13 Ways – How to save Your Home Insurance Costs

13 Ways – How to save Your Home Insurance Costs

Save on home insurance

Surefire ways to slash your insurance bill

You might think your homeowner’s insurance is like your property taxes—a fixed expense that you just have to pay. But you can actually trim hundreds off your insurance bill, cutting your costs by 10 to 45 percent. Here’s how:

Replace washer hoses

Washing machine hoses that leak or even burst are a common cause of water damage.

Some insurance companies offer a discount of up to 10 percent on your premiums if you replace the rubber hoses on your washing machine with no-burst stainless steel hoses. In 10 minutes, you could save five times the cost of the hoses on your next bill, but this is a smart move even if your insurer doesn’t offer a discount.

Increase your deductible

This is the easiest way to cut your insurance costs. Bumping your deductible from $500 to $1,000 can save you up to 25 percent on your premium.

Think twice before filing a claim

Paying for a smaller loss yourself will almost always cost less than the premium increase you’ll face later. Don’t file a claim if it’s worth less than $1,000 over your deductible.

Get a list of discounts

You may be missing out on discounts for features your home already has. Ask your agent if the company offers discounts for safety features and home improvements such as sprinklers, dead bolts, smoke detectors, updated plumbing and electrical service.

Choose a tough roof

Insurance companies offer big discounts (up to 45 percent) for tough roofing materials. Talk to your agent to learn about the exact discounts for materials other than standard asphalt. In most cases, metal roofing gives you the largest discount, but it also costs two to four times as much as standard asphalt shingles.

Install trouble detectors

Some companies discount your premium 2 to 5 percent for warning devices. These include battery-operated or plug-in temperature sensors ($20 to $60 depending on the type), which detect furnace breakdowns, and leak detectors ($15 to $200 depending on the model). For purchase info, search online for “leak detectors” and “temperature sensors.”

Choose fire-resistant siding

If you’re installing new siding, install Class A rated fire-resistant materials such as metal, fiber cement shingles and clapboards, and masonry. Using these materials can reduce your premium by up to 20 percent, especially in dry areas of the country that are more susceptible to fire damage.

Install storm shutters

In hurricane-prone areas, installing wind-resistant shutters can cut your bill by almost 20 percent. So in many cases, these shutters will pay for themselves in three to five years.

Monitor your credit score

A poor credit score can increase your premium by 35 to 40 percent so keep an eye on yours. If your credit score has improved since your policy was issued, have your agent recalculate your premium.

Drop additional structures coverage

Many insurers just assume that your house isn’t the only building on your property. If you don’t have a stand-alone garage or shed, drop this coverage and save 5 percent.

Make automatic payments

Many insurance companies will discount your premium by 2 percent if you pay by automatic withdrawal from your bank account.

Shop around every five years

You may get better coverage or a reduced rate with a different insurer, so it pays to check periodically.

Avoid a water damage claim

Think twice before filing a claim based on water damage, and consider paying for repairs yourself. Water damage is a red flag to insurance companies since it hints at mold elimination costs or chronic plumbing problems in the future. That can mean increased premiums.

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