Delaware is a coastal state with a river that empties itself into the Atlantic. Its coastal position makes it susceptible to strong storms that can cause immense damage to homes and property. This makes home insurance a definite requirement for homeowners in Delaware.
Luckily, home insurance in Delaware isn’t as exorbitant as one might imagine. The average cost is about $680 per year for a $250,000 dwelling coverage. This comes to about $57 per month, according to a 2021 study by Bankrate on annual quoted premiums.
Delaware homeowners get a sweet deal on home insurance compared to the national average of $1,312/year. Surrounding states like Maryland and New Jersey lost to Delaware in affordability as homeowners pay $1,124 and $751/year, respectively.
Delaware has a low percentage of natural disaster occurrences (such as tornadoes, thunderstorms, and hurricanes). That, coupled with the low crime rate in some areas, maybe the reason for low home insurance costs in Deleware.
While Delaware affords relatively inexpensive home insurance, remember that the major reason for this is the state-specific factors. Each state has specific factors that determine how little or how much homeowners will need to spend on home insurance.
Common Causes of Property Loss in Delaware
Home insurance providers consider certain factors to determine what coverage you need. For the state of Delaware, these are some common causes of property loss:
Between 2005 and 2016, Delaware withstood 3 of the 10 most significant flood events in the US. With the beachside homes, it has an abundance of, taking the brunt of the hit as they are closer to the rising water during flood seasons. All counties in Delaware are at significant risk of flooding.
Water damage can be caused by several reasons besides flooding such as hurricanes, burst pipes, heavy rains, etc. When homes in a coastal state like Delaware experience property damage, water is the major cause 1 out of 5 times.
3. Strong winds
It is no surprise that a state full of beaches gets its fair share of mighty winds that are strong enough to cause property damage. Wind damage can happen any time of the year in Delaware; high summer winds and cold windy winters. The most affected areas of the home are roofs, windows, and interiors.
Knowledge of the common threats to your property will help you feel more confident in your need for home insurance. More importantly, it will help you chose the right home insurance coverages to protect your investment.
Delaware Home Insurance Coverage Options
All home insurance policies cover certain standard things such as coverage for your personal property, liability, and even personal effects.
However, standard home insurance isn’t enough, homeowners usually have to apply for additional covers in the event of a damage-causing situation. These add-ons include:
1. Insurance against flood:
Because of how common flooding is in Delaware, it would be ignorant to rule out flood insurance. Damage caused by a flood is not usually covered by a regular home insurance policy, though some companies offer it as a bonus. Still, more often than not, homeowners take out separate policies to insure their homes against flood.
2. Insurance against backed-up drains:
The water backup coverage is an optional add-on to a regular home insurance policy. Many insurance companies offer it. This policy covers damage to your home and personal effects due to backed-up drains.
3. Insurance against identity theft:
Identity theft is a widespread white-collar crime in the US. Homeowners would be wise to their current home insurance policies. This will offset the costs of restoring a stolen ID and pay for expenses such as:
- Attorney fees
- Loan re-application fees
- Lost income reimbursement
- Long-distance phone calls bill
Frequently asked questions about home insurance in Delaware
1. What is the best homeowners insurance in Delaware?
A better question would be, “what’s the right home insurance policy for me”. Just because an insurance policy is good, doesn’t make it the right one for you. A good strategy would be to consult multiple companies and compare their quotes.
2. How do I get homeowners insurance in Delaware?
Getting homeowners insurance is quite easy. Most agencies let you apply online, by phone, or in person. They’ll require a few standard details about you and your home such as your address and home features.
3. What factors impact my home insurance rate?
The home insurance company will calculate your premium based on several factors such as your credit rating, the age and condition of your home, and its supporting features (like your roof, beams, stairs, etc), the ad-on policies you purchase, etc. Premiums for the same coverage vary from company to company because each has its algorithm that weighs these factors differently.
Other factors include:
- Location of the house
- Construction materials used to build the house
- Cost of replacing the house swimming pool
- Home-based business
4. Does homeowners insurance cover dogs?
Home insurance policies do not cover medical expenses for a dog. However, some of them, do cover expenses incurred as a result of your dog harming or damaging someone else’s property. Certain dog breeds are excluded from this coverage for obvious reasons. You will need to speak to your agent about the technicalities if you have a dog. Pet insurance will ensure your pet’s health.
5. Where can I find out more about homeowners insurance in Delaware?
The Delaware Department of Insurance’s guide to home insurance is a good place to find answers. Talking to local agents helps too. Local agents are more familiar with the insurance needs of Delaware homeowners.
Ashley Lyon can help you understand the nuances of home insurance in Delaware. Get on a call today to find out what your unique home insurance coverage needs might be.