Indeed, lightning doesn’t strike twice, but it hardly ever strikes at all. So, do you really need that steep homeowners insurance? Homeowners insurance is important to have, because anything can happen and you may need to rely on your insurance policy in the event that there is a flood or if you have a mold outbreak.
However, you don’t need to be paying an arm and a leg for the insurance. In fact, there is a simple and effective way to lower your insurance, so that you aren’t squeezing everything you’ve got out of your savings.
At the end of the day, homeowners insurance is important, but it shouldn’t be causing you to spend much from your salary and go broke. Here is how to lower your homeowners insurance cost in five easy steps.
Raise your deductible
Most policies have a deductible of between $250 and $500. However, in most cases – especially if you live in an area where there are less natural disasters – you don’t need this low of a deductible. In fact, you could likely raise your deductible to about $2,000. What will happen is that your entire policy will drop in price.
Group your policies
Most homeowners insurance companies also carry and sell car insurance and other forms of insurance. If you want to save money, it may be wise to group your car and home policies together. The reason why this can save you money is because the insurance company will usually offer a discount if you give them more business. If your insurance company covers your home insurance policy and your car insurance policy, you could be seeing a steep discount on your policy premium.
Speak to a broker
If you want to lower your homeowners insurance even further, you should speak to a broker. However, before you speak to a broker, you want to ask yourself a few questions.
For instance, does my insurance broker know the ins and the outs of the insurance industry? Does my insurance broker have great reviews online or with other customers? All of these questions are important to ask, because you want a broker that has a reputation for getting the best rates on homeowners insurance.
Look for discounts
When it comes down to it, you want to make sure that you keep your ear to the ground for any steep discounts. Discounts run the gamut – from loyalty discounts to discounts for taking measures to make your home safer.
For instance, if you get smoke alarms, carbon monoxide detectors or even ceiling sprinklers – all of these things can make your home safer, effectively lowering your liability in the eyes of your insurance providers, thus they can lower your rates.
Your last step takes the most legwork, but it can often be the best way to get a great rate on your homeowners insurance. Basically, it involves shopping around. When it comes down to it, the more insurance companies you visit and ask about insurance rates, the lower your premium will be.
At the end of the day, sometimes creating a competition for your business is the best way to get the lowest rate for your homeowners insurance policy.