You are currently viewing Common Questions From Homeowners Answered

Common Questions From Homeowners Answered

How Can I Reduce My Homeowner’s Premium With Premier Insurance Services?

Given that homeowner’s insurance rates are on the rise, you are likely looking for ways to reduce your homeowner’s premium to save money in the long run. Though this may seem like a difficult task, there are various methods you can take to reduce your homeowner’s premium with Premier Insurance Services. Some of the numerous ways that you can chip away at your overall annual premium include:

  • Raise your deductible. Raising your deductible, or the amount of risk you agree to accept before your insurance company starts paying on a claim, could help you to reduce your homeowner’s premium. If you have a relatively low deductible, you should consider raising it to save on your annual premiums. 
  • Combine your homeowner’s and auto policy. It’s important to consider buying your homeowner’s and auto policies from a company that offers both. This will help you to reduce your homeowner’s premium.
  • Ask about other discounts. Many insurers will offer discounts for those who install specific items in their home–look into this to see if you can lower your homeowner’s premium through this strategy.
  • Don’t buy coverage that you don’t need. This suggestion is pretty straightforward–if there is a risk you are not likely to encounter, don’t feel the need to buy insurance for it.
  • Make your home a better insurance risk. Be sure that you are making your home as safe as you can for insurance purposes.
  • Know what your policy covers. Make sure that your home is protected from risks that you cannot afford to cover yourselves.
  • Keep your policy up to date. Read the details of your policy every year before renewal to discuss any changes that may have been made.

It is also important that you make sure to read the fine print in your policy. This will be found under the “Conditions and Coverage” section. There are many things in this section that you may not pay attention to if you tend to skip over the fine print, as many people end up doing. However, skilling over this means that you aren’t sure what you’re getting yourself into. 

One of the most important things to be aware of when looking at the fine print is how to improve your credit score. Be aware that insurance companies are using credit information more often than they used to. This is done so that they can price policies. Make sure that you don’t have too many credit accounts open, as this will affect the price of your policy and will mean that you have to pay more rather than less. Don’t come close to maxing out your credit card every month, as this will also negatively impact your score and the price you pay on your policy. If you want to keep your credit score in good shape, make sure that you are paying your bills on time and keeping an eye on where your credit score stands. By forgetting to do this, you may be unknowingly increasing the price of your policy. Always check on your credit score to make sure that it is where it should be–a good credit score means a lower policy. 

When checking the fine print, you should also make sure to consider renovation discounts. Ask your policy company about new or recently renovated properties. Since a newer home typically results in fewer losses, a lot of insurers will reduce rates by up to 25% for newer properties. Homes that have had significant renovations may also be qualified for reduced insurance premiums. Consider looking at newer homes to save yourself some money–since you are less likely to run into maintenance problems with a newer home, it can be beneficial for you to look into them. Keep an eye out for any new homes on the market and be sure to ask if any of the homes you find allow for renovation discounts.