Top Ways To Save On Homeowners Insurance

Top Ways To Save On Homeowners Insurance
In Florida, it is not required by law to purchase homeowners insurance, but it usually is required by your mortgage lender – after all, they want to protect their investment (and so should you!)
There are also many specific benefits to having homeowners insurance, such as protecting against out of pocket expenses for home repairs and restoration following a fire, storm damage, or other covered events. Plus, standard homeowners insurance includes limited liability coverage, detached structures coverage, personal property protection, and loss of use coverage.

All this says much for the necessity and value of the product, but nonetheless, people want to save as much as possible on their home insurance policy, while still holding sufficient cover. That’s only natural. But what are the best ways to save?

Here are the top no-hassle ways you can save significantly on your net homeowners insurance policy.

1. Shop Around, Compare Quotes
What you pay for homeowners insurance from one insurer isn’t necessarily what you would pay somewhere else. This is a very competitive market, after all, and consumers stand to benefit significantly by shopping around and comparing quotes.

Different companies offer different discounts, and you don’t know which ones you will qualify for until you ask. Plus, prices are changing constantly in the insurance market, and you may be able to find a better deal this year even if you settled for a less-than-ideal homeowners policy in years past.

2. Bundle To Save!
Typically, you can save quite a bit per month by bundling your auto, boat, life, health or other insurance types under the same umbrella company.

In some cases, you can save 10%, 20%, or more by using this bundle-up strategy. In fact, you save on all the insurance policies included in the package and not just on the home insurance part.

3. Have a Home Inspection Done
Getting a professional home inspection done is another way you could potentially save money on your monthly homeowners insurance premiums.

There are many types of home inspections, the 4-point inspection which looks at your home’s HVAC, plumbing, electrical, and roofing systems being the most common. A full home inspection goes even further, and specialized inspections like those for wind mitigation can also help.

Showing your potential home insurer that your home is up to code, full of modern safety features, well built structurally, and unlikely to suffer from a home fire or major disaster often results in lower rates.

4. Boost Your Credit Score
Fair or not, many insurers take your credit score into account when setting their premium rates. Sometimes, there’s not much you can do about your current credit score, but other times, there may be.

If you can boost your credit rating before getting a new homeowners insurance policy – for example, by lowering debt, increasing available credit, paying all bills on time, paying any back-due or charged-off bills, or eliminating delinquent student loans via a new payment plan; this may positively affect your credit score and faster than you may think.

5. Get A Higher Deductible
Another easy way to reduce month by month premiums on home insurance is by simply raising your deductible.

You should make sure you have enough in the bank to pay for the deductible should you have to, but if you can afford this and you need to lower your payment, a higher deductible will quickly accomplish that.

6. Update Your Policy
Sometimes, people raise their coverage level for specific reasons that turn out to be temporary but then neglect to reduce back down to the original level.

For example, you may have scheduled property endorsements to provide extra coverage for expensive jewelry, antique furniture, or high-value art pieces. Maybe you’ve sold them but still haven’t reduced that coverage. Or, maybe you no longer have a dog and don’t need the extra liability cover or the coverage for a fence you don’t even need anymore.

7. Make Strategic Improvements
You don’t have to necessarily renovate your entire house to gain big discounts on homeowners insurance. There are key points that make the biggest difference, and you can focus just on these.

For example, brand new roofing sometimes cuts as much as 20% off premiums, while plumbing or electrical systems upgrades can potentially save you 10% to 15%.

8. Not Making Frequent Claims
Some insurers give you a major discount on monthly premiums if you have no claims over a period of time, frequently ten years.

There may sometimes be smaller discounts for shorter no-claims’ spans, and in any case, large and frequent claims may cause rates to eventually go up – so doing what you can to avoid them helps keep things low.

9. Don’t Smoke
Quitting smoking or not smoking to begin with is a plus too. What’s the connection? Smoking creates added home fire risk. Some insurers will give you 10% or more off just for not being a smoker.

10. Join a Homeowners Association
In many neighborhoods, you can get a 5% to 10% discount on homeowners insurance by belonging to a homeowners association. Of course, you may have to pay membership fees so this strategy only makes sense if you are interested in belonging to such an association anyway.

11. Bring Up Your Senior Status
Seniors, or those over 55 in some cases, may get automatic discounts on homeowners insurance with some insurers. This can be as high as a 10% discount, though it varies from company to company.

12. Install a Home Defense System
Taking steps to prevent theft and vandalism, if covered by your policy (which normally they are to a certain extent and under certain conditions,) can lower your premiums besides making your home a safer place to live. On the same note, living in a gated community can also be ground for a discount.

The dozen methods mentioned above can help you find ways to lower your homeowners insurance rates. Not every strategy will apply to each situation, but likely, several will apply. And you can talk to an insurance agent to find out about even more ways to save.

To learn more or to get a free, no-obligation quote on homeowners insurance or another insurance type, contact Flagler County Insurance Agency in Central Florida today!