Mortgages are a difficult thing to understand, as is the insurance that you need to have on your home to protect it. Insurance is something that is required in cases in which the homeowner still holds a mortgage on the home or has a lien against the cost of the home. If you have a mortgage on your home, your lender will likely require home insurance for at least the value of the loan. For those in the Waldron, AR area, the agents with The Owens Agency, LLC can help.
If you own a home on which you have a loan, mortgage, lien, or other money borrowed against, odd are your lender is going to require some sort of home insurance for at least the amount of the loan. This means that you cannot drop your home insurance if you have a loan or mortgage against your house. It is essential that a lender requires you to hold home insurance for the simple fact that if the home is destroyed, your lender needs to be able to get the money they have lent to you back. Without home insurance, most people are not going to be able to come up with the money to pay back a mortgage after the home has been destroyed.
Having the right policy on hand is going to help protect both you and the lender to avoid having to pay off a large sum if your home is destroyed. This is a fail-safe in some ways for the lender because it will help them to keep your loan in good standing. For those that live in the Waldron, AR area, you can ask the agents at The Owens Agency, LLC to answer your questions and find out what type of home policy is going to work best for you. We can walk you through the insurance process and get you a quote through our online rating tool.
Reach out to our offices for more information.