Let’s face it. Homeowner’s insurance is often treated as a set-it-and-forget-it policy, so when you’re trying to save on your homeowner’s insurance, it can feel like you’re starting from scratch. Once you have it, it’s not often that you review your coverage to find opportunities to save, but that could prove a mistake.
As independent insurance agents, we’ve often found that homeowner’s insurance policies are some of those where hidden higher costs linger. That’s because insurance providers sometimes offer discounts or incentives that can positively impact your insurance premiums.
If you’re reading this and wondering if you are missing out on savings, take a look at these pockets of opportunities to lower your premiums and save on your homeowner’s insurance.
Raise Your Deductible
Probably the easiest way to save on your homeowner’s insurance is to increase how much you’d be responsible for paying should a claim occur. Increasing your deductible can lower your insurance by as much as 12% per year, which is significant considering how infrequently homeowner’s claims are filed.
It’s important to note that increased deductibles aren’t always recommended. Look at your savings and finances to understand whether you could afford a higher deductible in case a claim needs to be filed. If the answer is yes, you may want to consider increasing your deductible.
Secure Your Belongings
Many homeowner’s insurance carriers value home security plans. Your insurance provider will often reward you with a discount for keeping your home more secure from theft or damage. Sprinkler systems, deadbolts, or burglar alarms are just a few ways you can bolster your home security and save.
Only File a Claim When Necessary
You pay for homeowner’s insurance, so it makes sense that you’d want to use it when needed. As tempting as it might be, though, filing a small claim may not be the best long-term decision. The longer you can stay claim-free, the easier it will be to keep your insurance premiums down. When you’re unsure what to do, make sure you discuss it with your McGrath agent.
Review Hidden Discounts
Did you know that paying your insurance premium in full can save you significantly in many cases? Likewise, opting for paperless billing or automatic bank payments could also lower your homeowner’s insurance premiums? Even your career choice could impact your homeowner’s insurance.
There are many hidden discounts available to you for the taking, but you have to be aware of them first. Talking to an independent McGrath insurance agent can help you know which insurance companies offer which types of discounts, helping you find the best carrier for your unique situation.
Improve Your Home. Improve Your Homeowner’s Insurance.
Home improvements can have a significant impact on your homeowner’s insurance premiums. For example, if you have put on new, impact-resistant roofing, it will strengthen your home’s exterior during our stormy seasons. Insurance companies will often reward you for lowering the risk of damage by lowering your insurance premiums.
Likewise, removing high-risk items can have the same impact. Do you have a trampoline that your kids don’t jump on anymore? Or do you have a high-risk area of your home that you’ve thought about renovating? Trampolines, swimming pools, and playground equipment are the most common culprits in increased insurance rates. Getting rid of items that are perceived as being high-risk can help you save on your homeowner’s insurance. Be sure to talk with your agent before making any changes.
Bundle Home and Auto
Companies like to earn your business, and one way they do that is by offering you discounts on bundles. These incentives encourage you to bring your home and auto coverages together under one carrier, which can work in your favor by saving you as much as 15% on your overall household coverage.
If you have your home and auto insurance coverages separate now, exploring how much you could save by bundling might be worthwhile.
Increase Your Credit Score
In Missouri, insurance providers can use your personal credit score to determine how at risk your home is for filing a claim. If your credit score is lower, you could be paying more than you need to in homeowner’s insurance.
If you think your credit score is low, it could be worthwhile to review it for errors. You might also benefit from prioritizing bill pay and lowering credit card expenses to increase your credit score and thus, saving on homeowner’s insurance over time.
We’ll Help You Shop
McGrath Insurance Group is an independent insurance agency that works in your favor as you’re working to save on your homeowner’s insurance. Because we’re not held captive by a single insurance provider, we have more opportunities to shop around on your behalf and help you save.
If you’re ready to explore opportunities to lower your costs, reach out to us for a proposal.
