With Obama care looming on the horizon, universal health care is on the thoughts of many Americans.  There are several arguments for the policy and several arguments against it.  There is a primary belief that everyone should have access to health care and not everyone can afford it, so the government should provide it.  Others argue that they should not be liable for those who choose not to take care of themselves.   Because of this the debate continues with each side having viable points.

The Pros of Universal Health Care Coverage

Many Americans die every year due to a lack of insurance.  There are also many people who suffer from conditions needlessly because they did not have the preventative care necessary.  Often these people do not seek medical help until it is a dire emergency costing taxpayers thousands of dollars every year.  With universal health care coverage, there would be fewer deaths from fever, cancer and pregnancy related issues.  With every child getting properly vaccinated, it would also prevent the spread of infectious diseases.

The Cons of Universal Health Care Coverage

The problem with universal health care coverage is that it has been proven ineffective.  Many other countries currently offer this type of coverage, but they are increasingly turning to the private sector to fill the gap that has been created.  Prolonged wait times for coverage for cancer and heart problems do not increase life expectancy; rather people end up dying from easily treatable problems.  People with the financial means end up paying for a private doctor to see them and bypass the government funded system.  This results in the failure of the government sponsored system.

Potential Solutions for Universal Health Care Coverage

One option that the United States government may need to consider is the possibility of offering a universally sponsored health care plan for those who choose not to have private insurance coverage.  This subsidized plan allows the people to retain ownership of their healthcare and choose how their resources will be allocated.  This will create a demand for health care providers while maintaining the quality of care that patients expect.  It would also ensure that no one is left without medical coverage.

Covering the Expense

A universal health care insurance plan will be expensive for the American taxpayer. This “free” service will end up costing a lot in tax earnings, especially if the system fails.  However, privatized health care costs have been artificially inflated for many years.  Having government oversight over these fees and expenses will reduce the costs for hospital visits, insurance premiums, preventative care, medications and more.  This could end up saving American citizens more in the long run.

This issue will continue to grab headlines and make news as universal health care becomes a reality in the United States.  Whether it will work or not remains to be seen.  The practice seems doomed to failure when looking at other countries’ attempts to establish a viable plan.  However, there are many positive points as well.  With over 45 million people currently without insurance, a plausible solution to the problem is necessary.  We thank you for taking the time to read this post by purchase-insurance.com.  We invite you to receive your own health insurance quotes by visiting our quote form today.  See how affordable health insurance can really be!

Auto insurance for younger drivers has always been more expensive than for older ones. And the reason comes down to two things, they lack the experience and are more reckless. Insurance companies consider teens and young adults to be higher risks primarily because they haven’t racked up enough time behind the wheel. This shows up in the statistics. Teenagers are three times more likely to be killed in a crash than any other group. In fact it’s the single leading cause of death in this age category. There’s really no way around that fact.   A certain sense of invulnerability plays a part in this. The proof of this is in the fact that males are at significantly greater risk than females. Though there may be a bit of recklessness that goes with being young, the main problem is not having had enough practice.

But even though they’ll have to pay more than older drivers, young drivers can still keep the costs to a minimum. There are a few things they can do that apply to people in all age categories. They can stay away from new, high-priced vehicles. The less likely a car is to be stolen, the cheaper the insurance. A few other tricks include buying just the insurance you need, no unnecessary extras. This may include having a higher deductible on the policy. And always do a lot of shopping around. The popular companies that advertise a lot are usually going to charge more.

Along with these general strategies, there are a few other tips to cheap car insurance for young drivers. Perhaps the biggest thing a newly-minted driver can do is get on their parent’s insurance policy. This saves the most money in the quickest amount of time. Having the parent, or parents, name on the policy provides a trusted client for the insurance company to deal with. They know the parents will take extra precautions with their child to avoid higher premiums. The parent is always the primary teacher of their child. And that includes safe driving habits, such as eliminating distractions. And keeping close tabs on where they’re going and with whom. Of course while this is cheaper for the young adult, it still means higher premiums for the parents. So this provides the parents with the motivation to ensure their child doesn’t do anything that will force them up any higher.

After this there is the simple act of keeping up good grades in school. The companies know from the statistics that students with higher grades are more careful drivers. This would make sense since the same diligence applied to learning carries over to handling a vehicle. Someone who concentrates on their studies will also concentrate on the road.

Along with this sort of learning, it would be helpful to take a certified course in driving. Virtually all companies give discounts for attending and passing a recognized and accredited course in safe driving. If the problem is a lack of experience, this goes a long way towards making up for it. It demonstrates that they have a good grasp of the subject.

Applying all these practices will help considerably to keep down the cost of insurance for young people. But what really lowers the cost is just the ageing process itself.  Be sure to visit centralinsurance.org to get your free car insurance quotes and see how much money you can save on your auto insurance today!

It is legally impossible to own a car in the US without having some form of insurance policy in place. Of course, there are variations in the minimum insurance requirement from one state to the other and there are several hundreds of car insurers to cater to these requirements. Basically, auto insurance can be divided into two categories: liability only and full coverage but of these two, full coverage is the better choice.

Understanding Full Coverage Car Insurance

Full coverage car insurance actually refers to three forms of coverage:  liability only, comprehensive coverage and collision coverage. Liability only coverage refers to the insurance policy that covers any damage caused to other people and their property in the event of an accident. Oftentimes, liability only coverage is set at a level stipulated as the minimum state requirement. Thus, any injury to the carrier or damage to his or her vehicle will be borne by the individual or the other party’s insurer depending on the level of coverage.

Comprehensive and Collision Coverage

Comprehensive coverage provides protection from any mishap other than a collision. This explains why it is often referred to as OTC (other than a collision).  Some of the eventualities covered include: theft, acts of God (flood, lightening, tsunamis, earthquakes), fire, and sometimes, collisions with animals. Collision coverage on the other hand provides protection against accidents resulting from collisions with other vehicles. You can now appreciate the importance of obtaining full coverage because it covers every eventuality that can arise when talking about automobiles.

Getting Full Coverage Car Insurance

A lot of insurance companies offer full coverage policies and there are several ways in which they can be obtained. Some of these ways include the phone book, the yellow pages, the classified ads, banners and billboards, TV commercials and the internet (the best way). When shopping for full coverage policies, you need to understand that the rates depend on the company offering the policy and the terms will also differ from one provider to the other.

Factors Influencing Full Coverage Auto Insurance

Some of the factors that will determine the terms of the policy include: age, gender, driving records and the deductible. For instance, raising the deductible can make a significant difference if you are involved in an accident. The terms of the policy will also depend on the company and this explains the need for obtaining quotes from several companies in a bid to compare and select the company offering the best deal. Apart from the quotes, the performance, ratings and history of the company should also be properly assessed.

In conclusion, securing full coverage auto insurance is more expensive than liability only auto insurance. However, it offers an infinitely better level of protection in addition to providing a higher payout. Before settling for any policy, you should endeavor to obtain quotes from several companies, compare them and then select the company with the overall best deal.  To compare multiple policies now, feel free to head over to our form at centralinsurance.org and get free comparison quotes online  now!

The minimum auto insurance requirement varies from one state to the other. For instance, the minimum requirement for the state of Colorado is 25/50/15 while for California, the minimum requirement is 15/30/5. Thus, you need to consult the state’s Insurance website to determine the minimum requirements for a particular state. The following will explain how minimum auto insurance requirements operate.

Understanding Minimum Auto Insurance

Every state has its own stipulated minimum auto insurance and failure to meet these requirements is a crime that often carries stiff penalties. Typically, a state’s insurance requirements are written in formats like this: 15/30/5. The three numbers represent the maximum amounts that an insurance company will pay in the event of an accident that results in injuries or property damage.   Let’s take a look at these three numbers in detail.

Bodily Injuries

The first two numbers refer to the payable limits in an accident resulting in bodily injuries. The first number refers to the maximum amount that can be paid for bodily injuries to an individual in a single accident while the second number refers to the maximum amount payable for all the injuries resulting from an accident. Thus, going by the requirement for California (15/50/5), this means that $15,000 is payable for bodily injuries per individual while $50,000 is payable for bodily injuries per accident.

Property Damage

The last number in the sequence refers to the maximum amount that can be paid for property damage such as damage to the vehicle. Still going by the requirement for California, it means that the maximum amount that an insurer can pay for property damage is $5000. The same principle applies to the requirement for other states. Now that the mechanism of minimum auto insurance has been explained, is it advisable to obtain just the minimum requirement?

Cons of Minimum Auto Insurance Coverage

Theoretically, it looks like the minimum requirement should be enough to cater to injuries and property damage. In reality however, the minimum coverage hardly suffices especially in the face of high living expenses. For instance, if you are liable for an accident resulting in bodily injury of about $60,000 to another driver, with the minimum requirement for the state of California, the insurer is only liable for $15,000 of the damages while the remaining $45,000 is your headache. Thus it is advisable to always purchase coverage beyond the minimum requirements especially in the society we live in today where lawsuits are as common as the flu.

There are other ways of saving money on auto insurance other than opting for the minimum requirement. Some of these ways include: comparing several quotes before choosing any policy, opting for higher deductibles, maintaining a pristine driving record, applying for discounts and installing safety devices in your car. Get in touch with an insurance broker or company today to receive expert advice and to also compare quotes that will ensure that you get a good deal on your auto insurance.

Having a classic car can be the long-awaited fulfillment of a dream for some, but for others, the headache of finding classic car insurance can be very similar to a nightmare.  There are fewer resources available online to guide the search for classic car insurance than for normal car insurance, so this may leave insurance shoppers feeling stranded.  However, a few good tips can help.  Below is a brief outline of the best way to find affordable classic car insurance.

Key Factors to Keep in Mind

The search for classic car insurance can differ from that of regular car insurance in several ways.  It’s important to keep these in mind so that time and energy are not wasted looking in the wrong places.  The biggest difference is mileage limits.  Classic cars are considered classic when they are not driven on a frequent basis.  Thus, some insurers limit mileage to 5000 miles per year for classic car insurance coverage and depending on how much you drive, this may not be the best choich for you.  Other limitations may apply, so it’s always good to check with the insurer before you commit to any policy.

Classic Car Insurance Classifications

Another thing that qualifies cars as classic is the age of the vehicle.  For this, insurance companies use special classifications and categories to keep the coverage organized.  For instance, cars built between 1930 and 1950 may be considered vintage cars while more recent models may be included under a different coverage category.  These classifications are important in classic car insurance because they help determine premiums and coverage amounts.  Always inquire with the selected insurance company about the classifications in place for classic car insurance.

Costs of Classic Car Insurance

Limitations and classifications associated with classic car insurance are both important in terms of the way they affect insurance rates.  Generally, classic car insurance is less expensive than regular car insurance, but if you’re looking for a loophole for better rates, you may be disappointed.  The mileage limits and age limits for classic cars are created by insurance companies to prevent owners of non-classic cars from cashing in on the benefits that classic car collectors share.  The needs of classic car collectors are different, so classic car insurance costs are lower than others.

Classic Car Insurance Quotes

Where is the best place to look for classic car insurance online? As mentioned, the prospects of finding tons of classic car insurance sources online are less than that for regular cars, but it can be done nonetheless. The best bet is to go with online websites that offer multiple quotes specifically for classic cars, one for instance is right here on centralinsurance.org.  This will give shoppers a platform for informed decision-making and cost comparisons.  However, many sites online only offer quotes for their own company since classic car insurance is a bit of a specialty niche within the insurance market.

If you’re looking to insure your classic car or classic car collection be sure to check with your current agent, who may be able to make referrals for insurance companies specializing in this type of insurance.  In the alternative, it’s also good to conduct a search online.  Classic car insurance could be the best investment anyone could make, so be sure to conduct your search carefully to protect that baby.

Wow! has anyone noticed the cost of gas at the pump lately?  Gas prices certainly do seem to spark people’s interest a lot more than the other utilities we normally pay.  A big reason for this could be that we visit the pump more frequently than our check books for the electric bill once a month.  A report came out this morning that reported fuel costs had reached $112 a barrel and in addition the national average for gas per gallon has reached $3.72.  These are some steep prices to pay and at the current rate of growth are said to reach $4.00 by summer.  If you drive an SUV or even some trucks an empty tank could leave you feeling like holding your hands up at the gas pump and throwing your wallet at it in the hopes  it doesn’t take anything else hostage.

People pay for a mile.  This is true whether you are considering how much you pay for gas at the pump or on your car insurance.  In reality we all pay for the same amount of gas at the pump but what makes each consumer different is all vehicles can go a different mile per gallon.   The same is true with saving on car insurance.  In reality when coverage is the same and by this we mean, location, driving record, type of vehicle and coverage you end up varying in price from another driver based on distance.  Hence that we all pay for both of these things through mileage.  A report from nbcbayarea.com stated that there is a new program that is being offered through State Farm where they only charge consumers for the miles they drive.  This can add up substantial savings especially when time and prices in this economy are getting tough.  This new program being offered by the insurance giant is called “The Drive Safe Program” and has mileage starting at 19,000 a year and gives rate reductions for every 500 miles driven under that amount.  This is not bad at all and can really add up to substantial savings.  According to their program after an initial 100 days of mileage is reported they can save up to 5% immediately on the program and based off that amount of the 100 days the annual mileage is calculated which can then bring in up to 45% of savings in some cases.  Of course this all depends on how much you drive, but in this economy some people may opt to drive less or even ride a bike.

Now how do you fight the price at the pump?  Well trying to convert your existing vehicle into an alternative energy vehicle all depends on your manufacturer and is usually a heavy burden on the wallet.  Instead, the option you can pick is simply getting a green vehicle that is on the market today.  There are many different kinds of green vehicles on the market today and fuel options you have are natural gas, electric, hydrogen, ethanol and other bio-fuels.  You will see more options are available to you from auto manufacturers in the instance of hybrid cars, automobiles that run from electric and gas and more recently in 2011 a big push toward electric cars that don’t run on gasoline at all.  Some of the best hybrid cars in our opinion are the Chevrolet Volt at 40 mpg and the Honda CR-Z at 37 mpg.  These are some impressive mpgs and what’s better is they are great money savers to help ease your mind at the pump.  It is hard to say how much you will save at the pump as every driver’s mileage is different but one thing for sure is you won’t be holding your hand up at the pump as often as if a robbery is occurring every week.

So which is better?  It all depends on the individual but one thing for certain is these are both great ways to save in our economy today.  We thank you for your time in reading this article from centralinsurance.org and hope you will visit back often to get great tips on car savings!

Well if you keep up on our blog at all you know that purchase-insurance.com makes it a point to help people save money on whatever type of insurance they are trying to purchase.  And in this article we want to inform you on a few ways in which one can take advantage of a few things they can install or consider when they are building, purchasing or even renting a home.  Home insurance discounts vary and before taking any of these to heart you need to check with the insurance company you have a policy through to see if any of these items can give you a discount on your home insurance policy so don’t run off to Home Depot just yet.

First off, you should know that insurance is all a game of risk mitigation.  And really, it can become a delicate balance on how much you need to insure vs. how much you want to pay.  There are several ways to lower your cost but I want to talk about specific physical items that are commonly used to lower your home insurance.

Got deadbolt?  That right, this is a simple do it yourself type of project you can implement to help you save some money by as much as 2% off your home or renters insurance cost.   This is a good discount because a deadbolt can be picked up in the range of $5.87 to $9.47 from your local hardware store.

Home Security System.  This is a good one to have regardless of where you live or even if you are not looking to lower your premium.   Simply being able to have the security of knowing you will be alerted when someone tries to break-in or a fire happens can give real peace of mind to the couple sleeping at night or going on a two week vacation.   A home security system installed if it is non-monitored can give discounts around 5% while a monitored system can give you as much as 20% savings on your yearly home insurance premium.  How much will this cost you?  Depending on the security package you select a monthly cost can weigh in from $36 to $45 a month.

Bad Dog!  That’s right, the type of dog you own can actually affect your rate.  Some of these breeds are Chow, Doberman, German shepherd, Pit Bull and Rottweiler.  Notice that these are not your average small dog and typically can really hurt someone if they are mishandled or provoked.  We love dogs don’t get us wrong, but home insurance also helps provide protection in case a guest is injured on your property so this is something to take into consideration.  Perhaps a Maltese is better suited for your home and of course they are cute.

Fire Extinguishers and Smoke Alarms.  We don’t want that puppy (no pun from the paragraph before) going up into flames.  These are more preventative measures to help stop a problem from getting worse.  After all let’s get real; the less needs to be replaced the cheaper it will be for the insurance company to pay for so why not make it an incentive?  These discounts can count towards about 10% of a home insurance rate.

Break out the blueprints!  Many homes today are built to be in accordance with the international fire code; of course this usually doesn’t prevent the developer from using the cheapest route possible to build your home.  This is a more expensive route to bring your home insurance cost down than our other suggestions listed previously but if you are looking to do a major renovation or buy a new home or just looking to rent one you should take a look at the materials used to build your home.  Having steel framing or non-combustible roofs can help bring your cost down.  Why?  Same principle, chances are if your house went up into flames your steel beams would be left standing and would cost less to reframe your house.  If you are wondering where to find your blueprint materials you can go down to your local county office and look up your address in the building department, they are required to keep records of your buildings blueprints on file.

These are some great items to look at on things you can do to help save some money on your home insurance policy but I will tell you another thing, loyalty is over-rated.  I will be honest I want you to check your rates against other top providers to make sure you are getting the best possible price.  Head over to our home insurance quote form today and see if you are getting the cheapest rate today.  It is free and secure so don’t worry, all you have to do is look at your quotes and decide for yourself.  So why wait?

According to the Insurance Institute for Highway Safety, car accidents are the leading cause of death among Americans between the ages of 15 and 20. Drivers ages 16-19 get into more car accidents than any other age group; therefore, people in this age group often pay more for car insurance than do more mature drivers. If you’re a student, car insurance probably takes up a pretty significant portion of your budget. There are some things you can do, however, to ensure that you get the lowest rates possible because at centralinsurance.org we are all about trying to inform the average driver to try and get them the best benefits available to them.  After all, knowledge is power.

• Check Vehicle Ratings Before Purchasing a New Car

If you’re in the market for a new car, check to make sure that the make and model you’re interested in purchasing has strong safety ratings. You’ll also be charged less for insurance premiums if the car has safety features like anti-lock brakes, and anti-theft devices.

State Farm provides drivers with a list of four factors that they take into account when calculating premiums. These include the Collision Damage Index, the Damage and Theft Index, the Vehicle Safety Discount, and the Liability Rating Index. While other insurance companies do not offer such an explicit list, they look at similar qualities.

• Comparison Shop

Get quotes from several different car insurance companies, both the traditional ones, like Allstate or State Farm and the newer ones that go out of their way to court young drivers such as Geico.

Be sure when you talk to the insurance companies, you point out all the features that make you a low-risk driver. Several companies, for instance, offer up to a 20% discount for students whose average grade is “B” or above. Other companies will cut you a break if you went through a formal driver’s education class. If you’re a non-traditional student, 21 or older, you will also be able to get lower premiums.

If you have any other insurance needs, ask the insurance companies you talk to about “bundling” more than one policy. Your car insurance premiums may go down, for instance, if you’re also purchasing renter’s insurance, life insurance, or home owner’s insurance from the same company.

Take some time to compare rates every time your insurance policy comes up for renewal. The company that offered the lowest cost premiums in 2010 might not be the one offering the best premiums in 2011.

• Be a Safe Driver

Being a safe driver means avoiding speeding tickets and other moving violations such as running a stop sign or red light, driving under the influence (DUI), or driving while intoxicated (DWI). It also means staying out of careless accidents such as dinging your fender on the side of a parking garage or backing into another car while pulling out of parking space.

While maintaining a stellar driving record isn’t easy, it certainly can be profitable. Allstate estimates that their safe drivers save up to 45% on the cost of car insurance premiums.

Finding affordable car insurance for students can be a challenge, but if you pay attention to safety features, comparison shop, and maintain a good driving record, you’ll probably be able to find a reasonable deal.  If you would like to do your comparison shopping now feel free to head over to our quote form where we will provide quotes from all insurance companies listed in this article plus a few more of the main brands.

It is important for those who rent property or apartments to have a renters insurance policy. Consider the furniture, computers, sound system, jewelry, watches, furs and any other clothing, digital music and possibly a digital camera. These can all be high-end items that would be difficult to replace without insurance. The possessions that are insured should be insured at their full replacement cost. There is always the possibility of fire, theft and other causes that the tenant’s possessions could be destroyed, damaged or lost and a natural disaster doesn’t distinguish friend from foe.

Most people hope and pray that bad things will not happen to them. Unfortunately, it is a fact that sometimes a tragedy may happen. Anyone can be the victim of a robbery, fire, flood or other natural disaster at any time and without warning.

Liability insurance is also important for a renter. Some issues such as, if the tenant owns a dog or other pet, insurance is available that will cover the tenant in case the pet harms another person or damages the property. Most renters can accumulate thousands of dollars of property and liability insurance at a low cost. Fewer than half of these renters are insured. This is partially because they tend to underestimate the value of their personal items or do not understand that the landlord does not cover their household items and other things.

If you rent a stand-alone home, it is the responsibility of the renter to make his sidewalks and steps safe for visitors and anyone else who comes to the property. If someone falls on the icy walk or steps and injuries are a result, the renter will be held liable for the injuries. This could be greatly expensive out-of-pocket. If damage happens to the house, this might also be a high-end repair job. If it is the renter’s fault, he will be held liable for repairing the damage.

Renters insurance will cover all personal property of the tenant plus liability coverage. It is usually quite affordable and may rescue a tenant from being evicted. If any part of the house or apartment is damaged, such as a broken window, linoleum cut while moving kitchen appliances or any other damage, and the tenant cannot prove his family or friends did not cause the damage, he will be held responsible for the damage.

It is important to shop around when searching for good, affordable renters insurance. Compare prices and rates for the best coverage of your personal possessions and any possible liability that may come your way. You may want to consider a higher deductible. This is the amount of premium you pay out-of-pocket before your landlord starts to pay in your interest. There are also some discounts your agent can explain for you, namely, alarm systems, smoke-detectors, dead-bolt locks and storm shutters can often reduce additional expense on premiums. Insure your house or apartment with the same company where you insure your car. This will also cut down on premiums.

Some of the renters insurance policies range from five dollars to $19. Twenty dollars is generally the maximum for renters insurance.  To see how much you can save today be sure to visit our form at the top of this page!

Are you buying a single family home for the first time? If so, you’ll need to familiarize yourself with the different types of homeowners insurance available in order to make the best choice for your situation. It’s important to take the time to understand this topic now so that you’re protected from the start. Homeowners insurance may not be as complicated as your mortgage or closing documents, but an overlooked detail can mean the difference between good coverage and possible financial loss in the future.

There are several different policy types available, each labeled HO followed by a specific number. As you can guess, HO refers to “homeowner,” while the numbers are an industry-wide designation indicating different levels of coverage.

Regardless of the type of policy, your homeowners insurance will cover the following necessary components:
-the main structure, i.e., your home itself, and any other structures such as a garage or barn
-your personal property housed at the dwelling
-personal liability coverage for events such as injuries on your property
-loss of use, which provides alternate housing, meals and other expenses if you are relocated as a result of a covered event.

With this in mind, let’s take a look at different policy types in detail, and consider which one is best suited to a new single-family homeowner.

HO-1 insurance is also called Basic Coverage, and is the least comprehensive type available. HO-1 coverage is limited to damage from these events: fire, lightning, wind, hail, smoke, volcanic eruption, explosions, riot, theft, vandalism, aircraft and vehicles, self-damage, glass breakage and personal liability. Floods, earthquakes and some other events are not covered. With HO-1, if the event is of a type specified in the policy, it is covered; if not, you receive no compensation.

HO-2 insurance is called Broad Coverage. Like HO-1, it insures for a list of named perils and disasters, including a few in addition to HO-1: snow, falling objects, and systems-related events such as plumbing, heating, air conditioning, appliance and electrical malfunctions that may result in water, fire or other damage. Again, if you incur damage or loss from an event not specified in the policy, there is no coverage.

HO-3 coverage is also known as Special Form Homeowner Policy. This is the most commonly-purchased policy because it covers your home and property for any event or peril unless specifically excluded. Usual exclusions are flood, earthquake, war and nuclear accident. Thus HO-3 policies provide much more coverage to the homeowner than HO-1 or HO-2.

HO-4 is a tenant policy covering renters who need to insure the contents of their apartment. Since the landlord owns the structure itself, there is no need for a tenant to insure this. Tenant insurance also typically includes coverage for liability protection, medical payments, and living expenses in case of relocation due to an insurable event.

HO-6 is a policy specially designed for owners of individual condominium units. The condominium master policy insures all common areas and structural components; however, the unit interiors and possessions are not included. According to what is omitted by the master policy, an HO-6 policy may only insure household and personal possessions, or it may need to include some fixed elements of the unit such as lights, systems or inner walls.

HO-8 insurance is designed for older homes and provides coverage on a cash value basis rather than replacement cost. This is due to the fact that replacement costs can be prohibitive for homes with historical features and older building techniques or materials.

Based on these descriptions, it’s clear that, unless your home is an historical dwelling, HO-3 coverage is the best choice for a new homeowner. If your HO-3 policy is for 100% replacement cost, a safe bet in these times of unpredictable weather and natural disasters, you should be able to relax and enjoy your new home with the peace of mind you deserve.