New Life Services Co
DKI Member Company

(707) 444-8222
39 W. 5th Street, Eureka, CA 95501

Read Our Reviews

Do NOT Wait For A Claim Situation To Answer This Question…

Do I Have Enough
Homeowner’s Insurance?

Do You Have Enough Homeowner’s Insurance?

Knowing What Is Covered – And For How Much
Can Help You Avoid A Painful Situation

Some questions are most important when you ask them.

One of those questions should be: “Do I have enough homeowner’s insurance?”

We’re a home renovation contractor in Eureka that has been helping homeowners and dealing with insurance companies since our founding in 1982, so we know all too well what can go wrong for homeowners. One of the biggest problems is an under-insured homeowner who files a claim in a loss situation. If the claim is properly documented, the insurance company will meet their obligation, but obviously only for as much as is spelled out in the specific policy.

If that amount falls well short of what’s needed to get back to a pre-loss condition, then the homeowner must find a way to pay the difference. Without doubt, this can create a whole new layer of frustration to an already stressful loss situation.

Advice For Homeowners

Based on our experience with insurance companies in Humboldt County, we suggest all homeowners do the following:

Advice For Homeowners

Review Your Policy Once A Year – Home values and other situations change with time, and it is crucial that your homeowner’s policy change with it. A once a year ‘check-up’ is a great way to stay on top of what you need. A good way to remember this is to do it when your premium is due or when your insurance company mails you a copy of the policy.

The next obvious thought is, “what should I be looking at when I review my policy?” Here are some of the things you can check.

What Is My Deductible? – Most people can tell you what the deductible is on their automobile policy but don’t have any idea what the deductible is on their homeowner’s policy. This is a recipe for unpleasant surprises.

Find out what your deductibles are in different loss situations and make sure you are comfortable with them. Of course, one option is to lower your deductible in exchange for modest increases in premiums. There is not a one-size-fits-all solution for deductibles – the important thing is to make an informed choice.

Does My Coverage Adjust For Inflation? – There are policies that adjust for inflation, but many do not – or don’t do so adequately. This is another area to find out exactly what your coverage will be in the case of a claim. Then you should decide whether to up your protection, while also factoring in potential increased premium costs.

Are There Specific Types Of Claims Not Covered? - Earthquake, some types of flooding, and other exceptional events are not typically covered by ordinary homeowner policies. Find out specifically what types of claims are not covered under your policy and then consider adding additional coverage where appropriate. You don’t want to be caught off-guard in a loss situation.

If You Improve Your Home, Consider Increasing Your Coverage – If you do a kitchen remodel in Humboldt County (for example), the value of your home has probably increased, too. It is important to make sure that your insurance coverage keeps pace with any investments or upgrades you have made to your home.

Is Code Upgrade Insurance Needed? – Code upgrade in your policy protects you from added expenses that you might occur when repairing damage. The insurance company only has to replace what was existing, not upgrade the home to meet current building codes. The local building officials will not allow us to repair the home "lower" that what the current building codes allow. Many homeowners get “stuck” with very high cost due to required upgrades of wiring, heating, gas lines, and any other item the building officials require. For a few dollars a month you can protect yourself from this cost.

Advice for Renters

Advice For Renters

Based on our experience, we suggest all renters have rental insurance coverage. The loss of personal belongings to damage can be in the tens of thousands. For about 11 dollars months you can get your belongings replaced or restored.


So how do you go about doing a homeowner’s insurance self-audit? We recommend grabbing the most recent copy of your policy that was mailed to you and setting up a time to chat with your insurance agent. Use your policy and some of the questions above to start the conversation with your agent.

Remember, it might not hurt to talk to other agents, too. Multiple perspectives and price comparisons can sometimes result in better coverage for a lower premium. Of course, in some cases your research will lead you to conclude it is better to spend a little extra for premiums now in exchange for peace of mind later.

If you have any questions we can help answer, don’t hesitate to contact us. We are a full-service remodeling contractor for Eureka, Fortuna, Arcata, and surrounding areas -- and we can HELP