Nothing beats the feeling of completing a mortgage payment. It calls for more than a celebration, but there is a problem. What happens to your home insurance policy? Most New York residents prefer to use the mortgage mode as it allows them to grow their finances. Do you do away with it? No, bad idea. At Access Legacy Insurance Group, we recommend speaking to your insurance company to know the way forward.
What to do with the extra cash
Of Course, your money is now freed from debt, and you can do whatever you want with it. There are ways you can save and invest in your home insurance policy. Remember, your lender is no longer in control of your insurance because they no longer own that home. It is now your responsibility to ensure that you buy adequate coverages to safeguard your investment.
How to adjust your insurance
With a mortgage gone, you are likely to have more leeway with your home. You can choose to add or remove coverages based on your needs. The best way to go about it is by discussing the matter with your Brooklyn, NY insurance agent. Here are a few tips to get you going.
- Use your money to renovate your old house. This will decrease your premium rates and also get your home into a better shape. If there is insecurity in the area, consider adding a home security system to keep burglars away. This addition also lowers your premium rates.
- Be sure to remove the bank from your policy. This is an important step as it ensures that the bank does not have the power to claim any money you receive from that policy.
- Check your limits. You do not need to carry high limits now that your lender is gone. Your insurance agent can help you go through the process of determining which limits should be adjusted and which ones should be left the way they are.
Need to know more about home insurance after mortgage payment, contact Access Legacy Insurance Group in Brooklyn, NY today!
