5 Useful Tips For Minimizing Homeowners Insurance Costs
While homeowners’ insurance can be very expensive, there is no reason why a homeowner should not investigate every possible avenue for reducing the costs. Did you know that there a variety of simple ways to cut down on your insurance premiums each month or year? If not, be sure to read on, so that you can learn more about these five useful tips for cutting down on homeowners’ insurance costs.
1. Paying Off Your Mortgage
Some might be shaking their head and wondering why this is even being suggested, while others are already well on their way to achieving this goal. Paying off your mortgage may seem like a difficult concept, but by doing so, you guarantee yourself a lower homeowners’ insurance premium. Why? For one simple reason: the insurance company is much more likely to trust a homeowner who owns their property outright to take better care of it.
2. Review Your Policy Annually
A homeowner should start a yearly tradition of shopping around and comparing other homeowners insurance florida policies to their own. It is also important to perform a thorough review of your own policy, so that you can uncover any changes that may affect the price of your monthly or yearly premium. In most instances, the policy provider is not going to have knowledge of the changes you’ve made to your home that will increase its safety, so it is your responsibility to notify the company and provide proof.
3. Consider Your Alterations Carefully
Let’s say you’ve decided to build an addition to the home. You may or may not be aware of the fact that certain materials are considered to be more flammable, which can adversely affect your premium. If the structure that is being added to the home has been crafted from wood, it will cost more to insure than a cement or steel structure.
4. Combine Your Policies
Instead of buying several different policies from a variety of companies, speak to your primary insurer about the feasibility of combining policies. By purchasing your health or auto insurance from the same company that provides your homeowners’ insurance, you just might be able to save yourself a serious bundle (up to 10 percent).
5. Equip The Premises With Security Systems and Smoke Alarms
A home that has been equipped with its very own security systems and smoke alarms will allow the owner to pay a much lower premium than a home that has not. If the alarm is connected directly to the local police station, a homeowner can save as much as 5 percent on their usual costs. Providing proof of a security system, as well as functioning smoke alarms can help a homeowner to realize savings of over 10 percent.