Best Homeowners Insurance Agencies in Durham

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.
  

• Can insurance companies not renew your homeowners' insurance policy in Durham?

  Yes. North Carolina laws do not require homeowners' insurance. There are many reasons for the non-renewal of an insurance policy in Durham. Some of these include failing a home inspection, living in high-risk areas, and being fraudulent during application. It is also possible that the insurance company may not renew policies in certain areas where they plan to cease their business.

• Is sinkhole damage covered in homeowners' insurance policies in Durham?

  Homeowners' insurance typically provides coverage for unexpected events such as fires, but there are some hazards like hail, sinkholes, and earthquakes that may not be included in standard policies. Homeowners in Durham should review their policies with the insurance agent to ensure they have proper coverage. If their area is at risk for sinkholes, they can opt to buy a separate sinkhole insurance, which can cover the financial costs of losing their belongings, repairing their home's foundation, and stabilizing the land.

• In Durham, does it cost much to purchase homeowners' insurance?

  Generally, homeowners' insurance in North Carolina is cheaper than the national average. It costs around $1,545 annually in the state for a policy with a $300,000 coverage, while the nationwide average is $1,754. However, it is not applicable to Durham because it has higher home insurance costs at $1,749 annually — a 13% difference compared to the nationwide average. Homeowners' insurance costs more in areas at risk of natural disasters.

• Is your personal information shared by insurance companies in Durham when you file a homeowners' insurance claim?

  Yes, specialty consumer reporting agencies collect data on claims, including those for your homeowners' insurance in Durham. In turn, the data report will be used by your insurer to craft the policies they offer you and your premiums. You can request a free copy of this report from specialty consumer reporting agencies every year, according to the Consumer Financial Protection Bureau.

• Are homeowners' insurance rates in Durham increasing recently?

  There are reports that homeowners' insurance rates in the country will increase in the coming years. The increase is attributed to supply chain problems, inflation, and climate change. Recent years have reported an increase in the number and intensity of severe weather-related damage, which will cause insurers to pass on the costs to consumers. The 2023 Homeowners Report from Insurify showed a 9% increase in premiums for 2023. Consumers in Durham can conduct research, check their policies, and talk to their insurance agents to see if there are ways they can save some costs on premiums.

• 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.