Protect Your Investment Through Home Owner’s Insurance

FUN FACT! Paying your mortgage off is one good way to decrease the premium on your home’s insurance. Your rates will go down significantly if insurance companies see you have more stake in your home.

Are you aware that your personal belongings are also protected by your home owner’s insurance policy? If you own expensive artwork, electronics or other items, good insurance coverage can protect their value. Before going ahead and purchasing a policy, make sure you consider the tips in this article.

FUN FACT! In order to lower your policy rates, buy a solid alarm system. Your home will be less likely to be robbed.

To get a reduction on your homeowner’s insurance premiums, try purchasing a quality alarm system. That will deter break-ins. After reducing the risk of robbery, your insurer will lower your price. You will have to provide proof of a security system to get a lower rate.

FUN FACT! When preparing an insurance claim, always solicit price quotations from reputable area contractors prior to negotiating with your claims adjuster. Retain all receipts for any emergency work done.

Flood insurance is always a great idea. Roughly 25% of federal disaster claims due to floods originate in areas not designated as flood risks. You might also get a big discount on insurance should you reside in a low-to-medium risk neighborhood.

FUN FACT! There are many things that can cause your home to lose value. One of those things is fire.

You can lower your insurance premiums by installing tracking devices and security systems. Companies will only insure a home if it’s safe, meaning that if you increase safety, you’ll be better insured. Tell your insurance provider as soon as you put in the safety features. They might immediately lower your premiums.

Security System

FUN FACT! Putting in alarms can cut your home insurance premiums. You’ll have a better chance of getting a lower rate if the insurance company knows you have taken these extra security precautions.

A security system can help save you much money concerning your insurance costs. You’ll get a substantial discount and substantial peace of mind at the same time.` With insurance the more you can do to preserve your investment, the greater the savings. Your savings on insurance premiums will usually pay for most, if not all, of your security system’s cost.

FUN FACT! If you live with roommates, go over your policy to find out whether or not their possessions are covered too. Some policies cover all possessions in the home, and others just cover yours.

Setting up a security network around the home is advised if you are considering homeowner’s insurance. This can decrease premiums by up to 5% on a yearly basis. Ensure your installed security system is connected to either a central or police station so any attempted burglaries, or actual burglaries, will be documented for your insurance provider.

FUN FACT! When renting a home or apartment, remember to include considerations for your safety. Fire detectors and smoke alarms are certain things that you will want to add to your home.

research the financial health of the company that you’re considering getting insurance from. You must make sure they have the cash to pay your claim if you have to file one. You should do this on a quarterly basis

FUN FACT! Fire alarms and smoke detectors can reduce your homeowner’s premium up to about 10 percent a year. The reduction is due to the added security against fire.

If you live in an earthquake-prone area, earthquake insurance may be a smart investment. Earthquakes can cause massive damage to your home, and if you are not covered you could end up paying for these repairs out of your pocket.

FUN FACT! If you can, pay your mortgage so you can save for your homeowner’s insurance. When an individual owns their home outright, rather than paying a mortgage each month, insurance companies view them as clients who are more likely to take care of their home.

Spend some money on fire and smoke alarms for your house to save on your insurance premiums. This keeps you safe in case of a fire and also allows insurers to reduce your premiums. Even older alarm systems can protect your family and save you money.

Additional Discounts

FUN FACT! Consider getting special earthquake coverage if you live in an area where such a policy is warranted. The reason is that if an earthquake happens and you lack such coverage, you might end up having to bear the cost of repairs yourself.

Buy multiple products from one insurer in order to receive additional discounts. The majority of insurance providers provide discounts to customers who have multiple forms of insurance through them. In addition to a discount on your homeowner’s insurance policy if you have several insurance policies with a single company, you might be eligible for additional discounts on other policies such as your auto insurance policy.

FUN FACT! Think carefully about the cost of insurance before remodeling your home. If you are adding space to your home, you want to call your insurance company and let them know the details.

When you add any structures onto your home, the materials used to make the addition can impact your homeowner’s insurance rates. Steel and concrete can help to lower premium costs, but it depends on the insurance company you insure with. Because these stronger materials can withstand the ravages of water, freezing temperatures and aging, it will cost less to cover them.

FUN FACT! Raising the amount of your deductible is a great way to lower insurance premiums. You have to do research, because small claims can cost you money and you have to pay them, such as leaky pipe damage and broken windows.

First time home buyers (and indeed all home buyers) are wise to establish a mortgage the sets aside a twelfth of the amount of homeowners insurance every month. This should be held in excrow. This avoids you having to find extra money to pay your premiums. The money will be there to begin with.

FUN FACT! When choosing a new insurance company, look for one that can provide multiple policy types, such as homeowner’s, vehicle and life insurance. Obtaining many different policies from the same insurance company can yield yearly premium savings in the hundreds of dollars.

Be sure your home owner’s insurance coverage is sufficient enough to replace your actual home should something happen. It would be terrible if your home couldn’t be replaced due to the fact that you had insufficient coverage on your property. Remember that the cost of building materials is constantly changing.

FUN FACT! When you buy a house, get your mortgage payments to include one month’s worth of homeowner’s insurance payments that can be placed into escrow. This avoids having to forage for pennies and keep paying the premium, as it will be in your escrow account.

Contact your insurance company to see if there are any discounts if you don’t smoke. You’ll need to make sure visitors don’t smoke when they come over. Many companies offer this type of discount, but you might have to inquire about it. The discount can be from 5% to up to 15%.

Higher Deductible

FUN FACT! It’s important to have enough homeowner’s insurance coverage to replace your property and its contents if disaster should impact your life. A disaster could happen at any time and replacing your home immediately will be critical.

You can reduce your total premium by picking a higher deductible. A higher deductible will help to reduce your monthly insurance costs. Thus, you will need to spend your own money to handle small amounts of damage, though the money you save in premium costs is likely to offset such expenditures.

FUN FACT! Opt for an annual premium payment. Making payments every month or every quarter may cause the insurance company to charge interest rates.

Insurance premiums rise in line with the value of the coverage. However, that doesn’t mean that you can’t drive those prices down tremendously by using the tips we covered in the article above. Use the information here, and you’ll be poised for success.