By shopping around, you can learn about the discounts that are offered and factor that into your decision-making when selecting a policy. Keep in mind that discounts which reward behavior to prevent claims benefit both you and your insurance company, so you should view those with particular attention.
Multiple Policy Discounts –
Insurance companies will often offer you a discount if you buy more than one policy from the same insurance company no matter where you live – Indianapolis, Louisville, Memphis, Mesa, Virginia Beach – so be sure to ask. When shopping for your home insurance, check to see if you will receive a discount for also insuring your automobile and/or your personal umbrella with the same insurer. The discount can be substantial, especially if you are entitled to it on all three policies. Another benefit is the generally seamless coverage between the three different policies when they are provided by the same insurer. It’s less likely that there will be a gap in coverage between your personal umbrella and home insurance policy than if they were from different insurance companies.
Affinity Groups –
Many insurance companies will offer discounts if you belong to a group that has negotiated discounts on behalf of all members. Common affinity groups include university alumni associations, professional associations, and employer groups. You can find out about these discounts either through your organization or by asking the insurance company directly.
Upgraded Locks –
Many homeowners are careful about locking their doors and windows, but have not put much thought into the quality of those locks. According to a recent story in MoneyTalksNews, many homeowners have antiquated lock hardware that can be easily defeated by thieves. Check with your insurer to see if they will provide you with a discount when upgrading the locks on your doors and windows. If they offer a discount, they will also frequently have recommended models of locks that you should install.
Alarm Systems –
In addition to upgrading your locks, installing a monitored alarm system can generate savings on your home insurance policy in addition to adding peace of mind. When evaluating alarm systems, you need to consider the cost of installation as well as the ongoing expense of the monitoring service. While your insurance savings may not offset the added expense, the added safety and security may be worth it to you.
Fire Safety Systems –
In many jurisdictions, smoke detectors and fire extinguishers are already required for all homeowners. Nonetheless, you should verify with your home insurance company if they offer discounts for these devices. Additional fire safety measures include sprinklers, heat detectors, and upgraded electrical wiring. In older homes, the electrical systems may be outdated and could pose a fire hazard. By agreeing to update your home, you are reducing your fire risk and should make your insurer aware of change for a potential reduction in premium.