If you own a home, homeowners insurance is an absolute necessity. But have you ever stopped to consider that you may be paying more for it than you need to? There are a number of ways to get a break on your homeowner's policy premium, but the insurance companies can't always be trusted to tell you about them. Here are just a few:
- Roofing strength – If you live in an area where windy weather is a concern (such as those states that may normally be affected by hurricanes), this is a major issue to consider. A stronger your roof with a higher wind rating can lower your policy premium. Contact your insurance company and ask them about the breakdown of rates for roofing reinforcement. Then look into what it would take (and its feasibility) to make your roof stronger.
- A safe yard – Homeowners insurance policies typically provide coverage if other people are injured while at your home or on your property. For this reason, they take a close look at things in and around your yard for issues that could become problems. For instance, if there's a pothole in your driveway or dead trees on the property that look like they're just waiting to fall, such items may have a negative impact on your homeowners insurance rates. If these problems were apparent when you first purchased the policy but you've since repaired them, make sure to notify your insurance agent of the improvements and ask if they warrant a decrease in rates.
- Auto-pay – An often overlooked and underrated way to save some money on your insurance is to have the monthly premium payment automatically taken out of your bank account. Many people use electronic auto-pay for all type of bills, but neglect it when it comes to their property insurance. Many insurance companies will reward you with a premium discount for setting up this method of payment (and not just for homeowner's coverage, either).
- As always, shop around – Whether you're purchasing your first homeowner's policy or have had coverage for many years, you should be shopping around to see if there's a better deal to be had. Look for reputable homeowners insurance companies (you can check their track record with the Better Business Bureau) and give them all the necessary information that relates to your home. This will enable them to furnish you a more reliable and (hopefully) competitive quote to compare. If you're a first-time home buyer, contact at least five different sources (whether live agents or over the Web), but be sure to compare rates on the same types and amounts of coverage. If you already have insurance, periodically check the Internet for better plans and prices.
Having homeowners insurance is a sure way to know that you'll be able to pick up the pieces again if a disaster should befall your property, and it's the only way for most. With just a little bit time and research, you may be able to save a significant amount of money on this necessary expense.
