Insurance has become a fact of life for modern homeowners – a safety net that protects their homes and properties from the unexpected. But while most of us recognize the significant role it plays in safeguarding our homes and other assets, we often settle for whatever policy is offered to us.
If you’ve already consulted with a broker or purchased a policy before, then you already know that homeowners insurance does not always come cheap. Still, there are ways to reduce your premiums and ensure that you’re getting the best value for the amount you’re paying for.
Check out these smart ways to save on home insurance.
Disaster-proofing your home does not only make it a safer dwelling place for you and your family; it also allows you more options when it comes to choosing insurance policies/providers – especially if your home is located in a disaster-prone area.
There are plenty of ways to disaster-proof your home and, while some of them can be costly, they don’t have to burn a hole in your pocket. If you live in an area susceptible to flooding, think about installing a sump pump and pointing your downspouts away from your home. Even simple improvements on your plumbing, heating, and electrical systems can significantly increase your home’s safety and reduce the cost of your premiums.
Many homeowners often forget this, but doing so can make a world of difference in the event of a disaster. It makes sense to keep a written or video record of your valuables because no matter how good your memory is, you won’t be able to recall everything you own after a loss.
By keeping a record of your valuables, you'll be able to accurately identify the items you lost, making the claims process more convenient and efficient.
Every insurance policy comes with a deductible, which is the amount you need to pay towards an insured loss. And while insurers often let you choose between a range of deductible rates, opting for a higher deductible will drastically decrease the amount of your premium and the overall cost of your insurance policy.
Most insurance companies offer multiple-policy discounts. Bundling your policies – for example, buying an auto insurance and home insurance policy from the same provider – may significantly reduce your monthly premiums. Not only that, so it will be more convenient for you because you'll only have to contact one agent for all your insurance needs.
Aside from bundled deals, many insurance companies also offer discounts based on a variety of factors such as age, driving records, occupation, and more. They do not, however, automatically apply, nor inform you of these advantages, so you have to inquire if they have them! Also, keep yourself updated on your insurance provider's discount list to see if you're qualified for new discounts.
It’s easy to get attached to an insurance company that has served you for years, but don’t let this deter you from shopping around and speaking to insurance agents who can potentially hook you up with a better deal.
Comparing quotes from different home insurance providers will not only offer you a clearer idea of the cost and features of your policy; it will also give you leverage for negotiating insurance rates.
Homeowner insurance policies can vary widely. Even if you think you’ve found the best deal, new options and reductions may become available in the future, so it’s best to check and always keep yourself updated.