Over time, weather damage can wreak havoc on your home and cost you thousands of dollars in repairs. For this reason, as well as, many others, it’s a great idea to make sure that you’re properly insured as a homeowner. Read these informative tips to find out how to get the best insurance.
No mortgage? Lower insurance rates! Granted, this is not something that can be done overnight, but it is something to think about in the long run. Many insurers offer significant savings for homeowners who do not owe anything. Generally, their belief is that if the home is yours, you are bound to take better care of it.
You can lower the cost of your homeowner’s insurance by doing two things. Take the first step and install a good security system. Your annual premium could potentially be reduced by 5%. Bear in mind that you must provide the insurance company with proof that you have a working security system, such as a contract or bill. Second, install smoke alarms throughout your home. Doing this can save up to 10% every year on your premiums.
Pay off any mortgages associated with the residence and a percentage of your yearly premium will vanish. If you are in the position to pay off your mortgage, it is a good idea to do so. They usually think that if you own the house outright, you’ll take better care of it.
Always purchase flood insurance for your home. You may have noticed that flood insurance is an extra to a traditional home policy, but not all home owners are aware of this. Losing your home and belongings to unforeseen flooding can be a nightmare, which is why it’s important that your insurance policy covers this.
Homeowners who pay off their mortgages faster will see less costly insurance sooner. Insurance companies believe that if you own your home outright or have a greater stake in it’s equity, you will be more likely to take good care of it and keep it’s value higher. Try to increase the amount you pay each month to pay it off sooner.
Paying off your mortgage may not be easy, but doing so can make your homeowner’s insurance premiums drop significantly. Insurance companies assume that people who own their houses outright are more likely to take good care of them, and so they will file fewer claims that the insurance company will have to pay.
Increase the number of smoke alarms in your home. The safer your home is, the less premium your insurance company will charge. When you install more detectors for carbon monoxide and smoke, you can easily convince your insurer that you have lowered the risk in your home.
You can save money on your homeowners insurance by providing proof that you have made your home a safer place through the installation of a number of safety-related features. Install smoke detectors, fire extinguishers, deadbolt locks, burglar alarms, and/or fire alarms, and your insurer will likely offer you a preferred rate.
Value Items
There may have been changes to your neighborhood that could decrease the premiums that you pay for your home insurance. For example, your rates may be lower if you live within one hundred feet from a fire hydrant. Rates can also be affected by your proximity to a fire station. Check out local developments around your neighborhood and inform the insurance agency when a relevant change occurs.
If you have high-value items, they may not be covered completely by typical homeowner’s insurance. For example, expensive jewelry may need to be appraised, and then the insurer will issue a rider to cover the item in case it’s stolen or damaged. Make sure to mention high-value items to your agent, to make the process of filing a claim easier, should you need to do so.
When getting homeowners or renters insurance make sure you tell your insurance agent to add an addendum for flood and water damage. Most policies do not cover water damage unless it is added to the policy. Even if you don’t live in a flood zone, your home can suffer water damage from extreme weather and after a fire.
List expensive items separately on your insurance policy or add them as an endorsement in order to completely protect them. Typical homeowner’s policies cover personal possessions, though high-value things like electronics, jewelry or artwork may not be sufficiently covered under policy limits. In this case, you will need to add them in individually.
It’s important that you get the best possible insurance plan for your home. In the tips above, you have just learned how to save some great money on the best possibly policy for your home. Never neglect to get insurance because you never know when the worst might happen. You always need to stay protected.