In a world full of rising costs, it is no surprise that you are looking for ways to save money anywhere you can. Homeowners insurance is an important thing to have to ensure your assets are protected, but like everything else it costs. We want to help you understand the importance of homeowners insurance while providing tips and tricks on how to save money on your premium. Follow along for 5 ways you can save today on your insurance and home insurance.
What is Homeowners Insurance?
When it comes to your home, home insurance companies are likely to cover losses and damages that occur to your home and the assets within. Depending on your coverage and monthly premium, homeowners insurance typically cover risks like fire, theft, vandalism, and certain natural disasters, but often exclude events like floods and earthquakes, which require separate policies. The specifics of coverage, exclusions, and limits can vary depending on the policy and insurer. Depending on your location and size of home, there are some ways that you, as a homeowner, could decrease your monthly premium.
1. Bundle, Bundle, Bundle
There are many different types of insurance, some more necessary than others such as auto insurance, life insurance, and home insurance. Did you know that bundling your insurance policies through the same insurance company can save you anywhere from 5%-15%? To make the most of your insurance bundle, be sure to contact us to go over the premium costs.
2. Maintaining a Good Credit Score
It shouldn’t come as a surprise that having a good credit score can positively affect your home insurance premium. Having a higher credit score reflects on you as you pay your bills on time, and reduce outstanding debt. This will result in insurance companies being able to lower your insurance rates because you will have a lower risk. Just as when shopping for a car, or home, it is recommended that you maintain a good credit score of 670 or higher.
3. Reducing the Risk of Filing a Claim
When you file an insurance claim, you will run the risk of your premium being raised. You can keep a low premium by taking proactive and precautionary measures to protect your home from disasters. Things like having a smoke detector, installing home security, etc. Most home insurance companies will reward you with a lower cost for having additional home security features.
4. Ask about Lesser Known Discounts
You may never be aware of additional discounts unless you ask. Some companies reward their clients for being on monthly autopay, if no one on the plan are smokers, working in specific careers, etc. Other discounts can benefit retirees, long-term policyholders, or members of certain organizations. Contact us today to inquire about all available discounts and take advantage of any that apply to you.
5. Higher Deductible
When it comes to insurance, having a higher deductible will lower your insurance costs. A deductible is the amount of money you agree to pay out of pocket before your insurance coverage kicks in to cover a claim. In the context of homeowners insurance, if you file a claim for damage or loss, you are responsible for paying the deductible amount, and your insurance company will cover the remaining costs up to your policy limit. With a higher deductible you have a lower monthly premium, however in the case of an emergency or disaster, you could be paying more out-of-pocket for the claim.
Managing your insurance policies wisely can lead to significant savings and benefits. By bundling your insurance, maintaining a good credit score, reducing the risk of filing a claim, asking about lesser-known discounts, and considering a higher deductible, you can optimize your insurance costs and coverage. Remember, it’s always beneficial to review your options and consult with your insurance provider to ensure you are maximizing your savings and getting the best possible protection for your needs
If you’ve been looking for new home insurance, you’ve come to the right place. Our experienced team of agents at Arthur Blake Insurance are awaiting to assist you! Our agents in Plano, TX can help answer all of your questions and ensure you receive the best premium coverage. Contact our agency here or call (972) 954-6383 to speak with a local agent today. We guarantee that home insurance will be a positive investment for you and your family.