9 Tips for Lowering Your Homeowners Insurance Premiums

Homeowners’ insurance policies protect your most important investment—your home— from unexpected occurrences like storms, fires, theft and vandalism. While you do have to pay a premium for your homeowners’ policy, the idea is to protect against the unexpected and save you money in the long run should something like the aforementioned issues occur. Thankfully, by following the nine tips listed below, you can ensure your home is covered from the unexpected events of life—while still saving money on your premium:

1. Get in Touch With an Insurance Agent

Ask your insurance agent what is covered in your current coverage. Make sure that you aren’t paying for more coverage than you need. This is also a great time to ask about company discounts or other potential money savers. 

2. Raise Your Deductible

The higher your deductible, the lower the cost of your insurance premium. Therefore, raising your deductible is an easy way to lower your regular premium cost. In fact, according to Insurance Information Institute, increasing your premium by $500 to $1,000 can save you as much as 25%. To determine if you can increase your deductible without issue, consider if you would file a claim for less than $1,000 issue. If you wouldn’t file such a claim but would instead just take care of the issue yourself, then you can easily afford to raise your deductible to $1,000. 

3. File Claims The Smart Way

Make sure you understand the way your insurer prefers to have you file your claim and follow their preferences. Also, make sure to take lots of photos, showcasing damage and/or issues that would be involved in your claim. 

4. Bundle Your Home and Auto Insurance

Another easy way to save a significant amount of money on your homeowners’ insurance premium is combining it with an auto policy as a multi-policy bundle. You can expect to save between 15 and 20% simply by combining your policies under the same insurer. There are some situations where bundling is unwise, but in most cases, it saves you money. 

5. Prep Your Home For Disasters

Make sure your home is well protected, as much as possible, from a natural disaster and/or home invasion. This means installing security cameras and/or removing limbs and trees that could fall on your home during a storm. 

6. Build Your Credit Score 

Many people have no idea how much their credit score alters their insurance costs. However, more and more lately, insurers are using credit information to price homeowners insurance policies. Therefore, if your credit score isn’t great, this can mean your homeowners’ policy is more expensive than it has to be. 

7. Get Rid of High-Risk Factors

Remove broken down decks, trampolines, etc. anything that would put you in a high-risk category. This will save you money because you won’t be considered as high of a risk as you once were. 

8. Research Available Discounts

Check with your insurer regularly to ensure you are getting all the discounts you can. Some companies offer discounts to long-standing customers or other similar discounts. Ask your insurer about any discounts for which you might qualify.

9. Review Your Policy Annually

Make sure you check with your insurer on at least a yearly basis to determine if your policy is the right fit for your needs. Also, check for discounts at this time and ensure you are getting the best rates possible. 

Bottom Line: You Can Save Money with Some Effort

Lowering your homeowners’ insurance premium will require some time and effort, but in the long run, it can save you hundreds of dollars a year. Put the money you save back into your home, enhancing your living environment and increasing your property value. At Arnold Insurance, we like to serve as advisors to our clients, to help them save money by reviewing policies and shopping policies with them if they take a large jump in premium. Give us a call today to find the right policy within your budget.


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