On average, homeowners insurance costs about $1,200 per year. Some policyholders pay more and others less for this coverage. Several factors can determine how much you pay to cover your home, including your location and the coverage amount. However, there are ways to get affordable homeowners insurance in 2022.
Here’s a look at some strategies worth trying:
- Get Multiple Quotes
You can save on coverage costs by shopping around and comparing quotes. Start by requesting your insurance agent to provide multiple price estimates from the carriers they’re affiliated with.
- Choose a Higher Deductible
Raising your deductible increases your risk, which is why this can lower your premium. Your homeowners’ insurance deductible is the amount of money you’d pay out of pocket toward settling a claim. Your insurer would pay the remainder. Take the example of a $500 deductible and a fire damage settlement worth $5,000. In this case, you’d pay $500 for covered repairs while your insurer would settle the balance ($4,500).
- Differentiate Between Market Value and Insurance Value
The market value of your property is the price it would fetch on the market if you sold it today. The insurance value is the coverage amount it would take to rebuild your home from the ground up if a covered event destroyed it, such as fire.
- Audit Your Personal Property Once Annually
Personal property coverage is part of standard homeowners insurance policies. It covers items like appliances, computers, clothing, and musical instruments. You can also buy an endorsement to cover valuables like jewelry or antique collectibles. If you’ve given away a covered high-end collectible in the past 12 months, you no longer need to pay for its insurance.
- Implement Fire and Theft Prevention Measures
The less of a fire or burglary risk your home is, the lower your homeowners insurance cost could be. Steps you can take to safeguard your property against fire include installing smoke detectors and a home sprinkler system. You can install a burglar alarm system and fortify exterior doors with deadbolts to boost your home security.
- Install Impact-Resistant Roofing and Shutters
Fortifying your roofing against high wind or storm damage may qualify you for a homeowners insurance discount. Impact-resistant shingles are excellent options when looking to upgrade your roof.
- Mind Your Liability Risk
The risk of injury to guests or fatalities impacts your home insurance costs. Features like swimming pools or trampolines can increase this risk.
- Keep a Healthy Credit Score
Most home insurance carriers consider your credit score when calculating your premium rates. You can lower your coverage costs by boosting your credit in ways such as repaying your loans on time.
- Research Home Insurance Costs Before Purchasing Your Property
Any prospective home insurer will price your premium based on how much it may cost to rebuild or repair the property. The age of the home, construction material used, and systems like plumbing, wiring, and heating can also impact repair/replacement costs. Consider these factors when buying a new home to save on insurance costs.
- Bundle Home Insurance and Auto Insurance Together
Consider bundling your home insurance with an auto policy instead of buying those separately. For this, you may get a multi-policy discount of up to 25%.
There are so many ways to get affordable homeowners insurance this year. At Reardon Agency, we can help with strategies to save on coverage costs, including getting you multiple quotes and reviewing your existing coverage annually. Contact us today to get started!
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