Home insurance is another added expense to owning a home. However, it is a necessary expense. If something was to happen to your house, you could feel better knowing you have home insurance to help you out. Without it, you could be left with a hefty bill that could cost you to sell your property.
As much as we need homeowner insurance, it isn’t the cheapest thing to add to your home. Luckily, some companies are working to create less expensive home insurance through the latest technology. Before that is widely available though, there are ways you can help reduce the price of your coverage.
Improve Your Home Security
One easy way to reduce your home insurance is by pumping up the security around your home. Security smoke detectors, dead-bolt lots, and burglar alarms. Depending on the company and what you all install, you could reduce your insurance rate enough that it is noticeable. Although the systems you would need to install to lower your insurance are expensive as well, they would be worth it in the long run.
No one says you have to buy insurance from the first company you talk to. Home insurance is not a one-plan-fits-all. There are different options that all have different prices based on each customer. With that, you should shop around for the best insurance policy that is suitable for your needs. Don’t get talked into buying a package the is more than what you need and costing you a lot of money in the end.
Increase Your Deductible
The deductible on your home insurance is what you would pay before the insurance company kicks in the cover the rest. Typically, the higher your deductible is (meaning,the more money you would pay up front), the less your monthly premiums will be. If you can afford to increase your deductible, it would save you money each month on your insurance premiums.
If you’re worried about the price of the deductible, set aside some money in an emergency fund. That way, if you end up having a disaster, you have the funds to cover the increased deductible.
Don’t Switch Insurance Companies
Many insurance companies will reward long-time clients. That means if you stay with the same insurer for a long time, you’re likely to get a discount on your monthly premiums as a thank you.
Review Your Policy Regularly
Reviewing your insurance policy on an annual basis is a good habit to get into. What you have insured one year may not be the same the following year. There is no sense in paying for insurance when you no longer have the same amount of possessions.
Look for Discounts
When shopping around for an insurance company, see what types of discounts and reward programs they offer. On top of that, there may be discounts for those who work from home or if you’re retired. It never hurts to ask if the insurer has any discounts available for your situation.