If you own a lake home, you will want to have the right kind and amount of insurance to protect your property. Here are some things to keep in mind when insuring your lake home.
In the Land of 10,000 Lakes, there are plenty of lake homes! If you own one of them, you will want to have the right kind and amount of insurance to protect your property. Here are some things to keep in mind when insuring your lake home
Your lake home will be insured, much like your primary residence, with a homeowner’s policy. It may be able to be added as an extension of your current policy, but because there will be some things that may make your lake home policy unique, having separate coverage isn’t a bad thing. And often, the two policies can be bundled to save you money. Your independent insurance agent at Hermann Insurance can help you sort out how to maximize your coverage for the best value.
Due to its proximity to the water, is your lake home in a flood zone? How do the water levels fluctuate throughout the year? Is there a history of the property flooding? Homeowner’s insurance doesn’t cover damage caused by flooding, so you should consider adding a flood insurance policy if this could be a problem.
Does your lake home have outbuildings like docks, storage sheds, outhouses, bunkhouses, etc.? These structures may not be covered under your homeowner’s policy, so you should consider increasing coverage.
Semi-Permanent Water Structures
If your lake home is lakeside, you may have semi-permanent water structures like swim rafts, seasonal docks, boat lifts, and water trampolines. When setting up your policy, ask about the cost of adding policies for these items. Also, find out what the limitations on coverage are for them. For example, are they covered by storm damage?
Watercraft and Recreational Vehicles
Lakes mean boats, personal watercraft, and ways to get around on land like golf carts and ATVs/UTVs. These must be insured with separate policies to protect your assets against loss.
Most people have guests and workers on their property. So, it is essential to consider the fallout of a catastrophic accident. No one ever plans for an accident, but they happen every day. Adding activities on the water and around a campfire can increase that risk. Have an umbrella policy to cover everyone on your property in the case of an asset. Don’t lose everything when you can protect yourself with an umbrella policy.
You will probably have lower amounts of personal property at your lake home, but you will still want to consider that off-season theft and vandalism often happen. Get a security system to minimize this risk. Also, consider installing a smart thermostat to keep the pipes from freezing in the winter. This can also protect the wiring from overheating and starting a fire in the summer. Finally, your lake home’s distance from the fire department could mean a total loss when they arrive.
Use an Insurance Agent You Can Trust
The independent insurance agents at Hermann Insurance know how much a lake home can enrich your life. So, we want to help protect it without putting a big dent in your wallet. To discuss your insurance needs and how we can help meet them, Contact us today.