What is Michigan Homeowners Insurance and what effects your rates
What is Michigan Homeowners Insurance and How are Rates Decided Upon?
Homeowners insurance, is something that you have to invest in; However, you hope to never have to actually use it. These insurance rates are set by the state officials. These rates are then taken by home insurance companies and changed to suit individual needs. Factors that influence individual insurance rates include: the type of home being purchased, the age of the home, the individual’s credit history and credit score, and the location of the home.
Under Michigan Law, Who is Considered an Eligible Person to Purchase Homeowners Insurance from https://insurancequote.deals/michigan-homeowners-insurance-quotes?
Under Michigan law, the owner or tenant of either a condominium suite, a room, an apartment, a detached, semi-detached, or row-house.
Why Might a Person be Turned Down for Michigan Homeowners Insurance in the State of Michigan?
-If at some point in the past 2 years you have had previous homeowners insurance cancelled because of failure to pay. Depending on the insurance company you are applying to be covered by, this could be overlooked, although generally in order to have it overlooked you have to pay the entire premium upfront.
-If you are looking to insure a property that is being used for illegal acts.
-If the home in question is in such poor condition that is presents a great risk of loss under the homeowner’s insurance policy.
-If the value of the property in question is not worth the minimum requirements for the desired homeowners insurance policy.
-There is over 2 years worth of property taxes overdue on the property in question.
-If at some point in the past 5 years, you have tried to place a claim under the homeowner’s insurance policy where there ended up being evidence of either the act or conspiracy of fraud or arson.
-If at some point in the past 5 years you have been convicted of arson, in possession of explosives, or damage to property.
Although it is not illegal to not have Michigan homeowners insurance, it will be required by your mortgage lender in order to protect their financial investment. In the state of Michigan most people are able to qualify without too much hassle. If for some reason you are turned down, speak to your agent about applying to the Michigan Basic Property Insurance Association. This is an organization set up to help people who are unable to receive homeowners insurance in the state of Michigan though traditional insurance companies.