If you’re a homeowner, you know that your home is quite possibly your most valued possession. It makes sense to keep it safe through comprehensive home insurance in case of a life changing event such as a fire, flood, storm, or act of nature.
Homeowner’s insurance is money well spent as most people do not have the funds to invest if a catastrophic disaster should occur that damages or destroys the structure. That’s where homeowner’s insurance can be a saving grace in the face of hardship.
Many homeowners get their insurance when they initially buy their home and renew it every year through payments with their mortgage company or directly to the insurance provider. Unfortunately, not many people realize that there are steps that every owner can take to save themselves (and their wallet) from overpaying in this area. Here are just a few ideas to get you started saving.
Bundle Auto and Home
It may seem like a no brainer, but if you haven’t looked into bundling your insurance, you may want to see how much your insurance rates could change if you have both home and auto through the same company.
Many insurance providers offer a discount if you get both your homeowner’s insurance and your auto insurance through the same company. Typically the savings could be between 10-20% depending upon the insurer.
Invest in a Security System
One of the ways that insurance companies calculate your rate is by looking at how secure your home is. They analyze things like how at risk your home may be to burglary, storms, or fires.
Adding security features to your home could not only lower your initial rate, but also keep your rates low, especially if these add-ons have kept your home from danger or placing a claim. Discounts for upgrades to your home security can range anywhere from 5 to 20 percent, depending on your insurance company.
Raise Your Deductible
There is a caveat to this suggestion. While raising your deductible could mean that you save a little on your premiums annually, it will mean that, should you file a claim, that you will pay more out of pocket at that time. Weigh this one carefully and talk to your agent about how this could impact your insurance in both positive and negative ways.
Improve Your Credit Score
Yes, you read that correctly, improving your credit score can help lower your home insurance.
According to NerdWallet, “In many states, companies are permitted to use a credit-based insurance score to help predict the likelihood of future claims, and those with poor credit may face higher rates. If you fall into this camp and have a poor FICO score (under 630), take steps to shore up your credit, such as paying your bills promptly, paying off card balances that are nearing their limit, or simply reading your credit report closely and fixing any errors.”
This global health crisis and subsequent downturn in the economy has many of us looking for ways to save money. If you are searching for discounts on your insurance, call our personal agents or contact us on our website to see if we can help you accomplish this.