There are some simple steps you can take to lower your home insurance costs.
Shop around
You can’t buy a home without purchasing insurance first, but that doesn’t mean you’re stuck with the insurance provider you’re currently with. Make sure you compare different companies and find the best deal. Check consumer guides, ask friends and neighbors and search online insurance quote services, which will give you an idea of price ranges and tell you which companies have the lowest prices.
Bundle your insurance
Many insurance companies will offer discounts if you package multiple policies, such as your car, boat and home insurance. On average, one can save 5 to 15 percent.
Safety first
Installing carbon monoxide detectors, smoke detectors and alarm systems can reduce your monthly bill, but you need to let your insurance agent know about any changes you make. Also, ask your insurance agent what steps you can take to make your home more resistant to natural disasters. You may be able to save on your premiums by adding storm shutters, reinforcing your roof or buying stronger roofing materials.
Increase your deductible
By raising your deductible, your monthly costs can decrease as much as 5 to 10 percent.
Rethink value
It’s not necessary to insure a house for the amount it was purchased for. Even if your house were to completely burn down, you’d still have the land, so consider that when deciding the total amount you need to insure. A good insurance agent will be able to help you calculate the proper replacement cost of the house.
It’s also wise to talk with your real estate agent and see if they have any thoughts on how to lower the cost.