As a homeowner, your home is your prized possession. Insurance is crucial when it comes to protecting it at all costs. However, insurance can sometimes be pricey! Reducing your home insurance rates can intrigue anyone, even the most experienced homeowners. So, is it possible? Luckily, it is! There are many methods homeowners can take to decrease their home insurance rates. Luckily, isure has everything you need to know on the topic. Here are 10 methods of reducing your home insurance rates!
1. Do your shopping
When it came to purchasing your home, you probably did your research before making any purchases. The same should be done when shopping for insurance. It is important to do your due diligence and shop around before settling on a policy. Make sure it caters to your needs and gives you a price that is within your budget. When you’ve finally found a brokerage you feel comfortable with, don’t hesitate to ask about promotions. It is common for insurance brokerages to offer promotions if people meet certain criteria. This is arguably the simplest method when it comes to reducing your home insurance rates.
2. Bundle your policies
Bundling your insurance policies can be another excellent method of reducing your home insurance rates. If you own a vehicle, getting a home insurance quote from your car insurance provider can potentially open up a world of discounts and bundles. Another bonus of bundling your policy is only having to deal with one insurance provider at a time. This can make any issues you have easier as well as save you money.
3. Increase your deductible
Increasing your deductible on your home insurance policy is another method of saving yourself some money. In an insurance policy, a deductible is the part of the loss you must pay when you make a claim. When you make your deductible higher, you can see the price of your premiums drop. With this in mind, your deductible must be an amount you can afford to pay in the event of a loss. The last thing you want is for an accident to occur and you’re unable to afford your deductible!
4. Protect your home
Let’s face it, protecting your home has a plethora of benefits. However, it is also crucial when it comes to reducing your home insurance rates. It is important to make sure your home is protected from fire, water, and severe weather damage. On top of this, make sure you are protected against theft. There are countless ways of making sure your home is protected, all of which can potentially reduce your premiums. Some examples of these include:
- Installing loss prevention devices such as a burglar alarm system.
- Reinforced roofing to prevent roof damage.
- Installing a sewer backup valve.
- Installing a sump pump.
- Installing sprinkler systems in case of a fire.
- Upgrading your electrical, heating, and plumbing systems.
Though these are all recommended regardless, it is important to contact your insurer before updating your home to make sure these methods are eligible for a discount. Alternatively, if these are already installed, let your insurer know!
5. Ask about additional discounts!
Never be scared to reach out and inquire about additional discounts. These can be a big help when it comes to reducing your home insurance rates. For example, if you are over the age of 55 or are mortgage or claims-free, you may potentially be able to save money on your home insurance. Discounts can come in many shapes and forms, so asking can unlock some you may not even be aware of!
Another method of reducing your home insurance rates is to pay your premium annually. This can save you money by dodging any potential service or interest charges. These charges can sometimes occur from an insurer when you pay your premium in installments. By paying annually, your insurer may offer you a discount of around 7% of the total cost. This will help you save funds on the total cost of your policy. Generally, this is done because insurance companies pay more for manual processing each month. It is important to make sure you have the funds to pay annually, as it can sometimes be a lot for someone to pay in one go.
7. Evaluate your coverage annually
A lot can change in a year. This is especially the case with your home! Due to this, it is important to evaluate your insurance coverage annually. Make sure your policy still reflects your home’s current value. This includes any recent upgrades, recent renovations or major purchases.
8. Don’t smoke!
Did you know by not smoking, you may be offered a discount on your home insurance? This is due to you having a lower risk of fire loss. Unrelated to home insurance, there are a lot of other benefits that come with not smoking, as well!
9. Do not over-insure your home
When it comes to home insurance, many people make the mistake of over-insuring their homes. More often than not, this results in paying higher premiums. It is important that when you insure your home, you don’t include the market price of any underlying land. You should always insure your home for what it would cost to rebuild with the same types of materials in the event of a loss. It is always important to speak with your insurance representative about this if you have any questions.
10. Wait until renewal before changing insurance companies
If you’re looking for a new insurance provider, it is important to wait until your renewal period before switching over. This will avoid any mid-term cancellation penalties that can occur if you cancel your insurance before the renewal period.
Shopping for insurance can be daunting, but it doesn’t always have to be! With the right research and information, you can make sure you are always getting the best coverage for the price you’re paying. Are you in the market for new home insurance? If so, why not check out isure? Our brokers are always available to give you the information you need when it comes to purchasing home insurance. Contact us or request a quote today!
The idea of an explosion can be a nightmare for Read more
Ontario has some of the most expensive home insurance in Read more
According to Public Safety Canada, floods are the most common natural Read more
