(July 11) -- Summer is a great time for homeowners to review their insurance policies and then increase or add coverage as necessary. Although most homeowners' policies cover fire, wind, and theft, the Insurance Information Institute's Jeanne M. Salvatore urges homeowners in danger-prone areas to purchase federal flood insurance or state-supported private insurance for earthquakes and hurricanes.

Owners with expensive jewelry or collections may want to consider additional coverage through a floater or rider to their basic policy; and home office owners may want to purchase a separate policy to cover business risks.

Homeowners with more costly dwellings or add-on disaster coverage could see their premiums surpass the average $550 to $700 annual insurance cost. Increasing the deductible is a good way to keep costs down.

Source: Associated Press (07/10/02); Powell, Eileen Alt


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