Are You Paying Too Much for Homeowners Insurance?
It can be difficult to determine if your homeowners insurance rates are the best they can be. Your rates are calculated from several factors. Because of this, it can be hard to determine what variable is affecting your rates. Here is a quick guide to help you determine if you are getting the best possible deal on your homeowners insurance and how you can lower your premiums.
It may seem like a no-brainer, but it’s a smart idea to compare quotes. Homeowners insurance is a significant investment, and there are many options available to you. Different companies use different variables to determine what premium they will charge. That is why it is critical to request home insurance quotes from different carriers.
One quick way to save money on your insurance is to bundle your homeowners insurance with your auto and life insurance policies. By bundling all your policies under one provider, you will get a significant discount. This discount varies from provider to provider, but all companies reward their clients for loyalty. Check with your local insurance agent to see what savings you can realize by bundling.
It should stand to reason that the more claims you file, the higher your premiums will be. Insurance providers adjust your rates depending on the type of incidents you file, the location you live in, and more. If you have a habit of filing claims, your provider will view you as a risky customer. Keep your claims to a minimum and only file for major incidents. Don’t think that changing providers will help. Every claim you have filed from the past seven years gets entered into a database called the Comprehensive Loss Underwriting Exchange (CLUE). Every insurance company has access to and will review your filings before approving any policy you apply for.
One quick way to reduce your insurance premium is to have a burglar system installed. Another important feature that will reduce your premiums is carbon monoxide detectors. These may not seem like big things, but to insurance providers, they show that you and your home are at a lower risk than other homes in your neighborhood.
This may seem unrelated to homeowners insurance but if you have a low credit score, you are viewed as a high risk. Low credit scores make you appear reckless, and insurance providers will adjust your premium accordingly. Work on your credit score, pay off debt, and your insurance premium will likely be impacted positively.
Rumbaugh Insurance is here to help make sure you are getting the best value in homeowners insurance for your money. Contact our team today, and let’s review your policy together to ensure you are not paying too much.