Three Ways to Lower Premiums on Your Home Insurance Policy

Home insurance is getting more and more expensive, which means you need to learn the most effective ways of reducing your risk. In fact, doing so will allow you to decrease your premiums. In 2015 alone, the average premium rose by 3.6 percent, illustrating the need to take additional measures to make your insurance premiums more reasonable.

Luckily, home improvement is a great way to both update your house’s design and improve its security. They can be as fast and easy as using your electric lawn mower to maintain your yard, or as complex as redesigning your entire kitchen. The rising premiums aren't going away anytime soon, so making these decisions as soon as possible will help you save money now and into the future. Start with these three simple methods of improving your home while reducing your insurance premiums.

1. Roofing 

While it might not seem like the most obvious choice for home improvement, low-quality roofs can have a significant impact on your premiums. This can be especially true if you live in a high-risk area. Storms and other natural events are more likely to affect the roof than other parts of your house, making it a focus for all insurance providers.

When purchasing a new roof, you should consider your environment, as the material will need to be resistant against any possible conditions. Roofs, for example, are graded for their resistance to fire. If you live in an area prone to wildfires, make sure to check that you’re getting the best type of roofing possible.

2. Smart devices

Smart devices in homes have typically been marketed as beneficial for their convenience and efficiency factors, but they also offer improvements in safety. Video doorbells are one example of a smart device that can reduce the risk of theft and other crimes. Many insurance providers are taking notice of these trends and beginning to offer lower premiums for those who adopt them.

3. Security systems

One of the main concerns for any insurance provider or homeowner is crime. Luckily, a high-quality, reliable security system goes a long way toward deterring crime or stopping it as it happens. Due to this occurrence, many providers list devices that they believe increase security enough to warrant lower premiums.

Of course, a security system only matters if it’s functioning. Providers will be quick to deny any claims that result from a malfunctioning, out of date, or inactive security system. If you do decide to invest in a high-quality security system, make sure to test it regularly to ensure that you’re actually being protected.

4. What to Avoid

On the other hand, there are some types of home improvement which can have the opposite effect. Expanding the square footage of your house, for example, will likely lead to increased premiums.

Additionally, even if you think you’re saving on costs by using your oscillating multi-tool or drill for DIY jobs, you may be increasing expenses in the long run. There are just some projects better left to professionals, or not even started at all! Contact your insurance provider for more details if you’re unsure of the potential impact.

No matter what home improvement or decision you make regarding your home, it’s important to keep in touch with your insurance provider to ensure that you’re protected and getting the lowest possible premiums. Simply contacting them before making any changes may be enough to protect you in case something goes wrong.