Do you know how home insurance works? Every realtor needs to be prepared to offer this service to their clients. Often, the customer is more concerned about the qualities of the house or apartment he intends to purchase. In these cases, it is up to the broker to make him pay more attention to preserving the home and preventing possible incidents.
The importance of home insurance can present itself in different ways, depending on the negotiation being made. In the case of a lease, the owner of the place can demand that their residence is properly secured.
For sales situations, the question should be asked to the buyer so that he can think about the future and reduce the chances of being caught off guard in some way. When it comes to an apartment, the offer of insurance for the structure is, necessarily, the responsibility of the condominium.
So, use this text to learn how home insurance works and then explain everything to your client.
What is home insurance for and how does it work?
It is worth explaining that home insurance is provided by specialized companies to protect the property against fire, theft, electrical damage, lightning, as well as damage to third parties and even meteorological phenomena with high damage power. However, insurance companies offer different plans to protect the house or apartment.
Some offer additional services like locksmith and plumbing maintenance, among others. Each one establishes a type of coverage and particular conditions. Hiring the most appropriate type should vary according to the client’s needs and possibilities.
How much is home insurance?
You can’t accurately pin down the value of home insurance. One reason is the wide variety of coverage plans. The value of insurance is also defined by the proportion of risk of the property. For example, protecting a house or a vacation property costs more than protecting an apartment.
Only at the time of closing the contract it is possible to establish with certainty the value of home insurance. To give your client an idea, you can inform that the values can vary between 0.05% to 0.5% of the value of the desired basic coverage.
How to choose home insurance?
If the broker has to help his client in choosing a home insurance, the first suggestion to be given is that he knows his needs before hiring. Here, therefore, it is essential for the broker to consult his Real Estate CRM in order to have access to key customer information. This makes it easier to offer the best home insurance for each situation.
You need to consider the various options available to make the best combination of basic and additional coverage. In basic coverage, the policy includes fire, lightning that directly damages the insured assets, explosion and implosion of any nature and origin.
Along with it, your customer can add coverage for theft/theft, Family Civil Liability, Domestic Employee Liability, Domestic Employee Loyalty and Electrical/Electronic Damage – short circuit.
Offer a reliable broker
In addition to helping the customer with the most important information, you can refer them to a trusted insurance broker. Preferably, a professional who is accredited by the Superintendency of Private Insurance (SUSEP). This gesture ends up being very significant and beneficial for the customer and also for you.
If so, your real estate agency can establish partnerships with credible insurance companies to close new deals. You negotiate the properties and then offer a partner service. This can save time for the buyer and everyone involved.
The Advantages of Home Insurance
Always advise your client to read the insurance policy carefully – before hiring, of course – so that he knows exactly what he is hiring. If everything is clarified in the best possible way, your client should be sure that having a homeowner’s insurance is mandatory for those who want to live in peace.
Still, other questions may arise. But now you know how homeowner’s insurance works. So, stay available on all channels, such as WhatsApp, email, online chat, phone, among others to serve your customers as quickly as possible.
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