Homeowners Insurance Savings

Homeowners insurance is one of those things that you want to have but never want to use. It is also an area where careful consideration can mean saving money.

These are some of the steps that a federal agency recommends to improve the price that you pay each month for your homeowners insurance.  

• Shop – Get quotes from agents, online, and the Internet. Ask questions. Find out how each company representative would go about lowering costs.
• Raise Your Deductible – This can be risky, by exposing you to a higher payout in the event of a policy claim, but it can also lower your cost by 25 percent.  Be aware of your separate deductibles for specific disasters in disaster-prone areas.
• Do not add extra land value when you value your house for insurance purposes.
• Bundle – See if you can get a cheaper rate by purchasing multiple policies from the same insurer. 
• Disaster-proof your home – Ask an agent what steps you can take to make your home more disaster-resistant and thereby reduce your premiums.
• Improve security – Add sprinkler systems, dead-bolt locks, smoke detectors, burglar alarms, etc. These additions can result in discounts. 
• Re-value your possessions every year – Don’t pay to insure things you no longer have. Particularly useful if you have sold property to cover debt.
• Shop private – If you have high-risk area insurance from the government, comparison shop with private companies to see what they offer.

Smart shopping can mean smart saving on your home. Following these steps can be one way that to keep your house from becoming a disaster of a financial kind.