If you've recently switched your homeowners insurance and received a refund check, follow this simple step to ensure you're on the right track.

To start, deposit your insurance refund check straight into your escrow account. Your lender uses this account to safeguard funds for your homeowners insurance and property taxes. By promptly depositing the check, you prevent any potential shortfalls in your escrow account or delays in insurance payments.

Wondering why you got a refund in the first place? When you switch insurers, your previous provider reimburses you for any premiums already paid. It's a reimbursement based on your policy terms.

While receiving a surplus of funds may seem exciting, it's crucial to remember that this money is designated for your escrow account. To handle it correctly, reach out to your mortgage servicer. Inquire about their preferred method for receiving the refund check and request an updated escrow analysis to understand how your account will be impacted after the deposit.

If you need more guidance on switching insurance providers, look no further. Our step-by-step guide is here to help, and our expert advisers are available for any questions you may have, free of charge and without obligation.

Remember, protecting your home is essential for your peace of mind. We believe in providing coverage that safeguards you and your property. It's simple with Covered. We've got you covered—literally.