If you are a homeowner, you must be carrying some homeowner’s insurance. It’s not just something you have to do but it makes sense to protect your home. But having homeowner’s insurance doesn’t mean you just have to pay what the insurance company says. There are certain things you can do to lower the cost of your homeowner’s insurance.
As with most insurance, you can increase your deductible. When you increase your deductible, your premiums will come down, but you will have to come up with more out of pocket if you ever file a claim. Having to file a claim is something nobody wants to do, and in fact it is a rare occurrence. So, if you want to take the chance, raise your deductible, it’s up to you.
Before you buy a home, location is a good consideration. Buying a home in a known flood area will bring up your insurance rate. Instead, look in communities with professional fire departments. If you decide on a house, check to see if there’s a claim history associated with the house.
One sure way of paying more for insurance is making a lot of claims. Insurance is there to protect you when there is a catastrophic loss. Don’t file claims every time something small happens, it will only drive up the cost of your insurance.
Check to see if there’s anything you can do to reinforce or modernize your home. Anything that can help safeguard your home against a disaster or fire will reduce your insurance costs. The same goes for security systems and burglar alarms.
Check to see if your land is being insured. Some insurance companies will insure the land your home sits on. There is little chance that something will happen to your land that will require replacement or repair. You may be getting charged for this.
Check with your agent to make sure you’re paying the right amount.