Maintaining a home insurance policy is the only way you will be able to repair or rebuild your home without having to pay out of pocket. There are reasons, however, that may cause your insurance provider to cancel your policy. Understanding what those reasons are will help you take appropriate action that will allow you to keep your policy in good standing for as long as possible.
The following are a few reasons why your home insurance may be canceled in Ventura.
1. High-risk Elements
One of the quickest ways to have a homeowners policy canceled is to increase your risk dramatically. Trampolines, swimming pools, tree houses, or skateboard/bike ramps can increase your risk tremendously if you don’t have a fence up to protect your property from anyone who wants to trespass. Installing a privacy fence is the best way to protect yourself and your property.
2. Home-based Businesses
Depending on the type of home-based business you operate, your homeowners’ policy may be sorely inadequate. If you want to keep your homeowners’ policy in place, you will need to contact your insurer and purchase a commercial policy that will coincide with your homeowners’ insurance. Having both types of policies in place will ensure you have the maximum amount of coverage for both your home and business.
3. Housing a Felon
Having a felon in the house may not be a big deal for some insurance companies. If you disclose that a felon lives in your home and the insurer approves your application for homeowners insurance, they will not be able to cancel your policy later. If you don’t disclose the information or a felon moves into your home after your policy is in place, they may cancel your policy as soon as they find out, depending on how the policy is worded.
4. High Crime Rate
A community changes over time. If you live in an area where the crime rate has steadily increased, you will want to know if your policy is in jeopardy. You may want to increase the amount of coverage you have or ask what you need to do to protect your home and personal property. Installing a privacy fence or a home security system are both viable options that will allow you a little more peace of mind.
5. Too Many Claims
One of the most common reasons a homeowners insurance policy is canceled is because of frequent claims. Instead of filing a claim for a small event or item, work on taking care of them on your own. Try to only file claims for significant events. Too many small claims will not only raise your premiums, but it may also make it more difficult for you to get good, quality policies in the future.
6. Vicious Dogs
While not all dogs are vicious, there are certain breeds that are known for their vicious traits. Rottweilers, pit bulls, Doberman Pinschers, and chow-chows are commonly considered vicious breeds. It’s true that many of the dogs you see in the news were trained to act viciously. However, that doesn’t discredit the findings that certain breeds tend to be more violent than others. Obtaining a dog that belongs to one of these breeds after your policy is in place may cause your insurer to cancel the policy. However, they may also offer you the option to purchase a dog-related rider to go along with your homeowners’ insurance so you can keep your policy intact.
Ventura residents deserve answers if their insurance policy is canceled for any reason. Our agents at John E. Peakes Insurance Agency will help you go through your homeowners’ policy to determine what you can do to prevent your policy from being canceled. Contact us today to learn more!