Home Insurance Comparison

15 Ways to Save on Home Insurance

Different companies offer different home insurance rates. It is important that you learn how to save up while still getting the insurance coverage that you need. Here are 15 ways you can save on home insurance.

1. Wind mitigation credit. The wind mitigation credit is likely to save you about 45 percent on home insurance. Some insurance carriers can give you this credit if your house was built between now and 2002 or is older than 2002 but the roof is updated. However, there are other qualifications. Your home needs to be inspected by a wind mitigation inspector who is an expert. If your home passes the inspection, the inspector will give you a certificate to confirm that your house is likely to endure strong wind gusts. There are several features that these inspectors look for in homes in Florida in order to give you the certificate. The house should be constructed using concrete block, and there should be a hip roof, secondary water resistance barrier, gable end bracing, shutter and opening protection, and double or single roof straps.
2. Being a member of AAA or AARP or being a senior citizen. Most companies will look at your age to determine if you are a senior citizen. They will therefore do it automatically. Some will require that you inquire if there is a discount for senior citizens. You should also inform the person quoting your insurance that you are a member of AAA or AARP. If you joined these groups after your insurance policy started, inform your company so that the discount is applied to your policy.
3. Loyal customer discount and multiple policies. To get a multiple policies discount, all you have to do is purchase your insurance along with another insurance policy such as auto. This can save you five to 15 percent depending on the number of policies you have with the same insurance company. This is however not the case with all insurance companies. You should therefore confirm that it is cheaper to get multiple policies when compared to individual policies. Loyal customers can get discounts from the insurance company. Check with your company to ascertain whether there is such an arrangement and ways you can become eligible.
4. Burglar and fire alarm credit. If your burglar and fire alarms are centrally monitored, some insurance companies will give you credit. You can also get credit if you install a sprinkler system. However, sprinkler systems are not easy to install, as they are expensive. You should therefore make sure that the insurance company offers a discount on them before you install them. Smoke alarms and deadbolts can also give you a discount. Check whether or not the discount offsets the costs.
5. Good credit. A good credit record can earn you a discount. Always ensure that you pay your bills on time and if you have to leave a balance, always keep it low.
6. Accredited builder accounts. This mostly works for newly built homes. This is mainly because each company has its own list of accredited builders and they keep updating the list. If you are building a new home, call the insurance company and use the builder that is on its list.
7. Increase deductible. The deductible is the amount of money that you pay prior to the company paying a claim. Almost all insurance companies advise a deductible of $500. If you increase this to just $1,000, you will save more month to month.
8. The value of your house against the value of the whole property. It is not wise to insure the whole property, as there are parts that are not prone to damage. You should therefore insure the actual structures, which is the part that can be damaged. Consider the cost of replacing your valuables and rebuilding the house.
9. Shop around. Look for the best insurance policies that are cheap yet cover what you need covered. The easiest way to go about this is using an independent insurance agency that will sample all the insurance companies for you.
10. Review policy limits. Check your valuables and estimate their worth in order to determine whether it is necessary to pay for the floater or not. This is applicable to valuables that depreciate fast.
11. Ascertain the insurability of your home. This is about the age of the house, and the plumbing and wiring. If they are outdated, you are less likely to get insured.
12. Choose appropriate policy options. You can shop online to see all the available policies and pick one that works for you.
13. The validity of the insurance company. If you settle on a company that is not reputable, you may get conned and thus lose your money. Be sure that you shop for credible insurance companies.
14. Potentially safe home. Be sure that you remove risky products like fuel and flammable items. If the insurance company finds these in your garage, you are likely to pay more, as the gravity of a possible disaster is heightened.
15. Proximity to the fire station. Insurance companies will charge you less when you are near a fire station, as the chances of your home getting destroyed during a fire are smaller.