HOW MUCH? - homeowner insurance

Lowering homeowner insurance premiums through discounts and other ways.

   
 

For most people their home is the biggest financial asset they own, and it should be well protected through an appropriate insurance policy.

Likewise, insurance on your home is a major requirement if you are in the process of paying off a home loan. Homeowner's insurance is required, but the insurance policy covering your home should match your particular needs.

After careful consideration, you may discover that making a few simple changes to your policy may have the effect of lowering your monthly premium rates. 

Raising homeowner insurance deductible.

The deductible is the amount you have to pay, before the insurance company pays its share. Home owner insurance is more expensive when the deductible is low, so raising it will always lower the premiums. However, the deductible should never be more than you can afford to pay. It is important to remember that most home insurance policies will have different deductibles for specific claims. Wind and hail storms, earthquakes, floods and other natural disasters are separate parts of your policy. It will be examined for the likelihood of these disasters, and then matched with the appropriate deductible.

Getting multi insurance discounts.

Buying home owner insurance and auto insurance from the same company always saves money. Some insurers even offer deeper discounts, if you get other policies like umbrella or life insurance with them. If you already have these products, (or need them in the near future), consider switching them to one company. Don’t overlook other discounts you might qualify for like membership in professional organizations or being retired. Many insurance companies will greatly reward you if you stay with them for a long time, keeping all your policies with them.

The cost of rebuilding your home.

It is important to remember that the cost of rebuilding your home is less than what you paid for it (or what you owe to the mortgage company). This is the insurance amount you need.

Making your home resistant to natural disasters and more secure.

An insurance agent can detail all the things you can do to make your home more resistant to natural disasters, which will lower insurance premiums. The following can not only lower your home owner insurance rate, but will also add value to the property, and make it nicer to live in:

Home Property Insurance
© iStockphoto.com - bluestocking

  • reinforcing roofs with stronger roofing materials.
  • modernizing heating, plumbing and electrical systems, which lowers the likelihood of fire and water damage.
  • earthquake retrofitting.
  • installing insurance approved fire and burglar alarms.
  • installing deadbolt locks and fire detectors. 

Good credit history will keep insurance premiums low.

Try to maintain a good credit history, since more and more insurance companies are discovering a direct correlation between a credit score and the number of claims filed.

See also: home refinancing, comparing home loans, title insurance

Related topics: homeowner insurance guide

 

 

 

Site Map | About Us | Legal Disclaimer & Privacy Policy | Related Links | Contact Us
How Much?
Copyright © 2005-2015 www.HowMuchAnswers.com

Cookies Policy: This site uses cookies from Google to deliver its services, to personalize ads and to analyze traffic. Information about your use of this site is shared with Google. By using this site, you agree to its use of cookies. Learn More