Best Homeowners Insurance Agencies in Fairfield

Frequently Asked Questions

• Introduction

  Homeowners' insurance is a type of property insurance used by private property owners to protect their home and property from a range of risks and liabilities. It is also called home insurance.
  

  
  

  All homeowners' insurance policies cover the primary home on a property, meaning that most damage from weather, accidents, vandalism, and other events will be at least partially paid for by the insurance company. Many policies also include coverage for other structures, personal property, and some premises liability.

  
  

  It is not required by law that a homeowner purchases insurance for their property. However, if you have a mortgage, the lender will usually make purchasing a homeowners' policy a mandatory part of the loan process. Since the mortgage lender is essentially selling you the home, they require you to protect the investment.
  

• How can California’s FAIR Plan help residents of Fairfield who need homeowners insurance?

  The California FAIR Plan is an option of last resort for Fairfield residents who need homeowners insurance but have been refused by traditional insurers. It protects homes from fire risk and fulfills the homeowner's insurance requirements of mortgage companies. It does not, however, cover incidents of theft, earthquake, flood, hail, personal liability, or vandalism. Homeowners in the inner city and wildfire-prone areas usually need to resort to the FAIR Plan due to the absence of other options.

• How can a Difference in Conditions policy help Fairfield residents who need comprehensive homeowner's insurance coverage?

  A Difference in Conditions or DIC policy is a product that Fairfield residents can obtain to supplement the coverage deficiencies of a FAIR Plan. Policyholders of a standard homeowner's insurance plan need not get a DIC. Those who have had no recourse but to get a FAIR Plan are advised to consider getting a DIC insurance to fill the gaps in coverage.

• If a Fairfield homeowner's insurance policyholder cancels their policy in the middle of its term, will the insurer charge an earned minimum premium?

  Most insurers will charge an earned minimum premium if a homeowner's insurance policyholder in Fairfield cancels the policy in the middle of its term. Most plans stipulate a 25 percent earned minimum premium, in which the insurance provider keeps the premium for the first three months even if the policyholder cancels within just one or two weeks into their policy. Some insurers also charge cancellation fees aside from retaining the minimum premium.

• Why have some insurers in Fairfield stopped offering new homeowner insurance policies?

  Various insurers in Fairfield have stopped offering new commercial, condominium, and homeowner insurance policies because of the cost of insuring new customers from wildfires and the higher reinsurance premiums. Home repair and rebuilding costs have increased due to inflation, but insurance prices cannot cope with them because of state regulations. At least four large insurance providers have so far stopped offering policies in recent years, even if over 100 insurers still do business in the state.

• Are homeowner's insurance premiums in Fairfield expensive?

  Relatively speaking, homeowner's insurance premiums in Fairfield and throughout the state are only moderately priced. Despite most everything in California being notoriously expensive, insurance policies remain relatively cheap; they are only slightly below the country’s average, with the state being 24th in overall rank. This is because California’s regulations do not allow insurance companies to impose rate hikes without justification.

• What determines the price of homeowners insurance premium?

  The premium, or monthly cost, of your homeowners' insurance policy depends on several factors, including the value of your home and amount of coverage you choose. Your credit history and whether the property is in a higher risk area also play a role.