Home insurance is usually a lot cheaper than other forms of insurance, like car insurance. But that doesn’t mean that it’s not worth looking for ways to save. Shopping around using comparison website is a good idea, but there are plenty of ways you can modify your home to convince insurers to reduce their premiums. Here’s what to do.
Tip #1: Combine Your Building And Contents Cover
Insurance companies will often offer cheaper rates the more coverage you take out with them. For instance, in the car insurance market, you’ll usually get more competitive rate on your first car if you take out a second car insurance with them. The same goes for home insurance. If you take out contents insurance on top of building insurance, you’ll get a lower price for both combined than you would for getting each covered separately. Just don’t forget to do a price comparison on building and contents insurance separately to make sure that you’re getting the best deal.
Tip #2: Cut Out All The Thrills
One of the ways that insurances companies make their money is through adding on extras. Sometimes these extras can come in handy, like having a hire car if your vehicle is involved in an accident or breaks down, but many are not. Home insurance, for instance, often comes with accidental damage cover. Sometimes this additional cover can comprise more than 20 percent of the overall bill. Think about whether you really need accidental damage cover or whether you’re better off with cover against fire and theft. Ask yourself whether it is really worth paying the excess if you break something in your home.
Tip #3: Build Up Your No Claims
No claims in the house insurance market work in the same way as they do in the car insurance market. The longer you go without making a claim, the more money you’ll get off your premium. Over time, your no claims discount can build up substantially, hitting 50 percent in some cases. Also remember than the higher your excess, the lower your premium.
Tip #4: Fit Smoke Alarms
According to data from the UK, faulty electrical wiring cause more than 7,000 fires every year. As such, it is one of the main causes of damage to properties. This is why experts and Money Supermarket suggest that people make sure that they have smoke alarms throughout their homes and that they check them regularly to make sure that they are working.
Tip #5: Insulation
Burst water pipes are a major cause of home damage, and so many experts recommend taking out unsecured homeowner loans so that you can make the necessary home improvements. Making sure that water pipes are insulated so that they don’t freeze and crack during the winter prevents you from having to make a claim and risk increasing your year over year premiums.
Tip #6: Join The Neighbourhood Watch
Neighbourhood watch schemes run all over the country. The idea of these schemes is to deter criminals from breaking into your home and stealing all your stuff. Typically, people who join neighbourhood watch schemes pay around 5 percent less overall for their home insurance than people who are not members.
Tip #7: Pay Your Own Way
It’s worth thinking very carefully before approaching your insurer to make a claim. If the problem is only minor, it might be worth just paying to have it fixed yourself without going to your insurance company. This way you protect your no claims discount.
Tip #8: Choose The Right Locks
Having the right lock for your home can mean the difference between a criminal gaining entry and them being left out in the cold. Wooden doors should have a five lever mortice deadlock, a type of lock that practically immobilises the door when locked shut. PVC external doors have their own type of three-point locking system, again designed to make the doors more robust to criminals trying to break and enter.
Tip #9: Install CCTV
The price of CCTV systems has fallen dramatically over the last few years, thanks to the smartphone revolution. Smartphones and digital technologies like WiFi mean that home owners can now install their own CCTV at very low cost. To comply with the law, you’ll have to put up signs saying that people are being filmed on your property.
Tip #10: Make Friends With Neighbours
Opportunistic criminals are always looking for signs that you might not be in. One of the signs they look out for is whether packages have been left by the door or not. If packages are left overnight, it means that there’s a good chance you’re away, and they can strike. Make friends with neighbours and get them to take in packages and parcels for you.