Last Updated on March 29, 2021
All homeowners know exactly the same thing: home insurance has a high cost on their monthly expenses. And unfortunately, it is something that people just can’t avoid. If you buy a house, home insurance comes along. Perhaps this subject needs to be debated more often because it easily costs you more money than it should. Maybe you choose the wrong insurance company, maybe you choose the right one but the wrong policy, maybe you’re doing things to your house – or not doing – that makes premiums increase each year. Truth is, there is a lot you can do to pay less for your home insurance. Some are easy, others may require a little bit of research or even investment. Some insurance providers can even offer some incentives and better deals, and you’re not even aware of them. If you want to cut a bit on your expenses, continue reading this article because I’ll tell you 8 ways to lower your homeowners’ insurance costs.
1. Raise Your Deductible
Do you know what is “insurance deductible”? The deductible is the money you have to pay everytime you make a claim. And the higher it is, the lower your homeowners insurance will be. Mark Friedlander, from the Insurance Information Institute, gave a simple example: if you have a $500 deductible and increase it to $1000, you can save up to 20%! This can reflect a huge cut on your expenses, but it comes with a not so good side. If you decide to do this, you need to be sure that you can save enough money in case you need to cover a big unexpected expense when you make that – now more expensive – claim.
2. Having A More Secure Home Will Reduce The Costs
According to Mark Friedlander, there are a couple of simple things regarding your home security that can help you lower home insurance costs. For example, installing a smoke alarm, deadbolt locks, and a burglar alarm can make you save up to 5%. It’s not much, I know, but if you go one step further and install more high-tech security measures, such as a 24h monitored burglar and fire alarm and a comprehensive sprinkler system, it can raise your insurance discount up to 20%!
