Wondering what really drives up your home insurance rates?
These 5 factors could be the reason you’re paying more for home insurance than your neighbor:
1. Low Deductible
In the insurance world, a higher deductible translates into a cheaper premium. For example, if you raise your deductible from $250 to $1,000, you could slash your premium by 30 percent or more, according to the Insurance Information Institute (III).
2. Missed Discounts
Discounts can save you a fortune on home insurance. For instance, purchasing your home and auto insurance from the same insurance carrier could save you up to 15 percent on both premiums. (III)
Discounts are also usually offered for:
•Smoke-free homes
•Loyal customers
•Senior homeowners
•Military families
3. Bad Credit Score
No, it’s not an urban legend: Many homeowners with poor credit are charged higher home insurance rates. While you can’t fix your credit score in the blink of an eye, it may make sense to shop around and see if another insurance company considers credit less important than your current one.
4. Lack of Security and Safety Features
Insurers love safe and secure homes, which is why they offer discounts for home security devices. You could save 20 percent by investing in these home safety features (III):
•Smoke alarms/fire-retardant roofing materials
•Deadbolt/window locks
•Security systems (especially those monitored by outside services)
•Emergency sprinkler systems
5. Overpriced Insurer
Shopping around for cheaper home insurance is the absolute best way to save money. Prices vary widely by company, and one insurer’s rate may be hundreds of dollars cheaper than another’s for the exact same coverage.
Compare Home Insurance Quotes For Free With
Jason Shroot @ 714-988-3325
