Unfortunately, most homeowners, just like you assume that protecting their homes, consequently lowering the cost of home insurance is all about installing and service the smoke detector, installing home alarm systems, and installing state-of-the-art garages. But, if you are looking for the best home insurance policy, you will realize that these are miscellaneous costs that affect the cost of home insurance to a very small extent.
Since you may not know about some of the ways you could save on home insurance, you may end up with an expensive home insurance policy. So, which are some of the ways of saving on home insurance? How can you mitigate losses and reduce the number of claims you make on that house?
- Living in a gated community
Buying a home in a gated community will give you and your insurer peace of mind. Wondering why this matters? This type of housing has an added layer of security between you and potential home invaders thereby lowering the risk of burglary, and the cost of your home insurance policy. Since the location of your home determines how much you pay for insurance, it is safe to say that living in a gated community will save you some money on insurance.
- Installation of impact-resistant roofing
When building, buying or renovating your house, you will certainly replace the roofing. But, instead of using standard roofing, why not invest in impact-resistant roofing? This kind of roofing will withstand debris blown by hurricanes, strong winds, hail, and heavy rains. This level of resistance comes with a discount on the premium rates. Note that insurers check all the materials used in the construction of a house before they issue a quote. The roofing materials on the market are graded from Class 1 to Class 4, and class 4 roofing materials are the sturdiest.
- New Wiring
Old homes with old wiring attract high insurance premiums regardless of the insurers you get the insurance quotes from. An old house with old wires is at high risk of fires which result in a higher risk of deaths, and property losses. Noting that wiring is responsible for more fires than faulty appliances, you should consider new wiring to save. Your insurer will give you a good deal under the new wiring credit because your home is safer with a low propensity for fires.
- Claims-Free Home
If you are looking for a good discount from your insurer, you need to ensure that you have no past claims. Multiple claims will automatically bump your insurance premiums higher even if the past owner made the claims, but in the absence of past claims, the insurer knows that you won’t be making claims soon after signing the documents and they will be happy keeping more money in their pockets. Without any claims, you will get a discount, and you can negotiate lower premiums. You can get a claims-free credit of up to 20 percent.
- Risk mitigation
You might not have expected this, but your insurer will charge lower rates if you keep the right company. For instance, if you live in a neighborhood with a homeowner’s association, you will get a discount because living in this community means that there are some specific construction and safety measures you are adhering to, and your home is at lower risk of being vandalized.
Other ways of saving on home insurance
- Buying insurance at the same time: watch the market and market trends to determine if the cost of insurance will be high or low.
- Embrace healthy habits: did you know that you pay higher premiums for being a smoker?
- You might also get a credit if you are older
- Invest in high-end sensors for a safer home.