For homeowners, dealing with home insurance monthly bills can be a little stressful, as it always seems to increase.
With some planning and efforts, you can actually save money on mandatory insurance every month.
In this post, we will share some tips on how you can achieve this goal.
1. Talk To Your Agent
Most of the time, all you have to do is ask. Talk to your agent about your options and how you can lower our premiums without losing any of the benefits.
They should be able to figure out some simple ways to do this.
For example, installing smoke detectors, fire extinguishers and an efficient home security system can help reduce your homeowner's insurance rates.
Have a brainstorming session with your agent and get some advice on other details you need to work on.
They may also discuss some of the "hidden savings". Be familiar with the policy and coverage you have. Analyze the market value of your property. Are you over-insured?
For instance, if you bought your property at $400,000, you may have declared to your agent that it is worth $400—but that includes the value of your house and the lot as well. So, when a tornado destroys your home, your insurance is going to replace the house on the same lot you already own.
To put it simply, you may only need to insure the reconstruction costs.
Keep in mind that the land is probably worth 10-15% of the total purchase price. So for a property with a fair market value of $400,000, you may want to ask your Indianola insurance agent about coverage that will rebuild the house but isn't more than you need.
This can make a big difference on your insurance monthly rate.
2. Ask For Multi Policy Discounts
Be familiar with their multi policy discounts. Several insurance providers offer a 15% discount for insuring both home and auto insurance with the same company.
Some companies can also provide 5% off home and auto polices if you have a life insurance policy with them. You may also want to check out the affinity discounts for certain occupation and educational achievements.
Many insurance providers offer up to 15% off home insurance for certain jobs like teachers, firefighters, policemen, engineers, scientists, Realtors, doctors, and many more.
3. Paid In Full Discount
Paying in full can eliminate your monthly insurance payments and also get you a discount from your current provider.
Most providers may charge you a nominal fee for paying your insurance premiums on a monthly basis.
While it can be simpler to budget for the smaller payments every month, some Indianola homeowners prefer to make one big payment per year instead.
Other Things To Keep In Mind
It is always a good idea to let your homeowner's insurance provider know anytime you make modifications to your home. This is to make sure you can update your insurance plan and coverage.
If you are making major changes, they may want to send someone out to look at the house.
In addition, you should find out if the replacement costs for your home have changed. Your agent should have tools that can help you determine these numbers and figures. They should be able to do the math and let you know how it may affect your rates.
These are just some ways you can do to reduce homeowner's insurance monthly payment. Consult your local Indianola insurance agent for more suggestions.
We also recommend a complimentary insurance audit for Indianola residents.
Insurance Review offers a free consumer service where we will partner you with a local insurance expert right here in Indianola to review all your existing coverage to make sure you are properly insured.
Get started now by clicking here.