Home Insurance Premium: 5 Easy Ways to Lower It
Category Owners Advice
What Is Home Insurance Premium and Why Do You Need To Care About Lowering It?
A home insurance premium is an amount that you pay every year (or month if that's the option you prefer) to keep your insurance active. This amount can be quite hefty and so if there's an area that can help lower this cost, why not explore it?
5 Easy Ways to Lower Your Home Insurance Premium:
1. Make Sure Your Home Contents Policy Is Up To Date
It's important to keep the contents under your insurance coverage in your home contents policy up to date so that you don't pay for things you don't need. An easy way to do this is to review your household inventory two or three times a year to ensure that it's up to date and not adding to a more expensive annual home insurance premium. A great example of this is a computer that you're no longer using or has stopped working - there's no need for this to be insured!
2. Increase Your Security
Your home insurance premium is partially based on your security risk. The higher the risk, the higher your premium. Installing security features such as an electric fence or an alarm system will definitely bring your annual premium costs down.
3. Only Claim Back When It's An Absolute Must
The more you claim back from your home insurance company, the more expensive your home insurance premium will become as they will consider you a higher risk. Only claim back when you have no other choice! If you need help making claims, there are professional grade services out there who can give you all of the advice you need.
4. Save By Increasing Your Excess
Your insurance company will only pay a certain amount and you will be responsible for paying the difference, the excess. Naturally, you'd want to aim for the lowest excess option, but this could have a dramatic impact on your total annual home insurance premium, potentially making it even too expensive to afford. Opting for a slightly more expensive excess coverage option will definitely lower your premium!
5. Why Not Combine All Your Policies?
If your home insurance premium and your car insurance premium are taken out from the same insurance company, it's most likely that you qualify for a discount! Do some research and make sure to ask for the discount (every little bit helps, right)!
One Last Thing
Now that you've got 5 great tips on how to lower your home insurance premium, are you sure that you're covered for all the different types of home insurance? If you'd like to double-check (just to be safe), read our article on the different types of home insurance.
Author: Annene Mare