Burglar-Proof a House to Decrease Insurance Costs?

Insurance costs directly relate to the liability exposure of your home. This means your rates increase if your assets are in danger, and they decrease if your assets are safe. Of course, this is a complicated formula to determine. Ultimately, though, taking steps to make your house a safer place will cut costs on your insurance in the future.

Building and Contents Insurance

There are a number of different types of insurance coverage lines you will need to have for your home. All 50 states mandate the use of home insurance. They require you carry property and liability coverage. Property coverage protects you if your home is damaged, and liability insurance covers you if your home damages someone else or someone else's property. You may also elect to have building and contents insurance. While property insurance may cover some of the contents of your home, you will need to ensure your valuables in the house are protected. Contents insurance covers items like expensive electronics, furniture, fixtures and other personal valuables, like jewelry.

If your home is in a dangerous area, contents insurance may be much higher. If you are in a safe area, you do not have to worry as much about burglar-proofing your home for discounts. Your insurance company will be able to tell you the risk factors they apply to your local neighborhood.

Premium Discounts

When your insurance company tells you a burglar system is a good investment, they mean it will reduce your premiums. Homes with alarm systems generally see lower insurance premiums. The same is true if you are in a gated community or a property with heavy surveillance, such as a condominium building. Alarm systems are not the only way to reduce your insurance premium for theft. You may also elect to improve features like your doors and windows. If you are in an older home, the lock systems you have may be very outdated. You will typically find advantages in energy savings by replacing doors and windows with new technology. Replacing garage doors will also reduce your premiums in most cases. These investments are costly, and they will only be worth the reductions if you intend on staying in the house for awhile. They will, however, also improve the sale price of your home.

Lower Claims & Other Benefits

Ultimately, when you have fewer claims, your insurance premium will also go down. If you have made claims due to theft in the past, it is especially important to take active steps toward preventing this in the future. By protecting your home from burglars, you will have fewer claims from this point forward.

Also, you will feel more protected at home, which is particularly important if you have children. If you do intend on moving, you may need to renegotiate your home insurance in the future. A low amount of claims is a great bargaining tool to take to the table when you apply for a new policy.

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