Home insurance protects your most value possessions, but that does not mean that it should cost more than it has to. Following these helpful tips will help you reduce your home insurance costs.
Increase your deductible
Your homeowner’s deducible is the amount in dollars, of risk that you are prepared to accept and pay in the event that you need to make a claim on your policy, If you are finding that the cost of your monthly premiums is increasing annually and you are looking to save, raising the dollar value of your deductible is an easy way to reduce the risk to your insurance provider, and therefore reduce your premiums. For example, if your deductible is currently $500 raising it to $1,000 or $2,500 can make a really big difference on your premiums – saving you as much as 10-25% on the cost of your annual or monthly premiums.
Your insurance is there to protect you when you have a loss, but a history of frivolous claims will increase your premiums. The size of your claim does not register against your history, but the quantity of claims does. Make sure that you review your loss and assess whether it is worth a claim – you will likely be paying your deductible anyway which is some cases, could cost more that the payout on the claim.
Increase Safety Measures
Installing safety devices in your home is not just beneficial for protecting your family, it could save you on your insurance premiums. By installing a monitored alarm system, a sprinkler system (in your home not your lawn!) or hard-wiring smoke and carbon monoxide detectors , you could qualify for reduced home insurance premiums. Make sure you contact your broker if you have made these improvements – otherwise, you will not see the discount on your policy.
Discounts and Deals
You may think that your insurance company will automatically provide you with any discounts that you qualify for. They do not know if you qualify unless you tell them. Many insurers offer discounts for; non-smoker’s, mortgagee free, burglar and fire alarms, etc.. Make sure you inquire so that you may receive some of these discounts.
Premiums are often subject to financing or administration fees if you pay on a monthly basis – so if you can afford to pay for the year in advance, you will save on your premiums.
This information is compiled and copyrighted by The Insurance Hotline .com.