7 Useful Tips for Lowering Your Home Insurance Costs

Insurance costs can seem overwhelming when you add everything together. There are ways to lower your monthly insurance costs if you understand your risks. It's also a good idea to know what influences the cost of your policy. You can lower the cost of your monthly premiums by making a few minor adjustments. You may ask your insurance provider to offer some input on how you can lower your premiums and still get the best possible coverage.

Here are a few tips to help you lower your home insurance premiums.

  1. Increase Your Deductible Amount

    Increasing your deductible will lower your monthly premiums. Your deductible is the amount you pay out of your pocket for damages before your insurance coverage kicks in. Saving money on your monthly premiums is worth paying a little more out of pocket if you ever need to file a claim.

  2. Opt for Replacement Cost Insurance

    If you want to ensure that in the event of extensive damage, you have enough capital to rebuild or repair your home to its current condition, you need to insure it for its replacement cost, not its market value. Depending on the economy, the market value may be much less than it will cost to completely repair or rebuild your home. Your insurance provider will be able to help you determine the replacement value of your home.

  3. Bundle Your Policies

    Bundling your policies will also save you money on your monthly premiums. Your insurance provider may offer discounts if you bundle your car, home, boat, and other types of insurance into one policy. A single extensive policy helps you save on administrative costs and makes it easier for the insurer to monitor your insurance needs.

  4. Invest in Home Security Systems

    One of the quickest ways to earn a discount on your homeowners' insurance is to install a home security system. Do-it-yourself systems are quite effective and allow you to monitor your system from an app on your smartphone. Professionally monitored systems offer 24/7 coverage for your home when you aren't able to do the monitoring on your own.

  5. Boost Your Credit Score

    Finding ways to boost your credit score will also help to keep your insurance premiums low. Making payments on time and paying off older bills will increase your credit score. Monitor your credit often to ensure there are no major changes that could dramatically impact your credit score.

  6. Review Your Policies Yearly

    As time passes, things change. Your family grows. You upgrade your home. A teenager gets a driver's license. All of these changes may affect your homeowners' insurance. Reviewing your policies each year will allow you to adjust your policies and possibly save more money.

  7. Pay the Insurance Amount in a Lump Sum

    Pay your premiums as a lump sum instead of in small amounts every month. The fewer payments you make, the lower your premiums will be.

Contact our team at Amity Insurance Group if you want to learn more about factors that may affect your home insurance premiums. We can go over your policy with you and find ways that may work to your advantage when it comes to lowering your monthly premiums.