YOU ASK:

How to lower your home insurance?

WE ANSWER:

Here are a few simple ways to help you decrease your home insurance premiums:

  • Consider getting an insurance with a higher deductible. Premiums will be decreased as deductibles are increased. For instance, if your raise your deductible from $500 to $1,000, you can get deduct almost a quarter of the premiums. Depending on the area, some covered events may have varying deductibles.
  • Buy your insurance policies from the same provider. That way, you can save on multiple policy discounts. Try getting your car insurance, liability coverage together with your homeowners insurance.
  • Ask for discounts. It wouldn't hurt to try, especially if you're dealing directly with the insurance company. If you have been with the insurance company for some years now, they may consider giving you a discount. In fact, some insurance companies actually give discounts to their long-term customers. Your insurance company may even provide discounts or cheaper premiums if:
    • You don't have dogs
    • You are retired and at least 55 years old
  • Take proactive measures to make your house safer. The insurance company will give discounts for safety and security measures you take. For instance, if you install insurance company-approved security systems, fire alarms and dead-bolt locks, your insurance company may decrease as much as 15% in premiums. But, before you installing anything, be sure that the facilities you install are certified or approved by the insurance company.
  • Maintain a good credit standing. Insurance companies also look at your credit standing as they set the premiums for your policy. This is because insurance companies see someone of a good credit standing as a lower risk to fabricate or overstate claims.
  • Take proactive measures to make your house disaster resistant. A wood frame house is more expensive to insure than a brick house. The principle behind this is that the more disaster resistant your house is, the more decreases in premiums you can enjoy. This involves adding higher quality roofing or roof reinforcements or storm shutters. Your insurance company will also check the condition of the house's systems - such as heating, electrical and plumbing. The more modernized (and safer) it is, the better.
  • Now, if you still don't have a home, it is good to consider homeowners insurance premiums costing as a factor in the choice you make. For instance, premiums are cheaper if your house is near the police station or near a fire hydrant.
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