When you look up tips on saving money on home insurance, you're often confronted with big decision ideas. Buy a home that's cheaper to insure. Move to a safer neighborhood. Build a 12-foot-tall brick fence around your yard.
These are great ideas if you're rich and have the freedom to switch houses at a moment's notice. But they’re not so great if you're just looking for a quick and simple way to get your premiums down.
With that in mind, here are five easy ways to lower your home insurance premiums:
- Ask your agent about discounts. You may find that you already qualify for several discounts, or that you could qualify with a few simple fixes around the home — such as burglar alarms and smoke detectors.
- Raise your deductible. Your insurer probably recommends a deductible of around $500. Many homeowners suggest raising that up to $1,000, if you think you'll be able to afford a $1,000 deductible at a moment's notice. This could result in as much as a 25 percent discount on your premiums.
- Bundle your insurance. Simply buying your auto and home insurance from the same company can make a big difference. Part of what you're being charged for when you pay your insurance premiums is going to be things like processing fees. Most insurers will give you discounts simply because they're happy to have the business.
- Review the value of your inventory. You already know to update your inventory once a year. But you should also take the time to review the value of your inventory. Take depreciation into account. There's no point in paying to insure something at the price you initially paid for it if it's no longer worth that price.
- Look into brand loyalty measures. If your insurer isn't giving you a great deal, then find another insurer. But most insurers offer loyalty discounts at certain intervals. You may wind up with 5 percent off your premiums after three years, and 10 percent off after six years. You still want to do a little comparison shopping every now and then, but there are discounts that kick in over time.
Saving money on your insurance doesn't have to be difficult or time-consuming. Sometimes it's as simple as making a phone call.