We have known the first five ways to save your money on homeowners insurance. What’s more, I would like to introduce you another five important ways to cut down you costs.
1.Non-smoker Discount - most companies offer non-smoker discounts. If you’re a non-smoker, check with your agent to make sure you are getting this credit if available. Some companies are as much as 5%.
2.Proper Amount of Coverage - To properly insure your home, the amount of insurance on the dwelling should be listed at full replacement value. 2.Replacement value is the amount is would cost to rebuild your house at today’s costs. Be careful, some companies have a formula to calculate the replacement cost seemingly much higher than actual building costs. Also, most companies raise your dwelling coverage each year to keep pace with inflation. Make sure your dwelling amount doesn’t get too out of line after a few years with the same company.
3.Updates - keeping your home updated mechanically can help reduce your insurance premium. For older homes, if the mechanics aren’t updated, insurance companies will not place your policy in the most preferred rating tier. By updating the roof, plumbing, heating, and electrical systems, the insurance company will offer a premium normally in line with their most preferred rate.
4.Age of Home - Most companies offer discounts to homes up to 20 years old. The biggest discount would be for a brand new house and then a sliding scale down to homes 20 years old.
5.Address - Insurance rates are much cheaper in the suburbs than the city.