Living in a gated community can be more expensive, but is the cost worth the security? You have limited access points, usually accompanied by gates and security guards. Does this level of security mean you can spend less on auto and homeowners insurance?
The answer may not be so simple. The most important part of choosing an insurance policy is assessing your needs, which an experienced insurance agent can help with. Whether you need a different level of coverage because you live in a gated community or not depends on your situation. In this article, we take a look at the relationship between living in a gated community and insurance policies.
More Security Could Lead to Cheaper Insurance
Gated communities typically have the following security features:
- Security guard booth at all entrances
- Keypad or remote-controlled gates
- 24-hour patrol guards
These measures discourage ill-intentioned people from entering the neighborhood, which in turn keeps residents safe from theft, vandalism, and other common crimes. Some insurance companies offer discounts on auto and homeowners policies if you live in a gated community. When you live in a safe, private neighborhood, you’re statistically less likely to make property damage and liability claims.
Homeowners Insurance Policies
Homeowners insurance provides coverage for property damage and liability, a convenient combination for homeowners to protect themselves from most unexpected occurrences related to their home and personal belongings. The following are events that homeowners insurance can help with:
- Storms, hurricanes, tornados, etc.
- Fire and smoke damage
- Theft of property
- Bodily injury claims
A homeowners insurance policy typically includes contents coverage, which means you can receive reimbursement for damaged or stolen items in your home. Some policies have a personal possessions clause covering damage to belongings even when you’re not at home, such as if you break your phone while on vacation.
The liability coverage, on the other hand, protects you from situations where someone sues you for an injury they received on your property. For example, if your dog bites someone and they require surgery or other treatment, homeowners insurance can help you pay the legal fees and the victim’s medical expenses.
How Living in a Gated Community Affects Homeowners Insurance Rates
Living in a gated community means that people have limited access to your home. Vehicle and pedestrian traffic are significantly lower, reducing the chances of property damage, theft, etc. Your insurance company may offer a discount for living in a secure neighborhood. Since your home has heightened security, you might opt for less comprehensive coverage to save money.
While it’s true that theft is less likely, property damage coverage also helps you in case of fire and damage from severe weather. Choosing a policy limit that covers the value of your property ensures that you won’t have to pay out of pocket to rebuild and replace items if your house burns down.
While your home isn’t accessible to the public, there’s always a risk of injury and resulting lawsuit if you have guests or neighbors on your property. Liability claims can be costly, so it’s best to protect yourself and ensure you have the proper coverage with your homeowners’ insurance.
Auto Insurance Policies
Florida law requires a minimum amount of auto insurance coverage to drive a motor vehicle on the road. Despite this, the state has one of the highest counts of uninsured motorists, making it even more critical that you have the proper coverage in case an accident happens.
Here the different types of coverage:
- Comprehensive coverage covers damage from events such as theft, hail, or vandalism
- Collision coverage covers damage to your vehicle from collision accidents
- Uninsured or underinsured motorist coverage covers your damages if the other driver has no insurance or inadequate coverage
How Living in a Gated Community Affects Auto Insurance
Your car is much less likely to get stolen, broken into, or vandalized in a gated neighborhood, so you might think you don’t need an auto insurance policy that covers these incidents. While it’s true that your car might be safer while it’s at home, it’s not under the same protection when you go to work or park in public areas.
Auto insurance protects you from accidents that happen anywhere, not just in your driveway. Extensive property damage and liability coverage ensure that you don’t break the bank paying for repairs or legal fees.
Get the Best Homeowners and Auto Insurance in South Florida
The Gordon Agency in Boca Raton, FL, is an independent agency that works with a range of reliable auto and homeowners’ insurance carriers. We can help you find cost-effective coverage that meets your needs. Whether you live in a gated community or not, our experienced insurance agents can help you assess the risks to your property and decide on policies that work for you and your family.
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