Maryland is a rich and diverse state, with plenty to offer its residents. Situated on the East Coast, Maryland sees high and low temperatures, thunderstorms in the summer, snow in the winter, and the occasional hurricane. This also means that there are a number of risks homeowners should take into consideration as well. Home insurance rates in Maryland can vary wildly based on location.
A good insurance policy does more than just cover damage against inclement weather. It also helps you out if you ever have to deal with fire, a break-in, or some sort of accident. You can greatly minimize these threats with the proper coverage. Remember, you don't always have to choose the most expensive plan. You simply need to shop smart. Know what is included in your policy, and decide whether you want to opt for additional coverage for specific events.
Comparing Maryland Home Insurance Rates
When you shop for home insurance, your best bet is to get quotes from several agencies. You'll typically provide a bit of information about your property to get a quote. This includes how old your home is, how close to the fire department it is, and whether you have a security system. All policies in Maryland are made up of two parts:
- Section I coverage (property coverage)
- Section II coverage (liability coverage)
Property coverage includes your home and attached structures (Coverage A) and any other buildings on the property (Coverage B). It also includes personal property that you own or use (Coverage C), with specific limits. A fourth component of Section I coverage helps you pay for living expenses and a fair rental value if covered damages make your home temporarily unsuitable for living.
Liability coverage helps you with claims and legal costs if you're responsible for property damage or someone else's injury. It also covers medical expenses resulting from those injuries.
You can opt for additional coverage. These additions to your policy will add to the total cost of the premium. They'll also help you in the event of a disaster.
When shopping for insurance, you'll also want to consider how big of a deductible you want. Higher deductibles typically mean lower premiums. It also means you'll pay more out of pocket to cover any incidents. Consider how much you can afford to pay in a worst-case scenario.
Many insurance companies also offer discounts. You can ask about discounts for combining home and auto insurance, for example. Security systems and safety devices such as smoke detectors can also help lower your premiums.
Maryland Laws to Consider
There are a few laws unique to the State of Maryland that newcomers might not know. There's nothing to worry about if you read your policy carefully and know the terms, coverage, and limits. Most importantly, know the reasons your insurance company can cancel your policy.
First, your insurance company may cancel the policy if you don't pay your premium on time, as is the case with most any policy. You're also at risk of cancellation if you file too many non-weather-related claims. If you do nothing about the weather-related claims you file, there may be consequences. For instance, if the same issues keep occurring each time you experience foul weather, your agent may ask you to renovate or upgrade your home to prevent it from happening again. Failing to do so puts your policy in jeopardy.
Maryland also requires all insurance companies in the state to offer two endorsements (written documents that modify a policy's coverage). One protects you against damage as a result of water backup from drains and sewers. The other gives you liability coverage for licensed day care providers. Both will add to your premium and they are not required. However, the water backup endorsement is strongly recommended.
Finally, remember that no insurance policy will coverage damage from flooding. You can purchase a separate policy from the National Flood Insurance Program.
Frequently Asked Questions About Maryland Home Insurance
1. Will home insurance cover any cracking or tearing apart of the foundation?
Typically speaking, your home insurance policy will cover any cracking or tearing apart of the foundation, as long as it is not the result of neglect. Most policies also include debris and tree removal. This can come in handy if you live in an area affected by hurricanes or tropical storms. A storm can cause a tree to fall onto a home, which may damage the home's foundation.
2. Does a homeowners insurance policy cover theft?
Unless listed as an exclusion from your policy, most home insurance covers theft. You can opt to increase the limits of your policy for additional coverage and insure specific valuables if you feel it is necessary. You can even insure a computer.
3. What can you do if you're unhappy about how the insurance company settles a claim?
Before anything else, you should contact your insurance agency and try to work out the issue. If you're unhappy with a settlement amount, you can make an inquiry. Mistakes can and do happen. If you're unable to resolve things with your insurer, you can contact the Maryland Insurance Administration. The administration handles investigations to make sure you receive your full benefits.
How to Get Great Rates on Maryland Home Insurance
Has it been a while since you shopped for homeowner’s insurance? Is so, loyalty doesn’t always pay because prices vary from insurer to insurer. Another company may offer you a much better deal. Looking for home or renter’s insurance quotes? insuranceQuotes.com can help you find the best homeowner’s or renter’s insurance policy at the best price. Every year, we match 15 million consumers to the nation’s biggest home insurance companies, including Allstate, State Farm and Farmers.
Maryland Home Insurance Resources
Here are some helpful resources if you’re looking for more information on Maryland insurance.
MD Insurance Administration
Information on insurance-related laws and regulations that help protect Maryland consumers
Insurance Information Institute
A general consumer resource for facts, statistics and issues affecting all types of insurance