Money Saving Tips on Home Owners Insurance (edit/delete)
My newsletter went out yesterday and one of the subjects was how to save money on Home Owners Insurance.
When shopping for home insurance, there's much more to consider than how much your coverage will cost. Your agent or insurance company will determine how much it would cost to replace your home and many of the items inside. Most standard policies will provide coverage for damage to your home (and many belongings) caused by theft, fire and lightning, smoke, frozen pipes, ice and snow.
The price you pay for insurance can vary by hundreds of dollars, depending on the insurance company you buy your policy from. Here are some things to consider when buying homeowners insurance.
Shop Around Ask your friends, check the phone book or contact your state insurance department. Also check consumer guides, insurance agents, companies and online insurance quote services.
Raise Your Deductible Deductibles are the amount of money you have to pay toward a loss before your insurance company starts to pay a claim, according to the terms of your policy.
Buy your home and auto policies from the same insurer Some companies that sell homeowners, auto and liability coverage will take 5 to 15 percent off your premium if you buy two or more policies from them. But make certain this combined price is lower than buying the different coverages from different companies.
Make your home more disaster resistant Find out from your insurance agent or company representative what steps you can take to make your home more resistant to windstorms and other natural disasters. In addition, consider modernizing your heating, plumbing and electrical systems to reduce the risk of fire and water damage.
On this last note my good friend and Home Inspector, Rick Nelson of National Property Inspections, gave a good piece of advise too: "Just a thought about insurance. Some of the homes have issues such as galvanized pipe or knob and tube that make shopping for insurance difficult. In those cases, having the buyer just stay with the existing homeowner policy and updating the names may work and avoid being disqualified. "
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