Keep in mind that there are some things that can impact your homeowner’s policy that you can’t control (such as the claims that prior owners have made on it), but there are some things you can do to try to get a more budget-friendly rate:
1. Bundle your home and auto insurance policies
Many insurers will offer a discount if you use them for both your auto and home insurance policies.
This can save you, on average, as much as 10 to 20 percent, (sometimes more or less), depending on your insurance company.
2. Make your home more secure
Using remediation measures to protect your home from threats such as fire, burglary, and storms can help lower your insurance bill.
For example, storm shutters, roofing that’s resistant to impacts, window locks, deadbolts and/or even a security system could reduce your rate.
Why?
These protective measures can reduce the chances of you filing a claim, which means your insurance company will be less likely to increase your rates when your policy renews.
Before spending thousands of dollars on expensive upgrades, check with your insurer to see just how much you could save.
3. Ask about less obvious discounts
In addition to bundling and safety improvements, some insurers offer different kinds of discounts, such as:
- ⬥ Lower rates when nobody in the home smokes
- ⬥ A discount if you’ve just bought your home
- ⬥ Discount if you pay your bill by automatic bank payments
Ask your insurance agent or company about all of the extra perks they offer to see what could apply to your situation.
4. Raise your deductible
If your insurance deductible is low, see if raising it could lower your insurance premiums.
By setting money aside to meet the deductible in the event of a claim you could save thousands of dollars over the life of the policy.
5. Improve your credit score
Like it or not, your credit scores do play a role in the rate calculations that many insurers use.
If your FICO score is below 630 try to improve your credit by fixing any errors, paying your bills on time and paying off any credit cards that are near their max.
6. Are you paying for unnecessary personal property coverage?
Consider what you own.
If you’ve sold any personal items that were expensive such as jewelry or antiques make sure you’re not still carrying insurance on them.
7. Shop around
Insurance companies are competitive, so take advantage of this and shop around for different rates.
Finally, ask about loyalty discounts with your current insurer to see if it’s really worth making a switch. (Hint: if you’ve filed little to no claims chances are good they will try hard to keep you)
