How to Lower Homeowners Insurance Costs

It is a good idea to try to save money anywhere that you can. Reducing costs on products and services that are needed can save you a substantial amount of money over the course of years. Saving some money on your homeowner’s insurance costs is just one way to cut expenses. You will just have to do a little research and perhaps make a phone call to lower your costs.

• Insure just the house. Many people will purchase insurance for the entire amount that they paid for their home. However, if something were to happen, you would still have the land and there is not much that will go wrong with the land. Therefore, do not insure the land, just the buildings, as that is where the damage will be.


• Raise your deductible. The higher your deductible, the lower your costs. Call your agent to ask how much you would save if you raised yours. For example, if you have a $500 deductible now, see what you would save by raising it to $1,000.


• Increase security. Install smoke and burglar alarms. Insurance companies often give a discount for the added security.


• Insure your car with the same company. You can usually get a multi-policy discount by insuring both your home and car.


• Quit smoking. Insurance for smokers is higher than non smokers, due to the risk of fire from smoking.


• Work to bring your credit score up. Insurance companies place a lot of emphasis on credit scores when you purchase insurance. Those with good credit scores pay less than those with bad credit.


• If you live in an area that is prone to natural disasters and you make upgrades to protect your home against them, the insurance company will usually lower your bill. Your insurance agent will be able to tell you if there are any upgrades you should consider. These could include shutters, reinforced roof; even plumbing and electrical upgrades may help you save.