How to Calculate House Insurance

If you are in the market for buying homeowners insurance, you need to shop around to find the best rates. There are many different factors that help to determine that cost of your homeowners insurance premiums. The age of the house, location of the house, and materials used to make your house are all considered when you are given a quote for insurance on your home.

Condition of Your Home

The condition of your home has a lot to do with the rates that an insurance company will charge you to insure your home. The roof, electrical system, decks, porches and other structures are inspected to see if they are sound and secure. Any damage found will be considered a risk to the company and will increase your rates.

Brick or Siding

Most homes are made of brick or siding. Brick is a solid material that is known to withstand the elements and therefore is considered less of a risk to the insurance company. Siding is more inexpensive, and can easily become damaged during a storm, and therefore will cost you a little more on your homeowners insurance. Homes made of wood planks are also considered to be a sturdy option and will be rated the same way that brick homes are rated.

Safety Features

Many insurance companies offer a discount for safe homeowners. Having a security system of added security in the form of an intercom system or extra deadbolts may decrease the amount you will need to pay for your home to be insured. Smoke detectors and carbon monoxide detectors are often considered to be a safety feature as well by some insurance companies.

Smoking

Smoking is considered a fire risk, and will therefore raise your rates of your house insurance. If you or any member of your family is a smoker, your rates will be adjusted accordingly. It is best not to smoke in your home even if you are a smoker. Smoking is the leading cause of residential fires, and can easily be prevented.