Home insurance is an absolute necessity, especially when you have a mortgage on your current property. The whole point of having this insurance is that you’ll be protecting your assets, whether this be due to a fire, flood, natural disaster or burglary. Because of how much your coverage will protect, it can be quite expensive to open a new policy. By comparing rates and understanding your coverage needs, you’ll be able to save on this essential safeguard.
Use an Online Comparison Tool
You can easily obtain house insurance quotes online rather than simply talking to your local bank. This comparison tool will give you a complete rundown of which companies are offering coverage and what their current rates are like before you sign up for a policy. You simply input some basic information into the comparison tool itself, and you’ll be presented with multiple companies willing to take you and your property on as a customer.
Inquire About Discounts
Many companies offer some type of discount when opening a policy with them. For example, you can save money by bundling different coverage options together with the same lender. An example of this would be bundling your auto insurance with your homeowner’s insurance. While the premium might seem a bit high, it’s still lower than what it would be if you were to take out both policies separately. You may also be eligible for a discount if you have a home security system installed, make significant home improvements or you live in a gated community.
Know How Much Coverage You’ll Need
Every home is completely different and will benefit from various types of protection. For instance, you might live by the water and tend to deal with floods on an annual basis. You can benefit from having more flood protection added to your policy than say, theft protection. A house that is in a high-risk, high-crime neighborhood may benefit from having burglar and theft coverage. Understanding what type of insurance you’ll require will help you to find the best company for your needs.
Boost Your Current Credit Score
Believe it or not, your credit score can and will have an effect on what you pay for your homeowners’ insurance. Because of this, it’s important that you maintain a good or excellent score in order to lower those payments and to get the best possible quote when signing up. The best way to increase your credit score is to work on eliminating debt and to dispute anything on your report that looks inaccurate or that is outdated.
Don’t Lie on Your Application
Keep in mind that many companies will require a professional inspection to be done on your property prior to being approved for coverage. If you lie on your application, you’ll may be denied coverage altogether, or you may have a rate increase as a result of any inaccurate liabilities. This is why it’s important that you are completely honest when making out any type of insurance application, since this will provide you with the most accurate quote for coverage possible.