What are my Homeowner’s Insurance Policy Options in Michigan?

Michigan has four different primary homeowner’s policies available to its consumers.  Understanding the difference between them will help you determine the best policy for your home insurance needs.

Get started by requesting a FREE, no obligation Michigan home insurance quote!

HO-1
This is a very basic policy that covers the following perils:

  • Lightning and fire
  • Windstorm and hail
  • Vandalism and malicious mischief
  • Theft
  • Damage from vehicles and aircraft
  • Explosion
  • Volcanic eruption
  • Riot or civil commotion
  • Glass breakage
  • Smoke and personal liability

HO-2
This policy covers all the listed perils of the HO-1 and the following additional events: 

  • Building collapse
  • Freezing or discharge of water from internal plumbing, heating, air-conditioning systems or domestic appliances
  • Falling objects
  • Weight of ice, snow or sleet
  • Rupture or bursting of steam or hot water heating systems
  • Damage from sudden electrical currents to appliances, devices, fixtures or wiring

HO-3
The HO-3 is the broadest type of coverage you can buy and includes all perils except the following: 

  • Earthquake
  • Flood
  • Nuclear hazard and war

There is replacement cost coverage on the dwelling, but the contents are settled on an actual cash value basis. 

HO-8
This policy is designed for older homes.  The coverage is similar to the HO-1 policy, but it may not have replacement cost coverage on the dwelling.  It also provides only limited theft coverage for the homeowner. 

How can a Michigan resident save money on homeowners insurance?

  • Raise your deductible.  Raising your deductible will lower your premium and may be a great way to save a few dollars.  Have an insurance professional run quotes with higher deductibles to see if the savings is worth having the extra out- of-pocket expense following a claim.
  • Ask about discounts.  Insurance companies offer discounts for a variety of reasons.  Some reward homeowners for living close to a fire hydrant.  Others give discounts for owning a new home or having a monitored alarm system.  Check to see if your company has a longevity discount for keeping your business with them across the years.
  • Shop around for various MI premiums.  Insurance premiums vary for a number of reasons.  Shopping around every few years is a great way to be sure that what you are paying is reasonable for a home similar to yours.

Whether you want to save money on insurance premiums or you have an insurance question, help is a click away. Request a free Michigan homeowner's insurance quote and an insurance professional will get back to you.