The team at Hood Insurance, a homeowners insurance provider in Lynnwood, WA, have received an influx of homeowners asking us the same question: Is homeowners insurance required in Washington?
Is Homeowners Insurance Required in Washington?
Technically speaking, there is no law that requires you to have homeowners insurance when you are buying a house. However, this is typically only a viable option if you are not using a mortgage loan. If you are using a mortgage loan, your lender will most likely require proof of homeowners insurance before closing on a property.
Why Is Homeowners Insurance Required for Mortgages?
Mortgage lenders usually require homeowners insurance because when they give you a mortgage loan, that money that they have lent you is at stake for them. In order to ensure that their asset is protected, you will need to purchase a homeowners insurance policy.
If you are not happy with having to have homeowners insurance, the good news is that you will not need to have it after you have paid off your mortgage loan. However, in most cases, it makes a lot of sense to keep it. Homeowners insurance policies are much less expensive than the value of your property, so it makes a lot of sense to keep it insured for as long as you own it.
Do I Need Insurance If I Buy A Condo?
If you buy a condo in Washington State, the condo board may require you to purchase condo insurance before the sale can be finalized. However, all condo boards have varying sets of rules and regulations, so make sure you look over their rules before you commit to buying.
How Much Is A Homeowners Insurance Policy in Washington?
When purchasing homeowners insurance in Washington, you are able to decide your level of coverage as well as the amount of your deductible. A deductible is the amount of money you pay toward a claim before the insurance company covers the remaining amount. Your deductible coupled with your level of coverage determines the amount you pay annually in premiums.
Other factors that affect your annual premium cost is the location of your home and your home’s features. The average cost of homeowners insurance in Washington state is less than $1,000 per year. However, the specific cost of your policy depends on your insurance company.
Homeowners Insurance with The Hood Insurance Agency
Your home is a major investment, but more than that, it is also where you will raise your family, entertain your friends, and create lifelong memories. At The Hood Insurance Agency, we recognize this, and that is why we work hand in hand with you to protect it with a homeowners insurance policy that protects this dream investment. So whether you have found the perfect starter home, recently completed your custom dream home, or have something in between, let us help you protect the life you have made in your home.