When to buy Home Insurance on new home ?
SM asked:
I am planning to buy a home . Close of Escrow is in 1st week of March but to process Escrow and Lending papers they need home owners insurance information . When do I buy the homeowners insurance ? Can I purchase it beforehand even though property is not under my name till close of escrow ? What if I buy it and deal does not go thru ? How does this process work.. Any feedback is greatly appreciated
I am planning to buy a home . Close of Escrow is in 1st week of March but to process Escrow and Lending papers they need home owners insurance information . When do I buy the homeowners insurance ? Can I purchase it beforehand even though property is not under my name till close of escrow ? What if I buy it and deal does not go thru ? How does this process work.. Any feedback is greatly appreciated
Thanks
Ammie Carolla
Yes – you must have it in place prior to closing.
I just went through this in August. I got quotes and picked one that I wanted. I told them the situation and they asked for my broker’s information. They took it from there. You will have to pay the premium upfront. Make the effective date your closing date. If the deal falls through, you can call and void it and they’ll refund you.
You can BUY the homeowners now, to be effective the date of the closing. If the deal doesn’t go through, you can cancel the policy flat and get all your money back.
You have to complete the process beforehand, with the effective date being the closing date, but don’t pay the premium until the closing date. If the deal does not go through, you can cancel the policy, no problem.
based upon your situation,I think you should find something useful here
homeinsurance.awardspace.us – try this one. I just get home insurance from them. As I know they provide such a service.