Tips For Better Home Insurance

Jul 03, 15 Tips For Better Home Insurance

While some types of insurance aren’t necessary, only a good idea, some, like home insurance, are an absolute must-have. This is obvious from the fact that most mortgage companies will not give you a loan or help you in financing residential real estate transactions if you don’t provide proof that you have coverage of your property. In this handy article, we will give you all the information you need if you want to be sure that your home insurance is everything you personally need.

Insurance for homeowners can be really expensive, especially for larger homes with, stables, and things like that. It can also be very expensive to insure a home which is in the vicinity of a major waterway, in an area with a higher earthquake risk, or some other tricky area. Homes in these types of areas are forced to pay a high premium, which can amount to thousands of dollars in the course of a year. Although the situation is what it is, you can always do something to lower the cost of your insurance. Here are some nice tips for doing just that.

  1. Keep tabs on your security system and upgrade it regularly

If you have a decent security system, your insurance will be lowered by as much as 5%. This especially goes for security systems which are directly linked to local police stations. If you want to claim your right to that discount, you have to provide proof of the fact that your security system is linked to central monitoring.

  1. Raise the deductible

If you choose a higher deductible, you will have lower annual premiums. The problem with choosing to do this is that smaller problems will have to come out of your own pocket. We had a client a few years back whose pool heater got stolen (this one, and he had problems with his company because he chose a higher deductible. Things like broken windows and leaky pipes are also going to have to be paid by the owner.

  1. If you’re construction something, plan ahead

When you’re making additional construction work on your property, think ahead and plan for your insurance. If you choose materials such as wood for frames, you will have a higher premium, because wood is highly flammable. For frames of cement or steel, your insurance will be lower. Another thing that people fail to account for is the insurance cost accompanied with building swimming pools (with pool heaters), and other things that could potentially cause harm, such as trampolines. These types of things can drive up your insurance by more than 10%. Although most people would opt to build them nonetheless, since they are a great and fun thing to have at your home, you have to be aware of the costs associated.

  1. Make regular reviews of your policy

You should take you time to review you policy at least once a year, and compare it to other policies to make sure you’re not paying too much. You will be amazed at how much you can save with this simple step.