At isure, we understand that as a homeowner, your home is your castle! However, that doesn’t mean you should pay insurance premiums meant for Buckingham Palace. Many homeowners are unaware of little tips and tricks that can help them keep a lot of money in their pockets. Luckily, isure takes pride in helping you save money on your insurance. This is why we have compiled a list of our seven insurance tips that will help you save money on home insurance. So, whether you are a new or experienced homeowner who would simply like to save, read below.
1. Bundle home insurance with other policies
Many people are unaware of this one, but it may just be the most important! If your home and auto insurance policies are with the same insurer, bundling them together into one policy is one of the quickest and easiest ways to save money. In many cases, you are able to save up to 20% on your premiums, depending on your provider. If you aren’t a car driver, you are able to bundle your home insurance with other types of insurance as well, such as RV or motorcycle insurance. Bundling will also bring you other perks as well, like an easier payment process and a single deductible! Read more on bundled insurance by reading our article here.
2. Raise your deductible
Your deductible is the amount of money you are willing to pay if you have an incident at your home and need to make a claim. By raising your deductible, you will decrease your monthly premium. With this being said, it’s important to note that you should make sure you are able to do so. Take some time to figure out if you will be able to afford your deductible in the event of a claim. For example, if a tree falls onto your roof and sustains $5,000 in damage and you have a $2,000 deductible, you will be responsible to pay the first $2,000 before your insurance will pay the remaining $3,000.
3. Take extra safety precautions
When you take extra steps to reduce the risk of an incident happening, your insurer will notice. In fact, in most cases, your premiums will be cheaper due to the fact that you are more cautious. With homeowners insurance, it pays to be prepared! By installing security alarms, smoke detectors, carbon monoxide detectors and deadbolt locks, you reduce the risk of a break-in happening. This will let you further reduce your insurance premium, as it will reduce your overall risk. In this day in age, many security systems come with applications that not only make your house more secure, but provide you with the peace of mind knowing you are saving money.
4. Ask about other discounts
Asking about more discounts may sound like a silly suggestion, but you’d be surprised by what may be offered to you. An example of this would be for non-smokers. If you don’t smoke cigarettes, you may be able to save more money on your insurance. If you’re retired, you may also qualify for a premium reduction. At isure, we’ll give you transparent and objective advice. We take pride in being able to offer you the best rates possible, and will always look out for your best interests. This is why it is always crucial to ask your insurance broker or provider about additional discounts that may apply to you.
5. Pay annually
If you’re able to, paying your premiums in one yearly payment is a great insurance tip. This avoids financing or administration fees. Many insurance companies will offer you discounts when you pay annually, since it’s less work for the insurance companies to process your payments. Another bonus with this is not having to worry about completing your monthly payments. However, it is always important to make sure you can afford a one-time payment, as it is usually an expensive lump sum. Additionally, if you decide at some point during the year to cancel your existing policy and switch to another insurer, you may be hit with an administration fee amongst others.
6. Consider the insurance conditions when shopping for a new home
Many people are not aware of this insurance tip, but the condition of your home impacts your insurance premium. For example, brand new homes are often less expensive to insure than older ones. This is because the heating, plumbing, and electrical systems are in top condition. On the other hand, an older home with lots of issues will come with a pricier insurance premium. Location is also an important factor! Buying a home in a low-crime area, near fire stations or near regular water sources, impacts your premiums. If you’re in the process of purchasing a new home, always keep in mind the insurance conditions.
7. Re-examine your policy
While it’s definitely best to be prepared, consider which coverage is truly the best fit for your home. For example, do you live near a large body of water that is prone to flooding? Definitely make sure to have water damage and flood coverage. On the flip side, if you don’t own a large amount of expensive jewelry or art, you may not need any valuables coverage. Having an insurance policy that is catered especially for you is the ultimate insurance tip.
To avoid over-insuring without compromising coverage, speak with one of our isure brokers to determine which coverage is best for your home. Let’s see how we can help you save money on home insurance! Request a quote or contact us at any time.