I have to thank those of you who captained the last-minute charge to answer some of these questions! It's much appreciated that you took the time to go over these, and I hope you take something away from it! Other than the one of you that wins the gift card, of course.
And without further delay, I give you... the answers.
Question 1) What are the two main occurrences NOT covered under standard home insurance policies in California?
ANSWER: Flood and earthquake. They are both covered under separate policies. Seems like most people knew this one, but it is still something to keep in mind. Especially flood insurance in Sacramento!
Question 2) True or false: The best way to compare different home insurance companies is to have them quote you using the exact same coverage as each other.
ANSWER: False. It seems logical enough to do a direct comparison, but think of it like this: if you employ this technique, and the first person led you astray or somehow got something wrong, you might not know it for years. Also, different companies employ different ways of evaluating how much insurance you'll actually need. If one company says your home can be rebuilt for $175k, and another says $200k, they're both probably correct, but only for the given company. Lastly, some companies have coverage options that others do not, and by ignoring them, you could be missing out on savings, great coverage, etc. Phew! That all being said, if you trust your insurance agent, let them help guide you a bit. I think I tricked most of you on this one, but now you know!
Question 3) True or false: Like auto insurance, you can only be surcharged for "at-fault" claims on your home insurance.
ANSWER: False. With auto insurance, a claim is generally only held against you if you caused it. So if someone hits you, your insurance doesn't go up. Not so with home insurance! Even if you're robbed, your insurance CAN go up. This varies with companies (I've seen some companies hold you responsible for weather claims, some do not) but the rule-of-thumb is that ANY claim over a certain dollar can be held against you. Only the ex insurance agent got that one!
Question 4) True or false: A home that you own and reside in will be insured with a different type of policy than one that you own but rent out.
ANSWER: True. Everyone got this right. If you own a home and rent it out, you need a different policy than if you own and reside in a home. As a friend of mine was quick to point out, renter's insurance is also a concern here and frankly, you should strongly consider it if you haven't looked into it. It's inexpensive and can get you out of a jam.
Question 5) Of the following, which three have limited coverage under most home policies in California: computers, TVs, jewelry, sports cards, designer clothing, furniture, video game consoles, or appliances.
ANSWER: Computers, jewelry and sports cards. Now mind you, this is just going from what I know. You may run into carriers that have minor variations here, but in general, those are the limits you'll see. Two of these (computers and jewelry) are relatively reasy to increase coverage for, but sports cards are tough. Being a collector myself, I had to jump through a few hopes to get proper help there. A lot of folks picked designer clothing, but I've never seen any sort of limits there. Expensive taste in clothing won't get you in a bind, apparently.
And of course, we have the matter of the $10 Chevron card. I'm plugging the entrants into Random.org, and your random winner is...
Susan B, aka YetAnotherSusan on Twitter! Comment or Tweet at me when you have a moment. I'll need your mailing address to send your prize on over, unless you'd prefer dropping by the dreaded insurance mines that I work in. Your call!
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