Choose only a reputable insurer. Insurance protection is one of the most important investments you can make, and you must be able to trust the company whose help you will need in a disaster. Insurance premiums are usually a good value when you consider what your policy will provide in the event of a loss. A reputable insurance company will make sure you are taken care of when you need it most. A bad company will make your loss even worse.
Make a home inventory. It is proof of the value and condition of your items. It can be as simple as taking your video camera and walking slowly through your entire home to show every item of value. Narrate as you go to describe the items. You can make a spreadsheet of items and scan receipts, then store this data on a cloud drive such as Google Drive or Dropbox. You can also photograph your home, rooms, and belongings if you don’t have access to video. Make it a fun family project! Record and keep serial numbers for TVs, computers, and other valuable electronics. Make it a habit to do this whenever you buy something new, and again, type or scan the information and store it on a cloud drive or at a trusted friend’s house. A good insurance agent may also store the inventory for you!
Find out what types of damage are covered under your policy. Look over your policy and then call your agent or insurance company and go through each coverage. That way you know what to expect in case you need to make a claim.
If you have an “Actual Cash Value” policy, your insurance company will only pay you the fair market value of every item being replaced, taking depreciation into account (which means you won’t get the total dollars needed to replace items at what they cost today).