OFIS Releases the 2006 Buyers' Guide to Home and Renters Insurance

Office of Financial and Insurance Services (OFIS) Commissioner Linda A. Watters announced today that the 2006 Buyers' Guide to Home and Renters Insurance is available online and in hard copy.

“Consumers can often save hundreds of dollars by simply picking up the phone and comparing insurance rates,” Watters said. “To make this process easier, consumers can use this guide as they shop for the best deal on home insurance.”

The guide contains information and tips about purchasing homeowners and renters insurance. It also includes the results of an annual survey of insurers offering home, rental and condominium insurance in different areas of the state. This information provides consumers with information about rates charged by these insurers. It is an important part of the overall effort of the Granholm Administration to help protect and aid consumers.

OFIS constantly stresses that consumers shop around to receive the best price for home insurance. Consumers who renew insurance, or purchase insurance for the first time, should not assume that the first quote they receive is the best price they can get. Shopping around to many different insurance companies will allow them to choose the best available premium rate.

“Insurance rates can vary from company to company, so it's important to shop around,” Watters said. “The 2006 Buyers' Guide to Home Insurance is a valuable tool for doing that effectively.”

Because discounts can drastically affect the premiums consumers pay, the Guide now includes an example of how various discounts can reduce the final premium. The Guide also lists commonly used discounts and which companies provide them. Discounts listed include smoke detectors, deadbolts, fire extinguishers, and mature homeowners.

“Consumers should definitely take a look at the list of discounts they can qualify for, and how much they can save,” Watters said. “In some cases, the initial premium can be cut in half after taking advantage of all the available discounts.”

Watters noted that rates given in the Guide reflect some but not all available discounts, so consumers should be sure to ask for all available discounts when they receive quotes.

Another important resource for consumers is the interactive version of the buyers' guide, which also can be found on the OFIS website. It allows users to choose a profile that most closely fits their situation and location to get a general idea of rates for home insurance. The user can review sample rates for a select list of companies or review rates for all home insurance companies in Michigan.

Information on home insurance can be found on the OFIS homepage in the area entitled “Rising Homeowners Insurance Rates?”

The 2006 Buyers' Guide to Home Insurance can be reviewed and downloaded on the Internet at www.michigan.gov/ofis under Publications / Guides / Homeowners/ Renters Insurance. Hard copies of the guide also are available by contacting OFIS toll free at (877) 999-6442.

Other homeowners and renters insurance information that can be found on the OFIS website include: 

• Information on Purchasing Home and Renters Insurance

• Flood Insurance: What You Need To Know 

• Home Business Insurance 

• Homeowners Insurance: Are You Eligible? 

• Homeowners Insurance: Replacement Cost vs. Repair Cost Policies 

• Seguro de Propietarios de Vivienda Comparaciaon de las polizas de Costo de Reemplazo Con las de Costa de Reparaciones 

• Renter's Insurance: A Smart Buy 

• The Michigan Basic Property Insurance Association 

• Title Insurance 

• Online Customer Satisfaction Survey for Home and Renters Insurance Web Pages

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