Homeowners insurance is essential for protecting your home and possessions, but premiums can be expensive. If you want to save on insurance, there are several options to consider.
One way to lower premiums is to compare quotes from multiple providers, making sure to get quotes for the same type and level of coverage. Bundling multiple policies from the same insurer, such as home and auto insurance, can also save money and make it easier to manage coverage.
Some insurance companies offer loyalty discounts to long-term customers, so you may be able to save by staying with the same insurer. You can also lower premiums by increasing the deductible on your policy or installing safety features in your home, such as a home alarm system or smoke detectors.
Making home improvements that reduce the risk of damage from covered events, such as replacing plumbing or upgrading the heating or electrical system, can also lower premiums, especially for older homes.
Your credit score and credit report may be used by insurers to assess the risk of insuring you, so improving your credit history can potentially lower your rates. When choosing homeowners insurance, you can also select between replacement value and market value insurance and decide on the maximum amount of property and liability protection you want.
However, lowering coverage limits can increase the risk to your assets if you don’t have enough money to replace your possessions or respond to a lawsuit.
You may also be able to lower premiums by purchasing a separate flood insurance policy or by living in a low-risk location.
Finally, consider calling your insurer annually to ask about any discounts you may be eligible for that could lower your premiums.
By following the tips in this article, you can save money on homeowners insurance and ensure your premiums are as affordable as possible. This can be helpful for budgeting and paying off debt.