Just as with real estate values, location rules when it comes to Homeowners Insurance costs.
Fortunately, you can take several steps to bring down the cost of your own Homeowners policy, short of packing up and moving.
Raise your excess.
You can shave as much as 25 percent off your premium by raising your excess payment, according to the Insurance Information Institute.
Get a multi-policy deal
The Insurance Information Institute estimates that buying two or more policies from the same insurance company, can save you 5 percent to 15 percent on your premium. But do some comparison shopping to be sure that combining your Homeowners Insurance purchase with your auto, life or umbrella liability policy, really does add up to a lower total than you would get if you bought them from different companies.
Make some home improvements.
You can lower your premium by getting a new roof, changing your heating, electric or plumbing system, or adding new safety features such as an alarm system. Even putting a fence around that backyard, trampoline or swimming pool — or getting rid of it altogether — can get you a lower-cost policy, by lowering your claims risk in the eyes of your insurance company.
Just be sure to let your insurance agent know when you’ve upgraded. A lot of times customers install alarm systems in their homes, but they never tell the agent or insurer. Depending on the insurer, you can get anywhere from 5 percent to 15 percent off annually on your home insurance.
Keep your credit score up.
Many insurers use insurance scores, numerical rankings based largely on credit history, in their determination of rates. While your insurance score also includes other factors, such as how long you’ve had insurance, good credit goes a long way toward keeping your Homeowners Insurance affordable.
People who have a better credit rating overall, end up receiving a better insurance score.