How to Protect Your Home in Maine

Maine residents are fortunate in that their homes face a relatively minimal threat from natural disasters and other weather-related damage. For this reason, the state has some of the most affordable premiums in the country. In fact, in 2006, Maine ranked as the 44th cheapest state in the U.S. for homeowners insurance, with average annual premiums of $573. Although coverage is affordable, that doesn't mean it's unnecessary. Insuring your house is essential to your financial stability. Read on for more information on how and why you should purchase protection.

Reasons to Purchase

Even though the region is not a disaster-prone area, Maine houses still face a number of dangers that warrant the purchase of a policy. We've outlined a few of the most compelling reasons to buy below.

1. Weather damage. The area is prone to heavy winter snow storms, which can easily damage houses with the weight of the sleet, ice, or snow they bring. Likewise, certain coastal dwellings in the state may suffer wind-related damage from occasional hurricanes. An adequate plan will shelter you against these perils.
2. Traditional perils. Events like fires, burglaries, vandalism, and water damage happen every day in houses in every state, and this area is no exception. All of these everyday perils should be considered.
3. Lender requirements. If you're about to purchase in Maine, your lender will most likely require that you buy a plan before you can close on your mortgage. Lenders require home insurance from borrowers in order to protect their investment.
4. Liability. Every policy will come with liability protection. The liability portion of a plan shields residents in the event that they cause damage to another's property or physically injure someone. Liability protection is essential to shelter your assets from lawsuits.

Supplementing Your Policy

A standard option provides much peace of mind, but some policyholders may want to supplement their coverage for added peace of mind. Here are some add-ons residents might consider:

• Flooding Considerations. Because of the state's proximity to the ocean and the occasional hurricanes that pass through, homeowners would be well-advised to purchase flood protection in addition to the basic offering. Standard offerings will not look after flood-related damage to a house; residents must purchase separate coverage.
• Personal property riders. If you have items in your dwelling that have exceptionally high values, you will need to purchase a personal property rider or floater to insure the items fully. Most Maine homeowners policies only cover individual items up to a certain dollar amount (e.g., $1,000). If an item's value exceeds this amount, the homeowner is responsible for the amount of the loss in excess of the maximum unless he/she has added a rider to the policy.
• Umbrella liability. In many cases, it may be cheaper for homeowners to choose minimal liability coverage on their policies and supplement the coverage with an umbrella policy. An umbrella policy provides additional liability protection for home and auto coverage. Usually, you can purchase a very large umbrella policy for a very affordable annual premium.