Purchasing home insurance offers financial coverage in case of burglary, vandalism, earthquakes, storms, hurricanes, and more to your home. However, many people stay clear of buying home insurance either to save money or out of ignorance. Various factors determine home policy prices. The obvious is the location, age of the building, and construction materials. Homes located in low crime rate areas, or with less criminal activities, and with low natural calamity disasters are cheaper to guarantee. Bundling policies and living close to a fire station can offer lower premiums. Additionally, simple home improvement tips could save you some cash on your home insurance policy. It is essential to install ????? systems to minimize your insurance costs if located in a high crime or disaster zone.
Install Home Security
Most modern home security systems are affordable and relatively easy to install. Improve your home security by installing security cameras both in the interior or exterior. There are different home security cameras in the market, and your choice largely depends on your budget and functionality. For example, doorbell cameras allow viewing your porch to see who is at your door, and you can use motion-sensitive cameras used for both indoors and outdoors. You can view your home from any device, irrespective of location.
Place Warning/Security Signs and Stickers
Placing visible stickers and signs on your door, window, or within your compound indicating an alarm system, membership of a neighborhood watch, or some form of surveillance system within the home is an essential step that works to protect your home. Research shows that burglars try to determine the presence of an alarm before attempting to carry out a burglary. Through the eyes of a burglar: Study provides insights on habits and motivations, the importance of security. Home security systems additionally deter burglars and intruders and consequently help to reduce your home insurance premiums.
Invest in Quality Window and Door Locks
Most burglars gain entry to the house by forcing windows or doors to open, while some access the home by picking locks. Quality locks are a deterrent for burglars, and it is essential to invest in quality locks that are not easily manipulated. Whenever you leave your house, always double-check that your doors and windows are locked. An open window or door provides an incentive for a burglar to attempt a break-in.
Keep your Home in Top Shape
Replacing and repairing items that are a potential hazard or insurance risk could save you money on your premiums. For example, replacing a rotting deck or a dangerous staircase will reduce the chances of an accident happening within your home. Suppose a visitor or a family member gets injured due to either of the two, it could result in an insurance claim. You could potentially lose discounts on your home insurance policy.
Update your Home
Old appliances showing signs of wear and tear should be renovated. For example, a roof that is past its life expectancy is a potential accident that can result in a claim. Depending on your location, the type of roof in your house can adversely affect the premiums paid on your home insurance. If you reside in an area prone to wildfires, hurricanes on natural disasters reduce the potential of damage and accidents through proper maintenance. It might save you money in the long run and get you better policy rates on your insurance.
Install Fire systems
Home insurance companies consider the fire systems installed in the home for discounts. More so if you live far, and the fire response team might take some time before getting to your home. Some fire systems include water sprinklers, also known as fire sprinklers. They work by activating the sprinkler head, which is triggered by high heat. Also, installing smoke detectors in places where fires are likely to ignite can get you decent discounts on your home insurance premium.
Make Small Payments Out-of-Pocket
Making claims frequently can flag your home insurance policy and may increase your premium. It is essential to weigh your options and consider which would make more sense. If it is something that you can pay on your own, it could work in the long run such that in the event you file a substantial claim, your history will be more reliable.
Invest in a Water Shut-off System
Water being one of the leading claims for homeowners, it is essential to be proactive and invest in a water shut-off system. According to the Insurance Information Institute, about one in 50 homeowners will file water damage or freezing claims every year, accounting for almost 24% of all home insurance claims. Installing a water shut-off system at the main water pipe works by shutting off water in the house through a sensor that detects water running for an extended period. It is an essential investment as it can save you potential damage to your home if you have traveled or no one is home.
Replace your Plumbing & Electrical Wiring
Check your water faucets, replace water hoses yearly, and maintain them properly to avoid significant leaks or breaks. Plumbing is yet another significant claim for homeowners. If your washing machine is also indoors, it’s important to maintain the hose. Replace the plastic hosing with braided stainless steel, which is long-lasting. This goes for the house electrical wiring as well. If you notice lights in your home dimming, lose connections, smoke, or tripping circuit breakers, have the wiring checked and redone. Importantly if your house is old, always confirm with your insurer if wiring is covered. Some insurance does not cover the old electrical wiring as it is deemed a hazard or outdated.
Join a Homeowners Association
Such associations play a vital part when it is time to get insurance coverage for your home. For example, joining a homeowner's association, or HOA, can get you a discount. It is because insurance providers favor properties managed under such an association. The homes must adhere to strict standards and are immaculately maintained with a low risk of burglary or theft.
Request a Claim-free Discount
As a homeowner with a claim-free history for several years, you can request your home insurer for a claim-free discount. Claims Free Protection (CFP, a reasonably new product) protects policyholders with no claims history if they want to make their first claim. Some insurance providers will factor it into your premium by offering a low rate. Inquire from your provider as you could be missing out on the discount.
Research other Discounts
Insurance providers offer many discounts that most people are not aware they are entitled to. Before settling on an insurance company for your home insurance coverage, educate yourself on your entitlements as a policyholder. For example, some discounts are offered to holders who opt for paperless billing. Additionally, specific careers and jobs, for example, teaching or firefighting, may receive home insurance discounts.
Making simple home improvements will attract discounts on your insurance policy. You can get the best and cheapest home insurance policy with such improvements and, in the long run, ensure that your home is risk-free. As you consider such home improvements, negotiate with your insurance provider for items on the policy that might not apply to you by removing them to lower your premium. Also, avoid making investments that will not necessarily affect your policy.