How to Lower House Insurance Rates

Homeowners insurance is a necessary part of owning your own home. However, it can vary by hundreds of dollars depending upon which particular insurance company you purchased your policy from. Getting those prices down will take a little doing, but it is far from impossible.

• Do not be afraid to shop around. It may take a bit to locate a new provider, but it can also save you some serious cash. A great place to start is your state insurance department, consumer guides, insurance agents, insurance companies and insurance quote services located online. This will provide you with a good idea of what is out there and who has the best prices. Make sure you investigate the customer service history of any company you are seriously considering.


• Raise your deductible. A deductible is the amount of money you pay out of your own pocket before your insurance company will begin to pay on your claim. The higher your deductible, the more you can save on your overall premium costs. A typical deductible amount is roughly $500 but if you can afford to have that raised to $1,000, you can stand to save almost 30 percent on your premiums. 


• Do not include the land. Chances are there is not much that will happen to the land your house is sitting on. Take that into consideration when making the decision of just how much homeowner insurance to buy, that can bring you higher premiums, which aren’t what you’re after.


• Improve the home. If you ask, your insurance company or your local agent will tell you just what you can do around your home to make it safer and therefore save you money. See if the addition of storm shutters or retrofitting for more modern heating, plumbing and electrical set ups would save you on your premiums. You can also get additional discounts for the addition of burglar alarms, smoke detectors or the installation of dead bolt locks. Some companies will even offer to cut your premiums by 15 to 20 percent if you install sprinkler, burglar and fire systems that contact the local police when something is amiss.