Purchasing a homeowners insurance policy from a reputable company is money well spent. Having the proper coverage can provide peace of mind and assure your biggest asset is protected against perils that come your way. Though in times of uncertainty and rising costs with insurance markets, we’re all looking for ways to save our hard earned money. Here are several things you can do to help reduce your annual premium.
Take Measures to Increase Home Safety
Reducing your risk exposure is a significant way to save on homeowners insurance. By avoiding incidents and claims, you give less incentive to your insurer to increase your rates at renewals. Because certain home improvements can be costly, be sure to check with your Agent to see how much you’ll save. Some suggestions to lower risk are:
- Check your fire & carbon monoxide detectors 2x a year
- Purchase an alarm system and video surveillance
- Use flood lights to deter criminals
- Add deadbolts to exterior doors and purchase window locks for all windows
- Get storm shutters if in a storm-prone location
- When getting a new roof, choose impact-resistant materials
- Consider upgrading outdated systems such as electrical and plumbing
- Get water alarms for each wet room (basements, laundry room, bathrooms, etc)
Bundle your Auto and Homeowners Insurance Policies
Bundling has become the newest way to save on your insurance. By bundling your home and auto policies together, you may get a great discount. Ask your Insurance Professional to see if bundling can save you up to 10% – 20%!
Increase your Credit Score
Depending on where you live, your credit score could be a factor in your insurance rates. Insurance providers in some states have the ability to use a credit-based insurance score. This rating system can predict the likelihood of you submitting a claim. If you have a poor FICO score (under 650), you might want to look at ways you can increase your score to improve your insurance score in your provider’s eyes. The US Government allows for one free pull of your credit score, or you can use free credit monitoring tools to get insights on how to improve your score.
Raise your Deductible
While not a decision to make lightly, raising your deductible may be an avenue for you to explore. Your deductible is the amount insurers subtract from a claim settlement for property damage. A common deductible amount is between $500 and $1,000; increasing this number may help lower your rate. It might also discourage you from filing minor damage claims, as the repair bill is less likely to exceed your deductible. Remember, insurers are less likely to increase rates at renewal if you’ve gone claim-free. If you decide to raise your deductible, be sure to put away some savings for a rainy day!
Work with an Insurance Expert
Insurance experts are there to make sure you’re protected from all angles – from coverage for your home to savings for your wallet. Our experts shop coverages at pre-vetted companies to find you the best rate with the right coverage for you. Interested in learning more? Contact our Insurance Experts today to see how we can help with your homeowners insurance rates!