Ways to save money on homeowners insurance

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Shop around and compare prices between different insurance companies. Take some time to compare prices online, you do not have to settle with any of the prices you find online but it will allow you to get some information on what you should expect to find for prices in general as you shop for your homeowners insurance.

Increase your deductible

Increasing your deductible could save you a large percentage on your premiums. Increasing your deductible from $500 to $1000 will probably save you at least 10% on your premiums, but remember to make sure you can afford a higher deductible.

Bundle Policies

Many insurance companies offer a significant discount if you purchase your homeowners and car insurance from the same company.

Don’t purchase more insurance than you need

Many people take the price of the land their home is sitting on when purchasing homeowners insurance. Think about how much it will cost to rebuild your home instead of the total value of your home and the land it’s located on.

Check your credit

You may be wondering what your credit has to do with purchasing homeowners insurance but many companies have found that statistics show people with poor credit cost more for them to insure and may charge you a higher premium for your homeowners insurance. Take steps to improve your credit and you will likely see a decrease in your insurance premiums.

Pay annually

Many insurance companies charge more for you to pay your homeowners insurance monthly, if you pay your premium annually you could save more than 5%

Stay with the same company

Some insurance companies will give you a discount for repeated business. These discounts usually range between 5% and 10% so it may be a good idea if you are happy with your current insurance company to check to see if you qualify for any discounts they may offer before purchasing from a new company.

Install security and safety systems

Depending on how much insurance you are purchasing it may be a good idea to invest in a home security system. Make sure you have deadbolt locks and smoke detectors installed. Before running out and purchasing a high quality security or anti fire sprinkler system check with your insurance company to find out how much you could save to make sure it’s an economically correct decision.

Check for discounts

Many insurance companies will offer discounts for senior citizens, many of these discounts can be as much as 10%. Also check to see if they offer discounts for certain organizations you may be involved in.

Quit smoking

Not only has smoking been proven to be bad for your health but it can also cost you more money on your homeowners insurance premiums. Many insurance companies will cut a percentage off of your premiums if nobody in your household smokes.