How to Save Money on Homeowners Insurance

In today’s economy, many people are looking for ways to save money on their expenses, and one of the big costs is homeowner’s insurance. This is particularly true as homeowner’s insurance costs continue to rise in most places throughout the country. Here are some ways people can decrease their homeowner’s insurance costs:.

1. Increase deductibles. Homeowner’s insurance isn’t designed to cover the small things. It’s better used for catastrophic events, so increasing deductibles can save money on premiums and will probably still provide suitable coverage in case of a real emergency.

2. Location plays a huge role in homeowner’s insurance costs. For a buyer on the market for a new home, it’s best to choose areas that aren’t close to regions susceptible to floods, earthquakes, etc.

3. Don’t use insurance for small claims. This is going to increase insurance costs. Instead, rely on homeowner’s insurance for the really big stuff, and you’ll end up paying less in premiums.

4. Consider combining several insurance policies with one provider. For example, combine auto and homeowner’s insurance for significant savings.

5. Make smart home improvements. Not only can some home improvements, like roof strapping, improve a home’s value, but they can lower insurance costs.

6. Installing a top home alarm system is a great way to cut homeowner’s insurance premiums. Contact a home alarm company to find a good value on a system. Many alarm companies offer numerous discounts and special pricing deals. Not only will an alarm system reduce homeowner’s insurance costs, but it can also be a potentially life-saving addition to a home. Installing a security system can actually save as much as 15 to 20 percent on the cost of homeowner’s insurance.

7. Understand the importance credit rating plays in the cost of homeowner’s insurance. Many policy holders don’t know that a less than perfect credit score can mean higher premiums, so clean up that credit before shopping for a policy.

8. Assess policy coverage on a yearly basis. There may be things covered in a homeowner’s policy that no longer hold the same value, so eliminating coverage for these items can save a lot of money.

9. Shop around. Consumers shouldn’t just go with the first company they contact. Instead, compare rates and use comparisons as leverage with other companies to negotiate rates.

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