Is Your Home Properly Insured?

If you own a home, you most likely have homeowners insurance to go along with it.

While it’s not required if you paid cash for your home, it is usually required by lenders if you had to take out a mortgage on your home. Since your home is most likely your most expensive asset, it’s not a good idea to go without homeowners insurance, even if you paid cash for your home.

Homeowners insurance protects your home and the items inside your home from damages caused by fires, storms and theft. Normally, earthquakes, floods, mold and termite damages are not included.

Prices Oftentimes Vary

After deciding to get homeowners insurance, it’s time for you to find the best deal out there.

Prices can vary significantly depending on your area, the company you choose and the type of coverage you want, so make sure to do as much research as you can before moving forward.

As the following article notes, having the right coverage when it comes to Auto, Health, Home & Life Compare & Save is important so you can get a variety of quotes all in one spot.

Save Some Money

In addition to researching various companies to see where the best rates are, there are things you can do to make sure you receive the best homeowners insurance for the best price.

Keep in mind it is a good idea to:

• Choose a high deductible plan – Higher deductibles mean lower monthly premiums. If you can afford the higher deductible, this can be a good option so you can pay less money out of pocket each month.
• Stay with the same company long-term – Insurance companies’ value their long-term customers and are usually willing to offer discounts to them. Check with your auto, health and life insurance companies to see if you can get a good rate for homeowners insurance. Perhaps you can bundle everything together and save even more money.
• Keep your credit score high – People with high credit scores typically file less claims than people with lower scores and are therefore less of a risk to insurers. You can improve your credit by paying all bills on time, keeping your credit card balances low or paid off, paying off all outstanding debt and disputing any errors that you find on your report.
• Secure your home – Typically, insurance companies will offer a discount for homes that have an alarm system, smoke detectors and secure, dead-bolt locks. By keeping your home secure, you’re also reducing your chances of being robbed. Though insurance usually covers theft, there are certain valuables that just cannot be replaced (such as her or his wedding ring or pendant, for example).
• Review your policy once per year -Finally, you can save money by reviewing what you need and don’t need each year. For example, you may no longer have certain jewelry items that you had last year. By taking them off the policy, you’ll save money. Getting in the habit of reviewing your policy once per year also makes sure all new items are properly insured, too.

By price shopping, getting quotes from different companies and doing everything you can on your part to lower your liability; you can save hundreds per year or more on homeowners insurance.

About the Author: Sarah Brooks is a freelance writer living in Charlotte, NC. She writes on a variety of topics including small businesses, insurance and personal finance.