Many of us think that home insurance is a luxury but it is a necessity. This is because it not only protects your home and assets when damaged or stolen, they also give insurance coverage for the full value or the fair value of your property. Without this proof, the virtual mortgagers don’t agree with a financial transaction. Homeowner insurance covers you for interior or exterior damage caused by fire, hurricane, lightning, vandalism and any other disasters you opted to cover you. Also check out house loan tax benefits. You will require separate covers to protect you from damage caused by an earthquake, poor home maintenance, floods, etc.
When your home has burglar alarms to monitor the premises then the house owner’s annual premium will be reduced by 5 % or more. You could also install smoke alarms. This will save you up to 10 % or more in your annual premiums. Even having dead-bolt lockers, Co2 detectors, sprinkler systems, etc could also benefit you.
Multiple Policy Discounts
When you choose many insurance covers for your home, many companies offer more than 10% off discount for you. Therefore you could try getting a quote for multiple insurance covers from the company and you can save money up to two premiums.
Construction plans? Plan in advance
If you want to build an additional room or add another floor or any extra structure to your home, it is important to consider the materials you will use for the construction. Generally, wood-framed structures will cost more to insure as they are vulnerable to fire and the cement and stone structures will not cost you much for insurance. Constructing a swimming pool and other potentially injurious devices like trampolines can make your premium expensive.
Pay off mortgage
This is easy to say but very difficult to do. But when you pay all your mortgages for the house it is 100 % yours and the premiums are reduced. This is because the insurance company feels that you will take good care of your property when it belongs to you solely. Also check out house loan tax benefits.
Increase your deductibles
When the deductible is high, you won’t have to pay high annual premiums. The only problem with this is the smaller damages will have to be borne by the house owner itself.
With the above tips, you will start saving a few bucks already. Also check out house loan tax benefits. Being loyal to your insurer also gives you many benefits in the long run. Also, look for policy changes and upgrades to enjoy more benefits.