Home Insurance Cheat Sheet
Owning a house requires one to take on many responsibilities, and paying the bills takes effort. Therefore, it makes sense to look for ways —like lowering our expenses — to help manage this responsibility better. Knowing ways to guard against financial risk can help you make smarter decisions. Here are some tips:
Bundling
Combining your home insurance with other insurance types under one company is an excellent way to save money. Doing this could help you save as much as 20% on your premiums. In addition to saving money, insurance companies value loyalty and reward customers who’ve bought many policies from them.
Raising Deductibles
The term deductible refers to the money you need to pay before your insurance starts to cover expenses. Raising your deductible can lower your insurance premium. However, if you’re planning on doing so, you need to have a good strategy in place. It is important to increase your deductible only if you can afford it. You need to determine how much money you can afford to pay. This hack only works for those who can pay more at any point.
Make a List
Before buying homeowners’ insurance, you should determine how much coverage your house will need. One of the fastest ways to estimate the value of your home and personal belongings is to make a list. You could do a room-by-room inventory- list your valuables in each space (like your bed, closet, bags, shoes, and clothes). Include every item in your bedroom, bathroom, kitchen, and living room in this list. Remember, if you are underinsured, your house won’t have enough protection in case of a calamity. So be careful and make sure that everything is covered.
Smoke Detectors
It’s better to be safe than sorry. Accidents happen without warning. The way to avoid accidents is to be prepared. One should always take precautionary measures, even if it seems unnecessary. It is best to install security alarms for smoke detectors, now a common feature in most homes. According to records, 82% of homeowners have smoke detectors. While insurance companies have low fire damage claims, it still is one of the most expensive claims.
