Home Insurance Literacy Survey 2020 Finds Big Gaps
Almost half of the homeowners in the U.S. do not adequately understand how to calculate home insurance coverage. As a result, many may be overpaying for coverage they don’t need or are unknowingly underinsured.
The “Home Insurance Literacy Survey 2020,” by Policygenius sampled2,500 U.S. consumers age 25 and over from June 25 to July 3, 2020. It found glaring knowledge gaps in what home insurance does and does not cover. Half of the respondents did not know that a typical homeowners insurance policy does not cover floods and more than 80 percent did not know that a standard policy does not cover earthquakes.
The survey findings illuminate the important role agents and brokers play in guiding homeowners through the insurance buying process.