The price of homeowners insurance is one of those unavoidable expenses that come along with owning a house. How much you pay for coverage will depend on a variety of factors such as the location and age of your home, but the average premium costs over $1,000. Although it can feel like a big expense, you know that you will be reimbursed if something happens to your most valuable investment. In addition, your mortgage company may require that you keep a certain level of homeowners insurance in place. To help cut the cost of your home insurance, take a look at these new and updated tips.
Talk to your insurance agent every year
If you’re not regularly checking your insurance coverage, it’s time to start. Before you start looking for ways to cut insurance costs, it’s important to know what your policy covers. Even though insurers have tried to make contracts easy to digest, those thick documents can be confusing. Have your insurance agent walk you through the policy to understand what is and is not covered. You may find that you can adjust coverage to suit your current needs and potentially lower your costs.
Raise your deductible
Typically, the higher your deductible, the lower your insurance premiums. When choosing your premium amount, consider the cost of repairs and other issues that could prompt you to file a home insurance claim. While many people have a $1,000 deductible, they wouldn’t file a claim for $1,000 worth of damage. If you’re not going to file a claim for that amount, then you should consider raising your deductible. That said, you shouldn’t opt for a deductible that’s higher than what you can afford out of pocket.
Ask for discounts
Insurers offer a variety of discounts to homeowners, such as paying your annual premium in full upfront. A great way to save money is to ask your insurer if you are eligible for any discounts. If you’ve upgraded your roof in the past year or made energy-efficient switches, ask your agent if you are entitled to additional money off. A common way to save money is to bundle your home and auto insurance policies and cut the costs of them both. Insurers often reward those who take out more than one policy with them with a generous discount.
Your insurer will base your premium on how secure your property is, so take steps to bolster security, such as installing approved locks on your doors and windows, fitting a burglar alarm, purchasing a safe, and installing security lighting. If you have just moved into a new home, get the locks changed as you can’t be sure who still has a key.
Think twice before claiming
Take a moment to carefully consider whether you should file a home insurance claim. If it’s a minor issue that your emergency fund can cover, it might be best to get it fixed yourself. Making a claim will drive up the cost of future cover. Homeowners who file frequent claims will pay more for insurance than those who do not.
Shop around every few years
In insurance, loyalty is rarely rewarded. For that reason, you should shop around every few years to ensure you’re still getting a good deal. Once you have a firm understanding of your current policy, periodically check in with other insurers to see if they are offering a better rate for the same level of coverage. Different companies have different underwriting guidelines, and different parameters when they set rates. If you find a lower rate, see if your current insurer can match or beat it.
Home insurance doesn’t have to be expensive. To find the best home insurance policy to fit your needs, contact Bell Black Insurance today! We serve all insurance needs for those in Idaho Falls, Island Park, Driggs, Victor, Swan Valley, Ashton, and the neighboring communities in Idaho, as well as Jackson and Star Valley in Wyoming.