Don’t automatically “rubber stamp” your homeowner’s insurance in NoCo. Before signing off on that annual renewal, ensure you are fully covered for your current situation and identify areas where you can save money.
Your lifestyle, possessions, home improvements, etc., change yearly. It’s always a good idea to reassess your needs and consider any factors that affect insurance rates and coverage. Moreover, you may qualify for credits that lower your premium! This article will list four strategies to lower your homeowner’s insurance rate.
Review Your Current Contract
There are benefits to staying with your current insurer. Suppose you’ve kept your coverage with a company for several years. In that case, you may receive a special discount for being a long-term policyholder. Some insurers will reduce their premiums by a good percentage if you stay with them. However, don’t let this deter you from comparing prices with other insurers or negotiating your current contract.
Review the limits in your policy and the value of your possessions at least once a year. You want your policy to cover any major purchases or additions to your home. But you don’t want to pay for coverage you don’t need anymore. Some items depreciate over time, so review your policy annually.
Shop Around to Find Optimal Homeowner’s Insurance in NoCo
Get at least three quotes and ensure each insurer offers the same coverage. It’s not always apples to apples. And that includes policy shopping with your current insurer — you could save money by buying a new policy with them.
Bundling your insurance policies could save you big money so consider buying home and auto policies from the same insurer. Many companies that sell homeowners, auto, and liability coverage will shave 5 to 15 percent off your premium if you buy multiple policies.
Update Your Home
Improve your home’s security and safety. Install a smoke detector, burglar alarm, or dead-bolt locks, and you may save at least 5 percent. Some companies cut your premium by as much as 15 or 20 percent if you install a sophisticated security system. Similarly, upgrade older features in your home. Update your plumbing, electrical, and heating systems to prevent fire or unwanted leaks. Talk to your insurance agent— they can recommend updates that can reduce your premium.
Stay on Top of Your Finances
Maintain a good credit record. Insurers are increasingly using credit information to price homeowner insurance policies. In most states, your insurer must advise you of any adverse action, such as a higher rate. At this time, you should verify the accuracy of the information. Additionally, look into group membership discounts. Are you an AAA member, in the military, or belong to an alumni organization? You may be eligible for membership discounts with your insurance company. It’s worth asking about any discounts when renewing. Discounts can be a benefit of being a member of a professional group, a trade organization, or a non-profit association.
For more advice on homeowners insurance in NoCo or any other aspect of homeownership, get in touch! I’m here to answer all your real estate questions.
I'm Lauren Haug! I'm a teacher-turned-real estate agent, and I teach people how to build wealth through real estate in Northern Colorado.
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