As a homeowner, you’ve probably noticed that your homeowners insurance premiums have increased over time. This is completely common and to be expected, but that doesn’t mean you can’t take some steps to lower these costs. Take these seven suggestions to heart if you’re looking for ways to save some money on your premiums.
1. Ask about discounts
This may seem like an obvious recommendation, but like the saying goes “You don’t know until you try.” By making a simple inquiry to your current insurance company, you may find out you’re eligible for certain discounts that you would have otherwise not have received. It doesn’t hurt to ask!
2. Shop around, then stick around
Do your best to consider every option. Research as many companies as possible to narrow down the companies you’d want to be insured by, then request quotes from the ones who have made the cut. Once you have your policy in place, keep it! Many insurance companies will offer discounts after a certain number of years. Take advantage and let your policy mature for several years before you consider switching.
3. Maintain or improve your credit score
If your credit score is low, insurance companies may offer you a higher rate. Keep an eye on your credit score and make sure you’re doing your best to keep it in good standing or take steps to improve it.
4. Increase your deductible
If you have a low deductible, raising it is an easy way to save a drastic amount on your premiums. You’ll have to pay more out-of-pocket if you have to file a claim, but you may be able to save up to 25% on your premiums.
5. Review your coverage yearly
Take some time to look over exactly what your coverage includes, and remove or decrease the amount of coverage accordingly. Is the land value included in the policy? That can be removed. Did the home’s value decrease? The total loss coverage can decrease, as well. There’s no need to insure your home for more than it’s actually worth.
6. Bundle your policies
You may receive a substantial discount if you have multiple policies through the same company. Consider bundling your auto, jewelry, or boat insurance policies with your homeowners policy for a bundled policy discount. Plus, save yourself the administrative hassle of remembering multiple account passwords and payment due dates by having all of your policies with one company!
7. Upgrade your home to be more disaster resistant and secure
Ask your insurer if they offer discounts for upgrades to your home, such as smoke detectors, carbon monoxide detectors, fire extinguishers, deadbolts, and alarm system. In many cases, these upgrades are in your best interest to do anyway, and the discounts you may receive are simply a bonus!
Try these options if you feel your premiums are too high. With a little bit of effort, you can start saving money!