Home & Property Insurance in Ottawa
Why Should You Invest in Home Insurance in Ottawa?
In Ontario, homeowners insurance is not required by law. But when closing on a property, most banks require proof of home insurance before advancing on the mortgage. So unless you can buy your home outright without a loan, you could say home insurance is a crucial piece of the purchasing puzzle. Let’s say your property burns down after just one mortgage payment. If you don’t have insurance, what’s stopping you from not paying back the loan? This is why the bank wants to maintain an ‘insurable interest’ on your home at all times. Any loss or damage to this property would affect them financially. Home insurance protects their interest by ensuring the lender is reimbursed, even if the policy holder violates the conditions of the policy. Aside from satisfying the bank’s requirements — home insurance is purchased for a number of additional reasons, including the following:- Protects the home from a range of hazards, including fire, flooding, vandalism and theft
- It helps with securing a mortgage. If you’re not a homeowner yet, but you’re considering applying for a mortgage, most banks usually require you to include proof of home insurance before they approve you. Home insurance protects their interest by ensuring the lender is reimbursed, even if the policyholder violates the conditions of the policy.For instance, let us say that your house is destroyed by a fire after you pay just one mortgage payment. If you don’t have home insurance, what is preventing you from not paying back the loan? Banks want to avoid this issue and having home insurance acts as an “insurable interest” on your home. Think of it as a preventative measure from the bank’s perspective.
- Home insurance protects your home from hazards. In the event of a fire, vandalism, theft, and flooding, home insurance can give you the coverage you need to protect your home and bounce back better than before.
- Peace of mind. You can sleep better at night knowing that your home is covered by a home insurance policy. Without it, you are taking a big risk and accepting full responsibility if something unfortunate happens to your home. In that situation, you will be forced to pay out of pocket.
What Does Home Insurance Cover?
If you’re a homeowner, you already know that maintaining your house is an investment, so let’s take a closer look at what home insurance in Ottawa covers.- In case someone is hurt on your property, home insurance offers personal liability and will cover the costs of the injured person.
- If your house is damaged or destroyed by a disaster or hazard (e.g. flooding, fire, vandalism, etc.), your home insurance policy will provide temporary housing and cover additional expenses if you need to temporarily stay elsewhere.
- If your home is damaged due to faulty plumbing and heating, your home insurance policy will cover the cost of repairing your home. Keep in mind that the cost of the land is not included. Home insurance also covers damages to your garage, driveways, sidewalks, fences, swimming pools and fences.
- All your personal property in your home, such as clothing, electronics, home appliances, furniture, and sporting goods, are covered by your home insurance policy.
How Do You Calculate the Price of a Home?
Home insurance is usually calculated based on the estimated cost of rebuilding your home from the ground up. These are the factors that are considered when determining the price:- The overall square footage of your property
- Distance from the closest fire station and fire hydrant
- If you live in a remote area
- If you have a monitored security alarm system
- If you require earthquake, sewer backup and overland flooding
- If you’ve made claims in the past, you could pay a higher premium
- If you want to insure high-priced items like collectibles, fine art, antiques, jewelry, musical instruments that will increase your premium
Types of home insurance in Ottawa
Oegema Nicholson in Ottawa offers various types of home insurance. In Canada, there are three policies available.Named perils
This is a basic policy that will protect your home from a specific list of ‘perils’. Water damage, fire and theft are all covered under this type of policy. At Oegema Nicholson, we offer some of Ontario’s most affordable premiums. But should you feel this basic coverage is not adequate, our friendly insurance agents would be happy to provide you a quote for more advanced coverage.Comprehensive
This type of policy protects against everything, except for a list of exclusions stated in your policy documents. Comprehensive coverage is the highest level of protection offered by Oegema Nicholson. Although this policy covers almost every peril imaginable, it’s still important to know there may be optional coverages. Check if things like jewelry or supplemental dwellings are covered.Broad form
Broad form is a good compromise between named perils and comprehensive policies. It bridges the gap by offering comprehensive coverage on the most valuable aspects of your plan, but provides basic perils coverage on personal items.What Factors Influence Home Insurance Rates in Ottawa?
Type of Home
If you’re home is an older model, your home insurance in Ottawa could be higher than a new home. The reason is that older homes are more likely to experience natural wear and tear faster than a newer model.Electrical Wiring and Plumbing
If your home’s electrical wiring and plumbing system are old and you have experienced problems before, you can expect to pay a higher premium.Age of Roof
If your roof has never been replaced and you have been living in your home for over ten years, it’s time to get a quote on roof replacements. The older the roof, the higher your home insurance policy could be, as inclement weather, like snow and rain storms, could cause damage to your roof and create leaks inside your home.Easy Ways to Save on Home Insurance in Ottawa
Improve Home Security
You can save on home insurance in Ottawa by getting a home security system installed into your home. When you have your own home security monitoring your home, insurance companies are more likely to give you a lower premium as it acts as a security blanket in case something happens while you’re away.Replace Old Wiring
Old wiring can cause electrical fires and damage your home. Having old wiring replaced with new ones can create savings in the long run on your home insurance policy.Have a Good Credit Score
Having a high credit score can get you lower premiums. Why? Because if you have a low credit score, insurance companies deem that you’re more at risk of filing an insurance claim. So, the higher your credit score, the less risk you present, and this affects how much your home insurance premium will be.Quit Smoking
Not only is smoking bad for your health, but it’s bad for home insurance insurers as they see smoking as a fire hazard that could damage or burn down your house. So it’s best to quit altogether for your health and the safety of your home.Why trust Oegema Nicholson?
At Oegema Nicholson, we believe clients should be treated like family. Proudly serving the areas of eastern Ontario and western Quebec, our mission is to connect customers with high-quality insurance policies at affordable rates. Our friendly team in Ottawa is committed to ensuring your best interests, which means we work hard to represent you. Whether you require basic insurance on your first home or complex coverage for your summer cottage, rely on our expertise to help protect your most valuable assets. For more information on home insurance, call us at 613-704-7766 or contact us here.
If you are looking to save on insurance ONA can help. We have a wide range of options for bundling home and auto insurance plans. With our options you can tailor your coverage to meet your specific needs, ensuring comprehensive protection for your home and vehicle while enjoying reduced premiums.
bundling your insurance also simplifies the process for filing claims, as dealing with a single insurance provider can streamline the claims process, making it less stressful and more efficient.
When considering bundling your home and auto insurance, it’s crucial to research and compare offers from various insurers in Ottawa. Look for providers with strong reputations, excellent customer service, and competitive pricing. At Oegema, Nicholson & Associates, we have an extensive record of offering home and auto insurance in Ontario. If you need coverage, we can find the right insurance plan for your needs. After reviewing your current home and car insurance policies, our experts will help you compare and contrast different plans to find you the most competitive rates.
