Are you in the market for a new home? Purchasing a new home can be exciting but it can also be costly. You have the new mortgage payment for the home, but there are also other costs like taxes, utilities, new furniture, and possibly even repairs. One cost you can't avoid is homeowner's insurance. Homeowner's insurance is a valuable protection tool that can cover your repair costs if your home is damaged and destroyed.
While homeowner's insurance is something you definitely need, there are ways you can reduce the cost of premiums. Below are three surprising ways you can reduce your homeowner's insurance premiums.
Improve your credit score
Your credit score is an important tool that lenders use to determine your credit risk and decide whether to loan you money and at what interest rate. It is also used by insurance companies to determine whether or not you are likely to pay your premiums. If you have a good credit score, you can often get a discount on your insurance premiums. If you had bad credit when you originally bought your home, but have since improved your credit, ask your insurer to reassess your rate. If they won't, you may want to shop around for a new company.
Ask about little-known discounts
Many insurers offer discounts for a wide range of reasons that you may not know about unless you ask. For example, many insurers offer discounts to veterans. Others offer discounts for those who work in service professions like education or public service. You could get a discount by paying via automatic bank payments. Some even offer discounts for not having any smokers in the home. There is a wide range of possible discounts available. Ask your home insurance agent for more information to see what discounts may apply to you.
Don't make small claims
Your homeowner's insurance policy is there to help with repair costs on your home. However, that doesn't mean you should use insurance for every little repair you need. Every time you file a claim, you risk an increase in your premiums. If you're a frequent filer, your premiums could go up significantly. On the other hand, if you rarely use your insurance, your premiums could go down over time. If you haven't used your insurance in years, you may want to ask your insurer to recalculate your premiums or possibly shop around for a new insurer.
Talk to your home insurance agent for more ways you can reduce your premium. They can help you find the right policy for your needs and budget.
Contact a local homeowner's insurance company to learn more.Share
10 November 2022
Ten years ago, I married my best friend in a beautiful, intimate ceremony. My husband and I have been nearly inseparable and we’ve enjoyed this special time in our lives where it has been just the two of us. However, we’re finally ready to have a baby. Because I only work part-time, my husband is the primary financial provider in the family. If something ever happened to him, I wouldn’t be able to instantly support myself and a child. Because my husband worries about an uncertain future, he is considering purchasing a larger life insurance policy. On this blog, I hope you will discover the best types of life insurance policies for young parents to invest in. Enjoy!