As home insurance costs have been on the rise, homeowners are looking for ways to control their insurance costs. Going without insurance is not an option for most homeowners, so we continue to pay our overpriced policy each year. Therefore, I have found some ways to help homeowners learn how to control their insurance costs each year.
Ways to Control Your Home Insurance Cost:
Don’t just accept your insurance agent’s word that they are saving you all that is possible. You must look at your policy completely and ask questions. Let them explain each section of the policy. It’s their job and they are getting paid for it, so don’t hesitate to question everything you don’t understand.
Insurance deductibles are going up across the country. Don’t get caught up with a percentage deductible if you can avoid it. There are actually homeowners who own $500,000 home with a 5% deductible that would have them end up paying $25,000.00 if they have property damage. Try to stay with a set deductible.
If you are looking to you should look for a hip roof. The hip roof is one of the most slippery shapes, so in high winds and storms these roofs are not as prone to damage. If you own a home with a hip roof, let your agent know and see if they offer a discount for that.
Your homes location can drive up the price of homeowners insurance if you are in a flood prone area. Other factors that affect homeowners insurance include earthquake areas where you should have a wood frame home, and high wind areas where you should have a brick or stone home to save on your insurance.
Don’t file a claim unless it is a true emergency. Insurance was meant for emergency purposes only. For example: a tree crashing through your roof, a car driving through your home, a pipe or water heater flooding your home. Insurance is not meant for small projects that are under $1,500. And don’t make multiple claims; they will kick you off their insurance. And you will have trouble getting on with another agency.
Most insurance companies will offer you a discount if you add multiple policies like home and auto. You can then add an umbrella policy for extra protection.
If you don’t need flood insurance or earthquake coverage, don’t buy it. Don’t add in jewelry or collectibles if they are truly not valuable.
Whatever you do, just be smart about buying your homeowners insurance. And look over your policy thoroughly.