's insurance, you are the one who has to live with the choice you make. Luckily, you are also the one in the driver's sear when it comes to making that choice.
Enter your ZIP code and start your comparison now with the FREE tool below!