Why Paying Home Insurance with Your Tax and Mortgage Payment May Not Be a Good Idea
Why Paying Home Insurance with Your Tax and Mortgage Payment May Not Be a Good Idea
If you pay your home insurance premiums through an escrow account that includes your property taxes and mortgage payment, you are not alone. In fact, far from it. It is estimated that 80% of homeowners take care of their property insurance payments in this manner. But is it a good idea?
It certainly is for mortgage holders, the local taxing authority, and insurance companies, but what about you?
Combining your home insurance with taxes and mortgage payments in an escrow account is convenient, for sure. But there can be issues with this approach. It can disconnect you from just how much you are paying for property taxes. It can also not provide an accurate feeling of what your mortgage is costing you. But it can cause even more issues when it comes to your home insurance.
When you pay your home insurance through a combined escrow account with taxes and your mortgage, it can be easy to forget about this critical coverage. You may ignore getting your home insurance policy reviewed, and you may miss out on coverage or find yourself paying too much. It can be easy to forget what your deductible is, who your insurance company is, and even how much you are paying.
Have you ever signed up for a subscription or “free trial” that you forgot about and paid for longer than you should have? A similar issue can occur with home insurance.
How do you fix it? Contact us for a no-obligation home insurance review. We can answer all of your questions about your homeowners’ insurance. Most importantly, you can get a free quote on an updated policy to suit your needs. You may appreciate the fact that you can pay for your home insurance premiums separately or decide to pay them through escrow. Either way, you can have confidence that your policy is updated and suits your current needs.
As independent home insurance agents, we are capable of reviewing home insurance policies from any company. We can shop through our network of insurance companies to provide the best value for your situation.
When was the last time you had your home insurance policy revived? If it has been more than two years, we invite you to reach out to us. This is particularly important if you pay your home insurance with property taxes and your mortgage. We look forward to assisting you.
Do you have questions about your insurance? Find an insurance agent near you with our Agent Finder
Search All Blogs
Search All Blogs
Read More Blogs
Beyond the Grave: Burial Insurance vs. Life Insurance Explained
Don’t Be Buried by Confusion: Understanding Burial and Life Insurance
Cracking the Code: Your Car’s VIN and What It Means to You
VIN Decoder Ring: Unveiling the Mysteries of Your Car’s Identification Number
The Aftermath: Proving Your Possessions After a Disaster
Homeowner’s Insurance Hero: How to Prepare for a Claim Before Disaster Strikes
Lost in Translation: Skills of the Past That Young People Might Miss Out On
From Fax Machines to Fancy Footwork: 6 Skills Younger Generations Might Not Have
Beyond the Box Truck: When Does Your Business Need Special Vehicle Insurance?
Business on the Move? Don’t Get Stuck Without the Right Vehicle Insurance
From Bronze Age to Boomers: How Life Expectancy Went From Meh to Magnificent
How Long Will You Live? A Look at Life Expectancy Throughout History (and Why You Might Need Life Insurance)
From Chauffeur to Cheerleader: The Teen Driver’s (and Parent’s!) Guide to Car-Buying Chaos
Teen Driver on the Horizon? This Guide Will Steer You Through Car-Buying Chaos
When Branches Become Brawls: Who Pays When a Tree Attacks Your House?
Neighborly Nightmare: Tree Trouble and Your Homeowner’s Insurance
From Pet Rocks to Pokémania: A Funtastic Journey Through 50 Years of Fads
A Look Back, and a Look Forward
Don’t Be a Sitting Duck: Essential Cybersecurity Tips for Small Businesses
Don’t Leave Your Data Unlocked: Cybersecurity isn’t just about online threats.