Dearborn Heights is home to about 56,000 people. Many find this bedroom community to be a great place to buy a home and set down roots, thanks to its affordable housing, parks and recreation facilities, and a strong sense of community. If you have purchased a house in this city, you can protect your investment with a solid homeowners insurance policy.
Local independent insurance agents can help you find the best and most affordable coverage for your Dearborn Heights home. Contact an insurance agent near you to start comparing customized homeowners insurance quotes.
How Much Does Homeowners Insurance Cost in Dearborn Heights, MI?
The average cost of homeowners insurance in this state is a bit higher than the national average. However, in Dearborn Heights, where the average home value is significantly lower than the state average, rates tend to be a bit lower.
- National average yearly premium: $1,211
- Michigan average yearly premium: $942
- Dearborn Heights average yearly premium: $705
Of course, your actual homeowners insurance quotes are likely to be different from these average rates. This is because costs are calculated individually according to several different factors such as:
- The age, size, and value of your home
- The number of stories in your house and whether it has a basement
- The materials used in your home’s construction and the age of your roof
- The crime rate and weather risks in your ZIP code
- Your claims history and credit score
- The size of your deductible
- Whether you are bundling your coverage with other policies like car insurance or life insurance
Every insurance company has its own way of assessing risk and calculating rates, so comparing a variety of quotes lets you to choose the homeowners insurance policy that offers the coverage you need at the lowest price. Independent insurance agents in Dearborn Heights make comparison shopping easy.
What Types of Damage Are Covered by Dearborn Heights Home Insurance?
Homeowners insurance policies are designed to cover against damage caused by most of the hazards you are likely to face as a property owner in Dearborn Heights. This includes risks ranging from property crimes to severe weather events.
Dwelling insurance covers the structure of your house, while contents insurance covers the personal property you keep inside it. You will want to be sure that you have enough coverage in both categories to enable you to fully rebuild and replace lost property in the event of a catastrophic event like a tornado or a structure fire.
Catastrophic events in Michigan
- Number of federally declared disasters in Michigan: 42
- Most common causes of disasters in the state: Floods, severe storms, and tornadoes
- Average. number of tornadoes per year in Michigan: 16
- Average amount of property damage per year in MI: $897 million
- 1 in 15 insured homes has a claim each year.
The risk of tornado activity in Dearborn Heights is 42% greater than the national average. One of the worst to touch down in the area was an F4 twister in 1956.
Of course, tornadoes are relatively infrequent and aren’t the only severe weather hazards faced by residents of this city. Other damaging risks include electrical storms, windstorms, hail, heavy snowfalls, and freezing temperatures. When temperatures fall well below freezing for an extended period, pipes can freeze and burst, leading to expensive water damage.
Fortunately, these hazards are covered by most home insurance policies. Flood damage, however, is not.
What about Coverage against Floods?
To be covered against flood damage, you will need to have a flood insurance policy.
If your property is in a FEMA-designated floodplain, your mortgage company will require you to carry flood insurance until your home loan is paid in full. Otherwise, this insurance is optional. Regardless of whether it is required, it is a good idea for most property owners.
Many residents of Dearborn Heights are at risk for damage caused by floods. Those with properties in floodplains near the Ecorse and Rouge rivers are most at risk, but when winter snows melt and heavy rains fall in the area, flash flooding can happen just about anywhere.
Flood damage can be very expensive. According to FEMA, just one inch of rainwater in your home can cause up to $25,000 in damage; and 20%-25% of all flood claims are for properties outside high flood risk areas. That is why a flood insurance policy is a good idea.
Your insurance agent can help you supplement your homeowners insurance with an affordable flood insurance policy through the National Flood Insurance Program (NFIP). These policies take 30 days to go into effect, so do not wait until heavy rains are imminent to purchase your policy.
Why Is Liability Insurance Important for Dearborn Heights Homeowners?
Liability lawsuits can happen to anyone. Fortunately, homeowners insurance provides personal liability insurance as a standard part of every policy.
Homeowners liability insurance is designed to cover court costs, legal fees, and financial damages if you or someone in your household is unintentionally responsible for property damage or injuries to others. Some examples of times your homeowners liability coverage may prove invaluable include:
- If a visitor to your home is badly injured in an accident that can be attributed to the negligence of upkeep on your part, such as if a floorboard is loose or you neglected to shovel your walkway.
- If you accidentally hit someone with a golf ball while hitting the links at the Dearborn Hills Golf Course.
- If your dog manages to get out of your fenced-in yard and bites a neighbor.
- If you are accused of libel or slander.
Most homeowners insurance companies offer between $100,000 and $500,000 in personal liability coverage. If you want to have even more liability coverage than your home insurance will provide, your local insurance agent can also help you find an affordable umbrella insurance policy. Umbrella insurance is an affordable way to significantly boost all of your liability coverage.
Talk to a local independent insurance agent to learn more about homeowners liability insurance.
Does Dearborn Heights Homeowners Insurance Cover against Burglaries?
The burglary rate in Michigan is lower than the national rate, but in Dearborn Heights, the rate higher. Residents of this city report about 240 burglaries every year.
- Number of burglaries per 1,000 homes in the US: 3.76
- Number of burglaries per 1,000 homes in Michigan: 3.17
- Number of burglaries per 1,000 homes in Dearborn Heights: 4.24
You can reduce your risk of being targeted by burglars by taking precautions such as ensuring that all entryways have secure locks, stopping mail delivery and putting lights on timers when you are away, and using a burglar alarm system. Because they are so effective, many insurance companies offer discounts to policyholders who use home security systems.
Unfortunately, nothing is 100% foolproof against a determined burglar. If your house is broken into, your homeowners insurance can reimburse you for your property losses as well as for any damage the burglar may have caused.
If you own any particularly valuable possessions such as collections or family heirlooms, you may need to purchase special endorsements with your homeowners insurance policy in order for them to be fully covered. A local independent insurance agent can help you be sure that all of your most precious property is properly insured.
What about Dearborn Heights Residents with Additional Residential Properties?
Maybe you own a cabin near the lake that you use for weekend getaways, or perhaps you have a second home in nearby Allen Park that you rent out to young families for additional income.
Whatever your reasons, if you own more than one residential property, you will need to be sure that all of your houses are covered by appropriate homeowners insurance policies. In some cases, you may be required to purchase specialized home insurance coverage.
- Vacation homes that are frequently left empty and unattended have an increased risk of property damage due to severe weather, animal infestations, water leaks, and property crimes. Your insurance company may require you to have vacant home insurance during the times your property is unoccupied.
- Second homes that are occupied by tenants have higher liability risks and a greater chance of sustaining serious structural property damage. On the other hand, they have lower contents coverage needs, since your tenants will need to cover their own property with renters insurance. Landlord insurance offers the perfect blend of coverage for these types of properties and is typically required by insurance companies for rental homes.
A local independent insurance agent can help you be sure that all of your residential properties are suitably covered.
Why Work with an Independent Insurance Agent in Dearborn Heights, MI?
The easiest way to find the best insurance to cover your Dearborn Heights home is by working a local independent agent. These agents work for you, not for a specific insurance company, so they are free to shop around to help you find reliable coverage at a competitive rate.
Find an independent insurance agent with an office near you to schedule a one-on-one consultation. You will be able to start comparing customized homeowners insurance quotes in no time.
TrustedChoice.com Article | Reviewed by Jeffrey Green
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