Best Homeowners Insurance Agencies in Salem

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.
  

• What are some of the costly hazards faced by homeowners in Salem?

  Landslides, mudslides, and floods are among the costly hazards that Salem residents face. However, these are typically not covered by standard homeowners' insurance. Individuals interested in receiving comprehensive coverage for various geological hazards should contact the Department of Land Conservation and Development. The phone number for the department is 503-373-0050, the email address is dlcd.info@dlcd.oregon.gov, and the address is 635 Capitol Street NE Suite 150 Salem, OR 97301.

• What is subrogation in homeowners' insurance in Salem?

  Subrogation is a general insurance process that allows an insurer to legally recover payment from a liable third party after it has paid the policyholder. This procedure is also applicable to a homeowners' insurance claim in cases of property damage caused by the actions of another person. When the insurer recovers a reimbursement, the policyholder in Salem may be reimbursed for all or part of their deductibles.

• If an insurer obtains a credit report on a homeowner applying for insurance in Salem, will the credit score go down?

  No, a Salem homeowner's credit score will not decrease if an insurer pulls their credit report. It will only decrease if the insurer conducts rigorous credit checks on the homeowner. This is because hard inquiries indicate that an individual will open a new credit line. This process involves retrieving a person's information regarding their revolving debts, payment behavior or history, and current loans.

• In Salem, how many days do insurance companies have to notify policyholders of non-renewal or cancellation of home insurance?

  If an insurance company cancels a homeowner's insurance policy due to nonpayment, state laws require the insurer to provide at least 10 days' notice. If a Salem homeowner's policy will not be renewed for reasons other than nonpayment, the insurer must provide at least 30 days' notice.

• Will a homeowner's insurance policy in Salem cover damage from a slow leak?

  Not at all. In general, insurance serves as a safeguard against damage caused by unexpected or unintentional events. Slow leaks, pest infestations, seepage, and dry rot are not covered by Salem homeowners insurance because they are the result of poor maintenance. Remember that an insurer may cancel a policy for a home that has deteriorated so much that it no longer meets the underwriting standards.

• 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.