By Oklahoma Insurance Commissioner Glen Mulready 
Choosing the right homeowners insurance is one of the most important steps you can take to protect your home. Many Oklahoma homeowners focus only on the lowest premium, without checking what the policy actually covers. This can lead to major out‑of‑pocket costs after a storm, fire, or other disaster. Here are common mistakes to avoid with Oklahoma home insurance.
Not Reviewing Your Homeowners Insurance Policy
One of the biggest mistakes is not reviewing your coverage each year. When a claim happens, you may learn too late that your policy excludes certain losses or that your limits are too low. Meet with your insurance agent once a year to discuss updates to your home, major purchases, or rising construction costs.
Underinsurance is more common than many people think. Researchers at the University of Colorado Boulder studied 5,000 claims from the 2021 Marshall Fire and found that 74% of policyholders were underinsured. The most severely underinsured had limits below 75% of the replacement cost. To put that into perspective, a homeowner with a $300,000 house could face a $75,000 shortfall after a total loss.
Choosing the Cheapest Policy Without Knowing What It Covers
A low‑cost Oklahoma homeowners insurance policy may not give you the protection you need. Lower premiums often mean higher deductibles, lower limits, and more exclusions. Ask your agent if your policy uses actual cash value or replacement cost. Actual cash value subtracts depreciation, while replacement cost pays the full amount needed to rebuild today. Knowing the difference helps you make better decisions with your coverage.
Not Creating a Home Inventory
After a loss, many homeowners cannot list everything they owned. A home inventory can make the claims process faster and easier. Use photos, videos, and serial numbers to document your items. You can download the NAIC Home Inventory App or use the Oklahoma Insurance Department (OID) Home Inventory Form. Keep a digital copy in case the physical copy is destroyed.
Not Asking About Homeowners Insurance Discounts
Many insurers offer discounts, and homeowners never ask about them, so ask your agent which ones apply to your policy. Bundling home and auto is one easy way to save. Some companies also offer discounts for home safety upgrades. Programs like the Insurance Institute for Business & Home Safety (IBHS) Wildfire Prepared Home™ Program or the FORTIFIED™ Program can help reduce risk and may lower costs. A FORTIFIED™ roof can qualify you for lower premiums and save the average homeowner $720 a year. Oklahoma homeowners can also apply for the Strengthen Oklahoma Homes grant program, which helps pay for a stronger, safer FORTIFIED™ roof. You can learn more at oid.ok.gov/okready.
Insurance should be proactive, not reactive. Taking time to review your policy, understand your coverage, document your belongings, and ask about discounts can save you money. For help or questions with Oklahoma homeowners insurance, contact OID at 800‑522‑0071 or visit www.oid.ok.gov.
