If you are a homeowner, looking for cheap building insurance then maybe this will help you. There are ways to cut the costs of building insurance and in this article we will list the top ways to help you.
You’ve probably noticed that the cost of your building insurance has been raised over the past few years. Policies that originally cost $300 a few years ago may be doubled or tripled that now. There are a few ways you can reduce the cost of your monthly premiums.
First off, consider raising your deductible. The deductible is actually the amount of risk you agree to accept and pay for before the insurance starts paying on any damages. By raising your deductible to $1000 or more, you can easily save 25% on your total monthly premiums.
Think about buying your building insurance and auto insurance from the same place. Some companies may offer you discounts if you combine all your insurance needs with their company. These savings can be another 5 to 15% off.
Don’t be afraid to ask about any other homeowner’s discounts that you may be entitled to. You may be able to receive discounts for smoke detectors, deadbolt locks, security systems, or having fire alarms and extinguishers in the home. If you are over a certain age, you may also be able to get a discount of another 10%.
Don’t buy insurance coverage that you don’t need. A good example of this is having earthquake coverage if you are living in a non-earthquake area, or a jewelry coverage rider if you do not have any expensive jewelry.
Another tip is to make your building a better insurance risk. By making changes that reduce the risks of damage in high winds or storms, upgrading old wiring or heating systems to avoid fires, you can reduce your premiums. Your home is your largest investment. Make sure it is covered for risks that you would not be able to cover yourself, and that it covers any home improvements you may have made, any major purchases, and the costs it will need to be rebuilt should something happen.
Every year before you renew your policy, read through all the details on the old policy, call your agent and correct any situations that may have occurred during the year.
Improving your credit score can also give you a better deal on building insurance. Don’t have too many open credit accounts, be sure you don’t get too close to the credit card limits, and pay all the bills on time.
Lastly, shop around. There are so many different cheap building insurance companies out there now, it is wise to occasionally look around for a better rate.
Photo Credit: Smoke Alarm by cancsajn