First Time Homeowner Insurance Checklist

Buying your first home is one of the most significant financial decisions you will ever make. Insurance is the part of that decision most people get wrong — not because it is complicated, but because nobody walks you through it at the right time.

This checklist is built from real claims experience. Every item on it represents something that has mattered in an actual loss. Use it before you close, at your first renewal, and any time you make a significant change to your home or your life.

Before you close

Confirm your Coverage A reflects replacement cost — not purchase price

Your Coverage A limit should reflect what it would cost to rebuild your home from the ground up at today's construction costs. This number is almost always different from what you paid for the home and what your lender requires.

Ask your agent what replacement cost estimate was used to set your Coverage A limit

Confirm the estimate accounts for your home's square footage, construction type, age, and features

Verify the limit is sufficient to rebuild — not just to satisfy your lender

Check your Ordinance and Law coverage

When a home is damaged and needs repair or rebuilding, local building codes often require upgrades beyond simply restoring what was there. Without adequate Ordinance and Law coverage, those upgrade costs come out of your pocket.

Locate your Ordinance and Law limit on the declarations page

Note whether it is expressed as a dollar amount or percentage of Coverage A

If it is set at the default 10% of Coverage A, ask your agent whether that is adequate for the age and construction of your home

Verify personal property coverage type

Confirm whether your personal property (Coverage C) is covered at replacement cost value (RCV) or actual cash value (ACV)

If ACV, ask about upgrading to RCV — the premium difference is usually modest

Note any per-item or per-category sublimits for jewelry, electronics, art, firearms, or collectibles

Add water backup coverage if not included

Check whether water backup is included as an endorsement

If included, note the sublimit — $5,000 is often insufficient

If not included, ask your agent to add it before closing

Review your deductibles

Note your standard all-peril deductible

Check for a separate wind, hurricane, or hail deductible — these are often expressed as a percentage of Coverage A, not a flat dollar amount

Calculate what a percentage deductible means in actual dollars on your home

Check flood insurance requirements and options

Confirm whether your property is in a FEMA Special Flood Hazard Area (zones A or V)

If required, verify flood insurance is in place before closing

If not required, consider whether flood coverage is still appropriate for your location

Verify your lender is correctly listed

Confirm your lender's legal name and loan number appear correctly in the mortgagee clause

Errors here can delay claim payments — verify before closing day

Read the exclusions section

Read through the policy exclusions before you close

Note anything that surprises you and ask your agent to explain it

Confirm you understand what is and is not covered

In your first 30 days

Create a home inventory

A home inventory is a documented record of your belongings. It is the single most valuable thing you can do to protect your contents claim after a loss — and the thing almost no homeowner does until after a loss, when it is too late.

Walk through every room and photograph or video your belongings

Note high-value items by make, model, serial number, and approximate value

Store your inventory somewhere other than your home — cloud storage, email to yourself, or a secure app

Include outdoor equipment, garage contents, and storage areas

Document the condition of the home at purchase

Photograph the exterior, roof, and any existing damage or wear

Document the condition of major systems — HVAC, water heater, electrical panel

Keep records of any repairs or improvements made by the seller before closing

Store these photos and records outside the home

Locate your policy documents and keep them accessible

Save a digital copy of your full policy — not just the declarations page

Note your carrier's claims phone number and your policy number somewhere easy to find

Know what to do if you have a loss before a loss happens

Review your liability coverage

Note your Coverage E personal liability limit

Consider whether $100,000 to $300,000 is adequate for your situation

If you have a pool, trampoline, or other attractive nuisance, discuss umbrella coverage with your agent

At your first renewal

Your first renewal is the most important one. Carriers sometimes adjust terms, limits, and exclusions at renewal without prominent notice. Review your renewal policy the same way you reviewed your original policy.

Compare renewal policy to original policy

Check that your Coverage A limit has not been reduced

Review endorsements — confirm water backup, Ordinance and Law, and other endorsements are still in place

Read the exclusions section for any new or changed exclusions

Note any premium changes and ask your agent to explain significant increases

Update your Coverage A for construction cost inflation

Construction costs change. What it cost to rebuild two years ago is not what it costs today.

Ask your agent to run a new replacement cost estimate at renewal

Adjust your Coverage A limit if the estimate has increased

Consider extended or guaranteed replacement cost coverage if not already in place

Review your contents coverage after major purchases

If you have purchased significant items since closing — furniture, electronics, jewelry, appliances — update your contents estimate

Schedule any high-value items that exceed standard sublimits

Confirm flood insurance is still in place if required

Verify your flood policy has renewed and is current

Review flood coverage limits — NFIP maximums are $250,000 for structure and $100,000 for contents

If your home value has increased, consider whether private flood insurance offers better limits

After any significant home improvement

Any major improvement to your home can affect your coverage needs. Additions, renovations, new structures, and significant upgrades all have insurance implications.

Notify your carrier before starting any major renovation or addition

Update your Coverage A limit after completion to reflect the increased replacement cost

Add any new structures — decks, garages, fencing — to Coverage B

If the improvement adds value, review your personal liability limit as well

After a major life change

You get married or add a household member

Confirm new household members and their belongings are covered under your policy

Review personal property limits if contents have increased significantly

You start a home-based business

Standard homeowners policies typically exclude business property and liability

Ask your agent about a home business endorsement or separate business policy

Confirm business equipment, inventory, and client liability are covered

You get a dog

Some carriers exclude certain dog breeds from liability coverage

Confirm your carrier's breed restrictions and liability coverage for dog bites

If your breed is excluded, ask about a separate animal liability endorsement

You install a pool, trampoline, or playground equipment

These are considered attractive nuisances and increase your liability exposure

Confirm your liability limit is adequate

Consider an umbrella policy if you do not already have one

You add a rental unit or short-term rental

Standard homeowners policies typically do not cover rental activity

Notify your carrier before renting any part of your home

Ask about a landlord policy or short-term rental endorsement

If you have a loss

Immediately after the loss

Ensure the property is safe before entering

Call 911 if there is immediate danger — fire, gas leak, structural collapse

Prevent further damage with temporary protective measures — tarps, boarding

Document all damage with photos and video before any cleanup

Reporting the claim

Report the loss to your carrier promptly — delays can complicate coverage

Note your claim number, adjuster name, and date reported

File a police report if required — theft, vandalism, and some other losses require one

During the claim

Be present for the adjuster inspection — walk them through every area of damage

Take your own photos and notes during the inspection

Keep all receipts for temporary repairs and additional living expenses

Request a copy of the adjuster's estimate and field report

The bottom line

Homeowners insurance is not something you set up once and forget. Your coverage needs change as your home changes, as construction costs change, and as your life changes. The homeowners who get paid fairly after a loss are the ones who understood their coverage before they needed it.

Use this checklist at every stage — before closing, at renewal, after improvements, and after life changes. The fifteen minutes it takes to review your policy is a small investment against the financial exposure of being underinsured when something goes wrong.

Jennifer Taylor is a licensed public adjuster in Georgia and South Carolina and the founder of Claim Ready. She has worked over $2.5 million in active and approved property claims. Claim Ready helps homeowners understand their insurance coverage before a loss occurs.

Want to know if your current policy measures up?

Run a Claim Ready scan. For $29, you will get a plain-language breakdown of your coverage, where you are exposed, and exactly what to ask your agent at your next renewal.

First-Time Homeowner Insurance Checklist