How to Negotiate the Price of Homeowners Insurance
Are you looking for affordable homeowners insurance? If you are, you may be surprised to found out that you can negotiate the price if you ask the right questions.
Ways to Make Sure You Are Getting the Best Price on Homeowners Insurance
Negotiating the cost of your homeowners’ insurance policy doesn’t have to be difficult. All you have to do is do a little bit of research so that you are fully informed and aware of your home insurance options.
1. Get Quotes from Multiple Insurance Companies
Take the time to get quotes from multiple insurance companies. Different companies use different formulas when calculating the cost of their policies. This can result in dramatic price differences. There are two ways you can check the prices of multiple carriers. The first is to call each carrier individually and get a quote. The second is to use an independent insurance agent that has access to policies from multiple carriers. Our agents at Fearnow have access to the policies and prices of more than 100 different insurance companies.
2. Research How Much It Would Cost to Rebuild Your Home
When considering the replacement cost of your home, don’t go by the purchase price. Instead, research what it would cost to rebuild your home. Once you have an accurate price to rebuild, you can give your new insurance agent the correct replacement cost, which can help keep your premiums accurate.
3. Monitor Your Credit
Insurance companies use credit scores as part of their underwriting calculation. This is because they believe that people with lower credit scores have worse income and would be more likely to file a claim in the event of a fire, theft, vandalism, or other covered disasters. By monitoring your credit score and improving it, you can help keep your homeowner’s insurance premiums affordable.
4. Consider Disaster Resistant Improvements
Florida is prone to hurricanes and tropical storms. By making sure your home is disaster-resistant through the installation of hurricane clips and improving the water-resistance of the exterior walls. If you live on the coast, you may want to consider purchasing a home on pillars or raising your current home above the expected flood level. If your home has disaster resistance features and improvements, it can help reduce the cost of your insurance policy.
5. Consider Installing a Home Security System
To make your home more theft-resistant, consider installing a home security system that includes an alarm as well as cameras. By taking steps to reduce theft, you are also taking steps to keep your homeowner’s insurance premiums low.
6. Take Advantage of Discounts
One of the easiest discounts to get is a multi-line discount. Insurance agencies offer this premium reduction when you have two or more insurance policies with the same carrier. This means that if you have a home and car insurance, keeping the policies with the same company can help you save money. You may also receive a discount if you are retired. This is because homeowners who spend more time at home help reduce the possibility of burglaries, and they are more likely to keep their homes well-maintained. If you’re not sure if you qualify for discounts, make sure to ask your insurance agent.
7. Choose a Deductible You Can Afford
Homeowner’s insurance has a deductible. This is a dollar amount that is paid by you for covered damage to your home or subtracted from your claim amount. Most homeowners choose $1,000 deductibles, but you can make yours higher in order to reduce the cost of your policy. Just make sure you can always afford the deductible.
8. Keep Tabs on What You Have in Your Home and on Your Property
In order to ensure that your homeowners’ policy accurately reflects what you own, take an inventory once a year and adjust your policy as needed. For example, if you add a shed to your property, you’ll also want to let your insurance agent know there’s a shed. If you start a home-based business, you’ll want to make sure your homeowner’s policy covers the equipment in your office.
Getting a Florida Homeowners Insurance Policy from Fearnow
If you need a new homeowner’s insurance policy, we can help you get the right one for your property by customizing your deductible and home replacement and repair maximums. We can even add additional policies, like car insurance and flood insurance.
To learn more about our Florida homeowners insurance policies, give us a call at 813-689-8878.
