House Insurance Type??

[HF63]

I am in search of a house insurance but different type.

I have never file a claim in either house or cars. I also wish there was a catastrophic kind of insurance for the house.

Let us say, I want to insure my house for a set price 100,000 dollars and would put a claim only if the house

burns down or is total loss from a natural disaster. We do have medical plans that work in similar fashion.

The intent is not to replace the house, just removed the debris and sale or give away the lot back to city.

Is their an insurance for this idea

 

[retire48in2018]

Set your deductible at maybe 10 or 15% of house - and you might see a very significantly lower premium that effectively treats the insurance like catastrophic insurance.

 

[HF63]

Set your deductible at maybe 10 or 15% of house - and you might see a very significantly lower premium that effectively treats the insurance like catastrophic insurance.

I ask for a quote for high deductible quote and insurance person said not available. I have until August to keep playing the game.

 

[Lewis Clark]

Can you buy a policy with a limit of $100,000 of coverage, instead of the full value of your home?

 

[HF63]

Can you buy a policy with a limit of $100,000 of coverage, instead of the full value of your home?

Does another idea to ask

 

[Texas Proud]

You can buy insurance for lower than what they think the house is worth but there is a big catch according to one agent I asked...

Using your question... buy $100K for a house that is worth $500K... if an claim is made they will only pay you 20% of that claim... so if you have a $100K loss you get $20K...

Now, since you are wanting to cover a full loss and remove debris then you would have a total loss and get the $100k... but what if it is not a total loss? What if they say you can fix it for $300K? You now only get $60K and have to come out of pocket $40K to do what you want or $240K to fix it....

 

[rodi]

I'm assuming the house has no liens (mortgages, HELOC, etc). You have to insure normally if it is encumbered.

 

[OldShooter]

... Is their an insurance for this idea

You might try asking your state insurance commissioner. In our state, homeowner insurance policies are standardized. There are several coverage grades, but I don't believe that insurance companies are permitted to write policies that don't conform to the standards. Maybe it is the same in your state. Regardless, a conversation with your commissioner's office will probably be educational.

A good, large independent agent also should be able to answer your question.

 

[ncbill]

I ask for a quote for high deductible quote and insurance person said not available. I have until August to keep playing the game.

Yep, the highest deductible for home was $2,500 with my insurer.

I'm not in an area with high winds or hailstorms.

And I wonder if such a low maximum deductible is a requirement of the state insurance commission.

 

[Gotadimple]

There is no game to play here, OP. If your home has very little replacement cost value (the cost to replace the home without deducting depreciation or other deductions) you don't want a homeowners policy you want a policy that only covers certain perils - like fire, wind, hail, etc. In some states this is called a dwelling policy. But be aware you will never collect the full $100,000 limit because it will be reduced for depreciation and other deductions.

Every insurer has to file their policies with your state insurance commissioner and most don't provide ultra high deductible policies because there is little call for them

There are specialty carriers who can write policies with higher deductibles, but then, your home has to be worth a lot more than $100,000. If your agent isn't aware of them they can refer you to another broker who deals with specialty carriers.