The price you pay for home insurance varies depending on a number of factors, some outside of your control and others under your control. Consumers who take the time to examine areas of their homeowners insurance policy under their control stand to save money on their homeowners insurance.
Here are three secrets to lowering your home insurance:
1) Raise your deductible. Raising your deductible is a tried-and-true method of reducing overall home insurance costs. When you choose to increase your deductible, your insurance company will offset the higher deductible with a lower premium. In essence, your deductible represents the amount of risk you are willing to accept before your insurance company begins to pay the insurance claim. Before deciding to raise your deductible, examine your budget and finances closely to determine how much of a deductible you can afford to pay in the event of a disaster or liability claim.
2) Bundle your policies. Most insurance companies reward you for buying multiple insurance policies from them. Even purchasing just your auto and homeowners insurance from the same insurance company can land you significant discounts. Some insurance companies offer discounts of from five to 15 percent if you purchase multiple policies from them.
3) Pursue homeowners discounts. In order to lower your home insurance even further, make sure you are getting all the homeowners insurance discounts you are eligible for. For example, you may be entitled to discounts for having extra security features in your home, such as a system alarm and deadbolt locks. Other disaster protection methods, such as smoke detectors, fire extinguishers, and fire alarm systems may also provide you with discounts on your insurance premiums. In other cases, you may be entitled to home insurance discounts just for being a member of a certain group. For instance, if you are retired and over 55, your insurance company may be able to offer you a discount.