I often get asked “How can I save money on my homeowner’s insurance?”
Here are some ways I suggest:
Increase Your Deductible
If you have the ability to handle a higher amount of out of pocket costs, a higher deductible can significantly reduce your monthly payment. A key point to remember is that you will need savings set aside for unexpected incidents.
Some insurance policies allow for discounts if you make your home safer. Some things that may qualify for discounts include: smoke detector, burglar alarm, dead-bolt locks, sprinkler system, fire alarm/burglar alarm, and more. You will need to balance the cost of the additions with the discounts.
Some companies offer discounts such as senior discounts. You might also qualify for a multipolicy discount if your home and flood insurance are through the same carrier.
Stay With the Same Insurer
Some insurance companies reduce premiums if you stay with them for five years or more.
Check the Value of Items You Have Insured
Double check the value of items you have insured. You may realize you have too high of a value on certain items.
Protect Your Home Against Disasters
The price you pay for homeowners insurance depends in part on the cost of rebuilding your home and the likelihood that it will be damaged by natural disasters or that it will burn down.
Are there some things you can do to reduce the likelihood of disaster?
Find out from your insurance agent or company representative what you can do to make your home more resistant to windstorms and other natural disasters. You may be able to save on your premiums by adding storm shutters and shatter-proof glass, reinforcing your roof or buying stronger roofing materials.
Get a Good Agent
Get a good (or even great) agent. A good insurance agent will shop rates for you and find the right program for you and your situation.