10 Ways to Save Money on Home Insurance
If you are a homeowner, home insurance is an expense that will never go away and unfortunately, always seems to increase. I want to share some tips on how you can save money on home insurance:
- Ask about multi policy discounts. Most insurance companies, including Farmers, will give you a 15% discount for insuring both home and auto insurance with the same company. Farmers also gives 5% off home and auto policies if you also have a life insurance policy with us.
- Ask about affinity discounts for certain jobs and educational achievements. Farmers Insurance offers up to 15% off home insurance for occupations such as teachers, firefighter, police, engineers, scientists, realtors, doctors, CPA’s and many more. Affinity discounts are also available on Farmers auto policies.
- Burglar alarm/Fire alarm Discount – most insurance carriers will discount premiums by 5%-10% for having a burglar alarm system installed with active monitoring such as ADT or Brinks.
- Pay in full discount – most carriers will charge you a nominal fee for paying your insurance premiums monthly. If you are a Farmers Insurance customer, you should consider setting up electronic bank payment to eliminate this monthly fee. (Farmers does not charge a monthly fee as long as you pay by electronic bank payment.)
- Home safety discount – Farmers Insurance offers up to a 10% discount for having a gas shutoff valve at your home or an Energy Star/EPA Certified home for energy efficiency.
- Ensure proper replacement cost. Many insurance carriers will try to over-insure your home, which increases annual premium costs. Make sure to ask for a home insurance replacement cost estimator if it seems your home is not properly insured.
- Opt for a higher deductible. We have found that the average home insurance customer makes 1 claim every 10 years. You can save hundreds of dollars a year by choosing a higher deductible such as a $2,000 or $2,500.
- Smoke-free discount – let your insurance carrier know you are not a smoker and they will often offer discounts.
- Are you claims-free? Most insurers will discount your home insurance premiums by 15-20% annually if you have no claims in the past 3 years.
- Ask for a home insurance review! Call your personal agent or insurance company every few years and have them review your policy to make sure you are getting a good value.
If you have any questions about your home insurance or how Farmers can help, please call me at (949) 436-0740.