More and more people across the country are facing rising living costs and lower salaries or freezes on pay increases. In this economic climate it makes sense to do everything you can to cut your monthly bills, including your house insurance premium. Put these tips into practice to get cheapest insurance coverage.
Tip 1: Always Compare Quotes
All too often people are content to stay with their insurance provider year on year. Renewal time is often when your provider will try to sneak in a rise in your premiums. When the time comes to renew your house insurance policy make sure you see if you could get a better deal elsewhere. Be careful to make sure that you are getting the level of protection you need when you compare quotes – sometime a cheaper premium is due to less cover.
Tip 2: Consider a Higher Deductible or More Exemptions
Your house insurance policy will likely have a certain amount of money that you must pay out of pocket before your insurance policy kicks in – this is known as a deductible. Generally, the higher your deductible, the lower your premium. Accepting a higher deductible can save you money on your monthly bills, but it can be a risky endeavour. Think about how likely it is that you will suffer damage in a year and calculate whether the reduction in premiums is worth it.
Similarly, you could leave some elements out of your coverage for lower premiums. For example, if you have a second home where you could stay, you may not need coverage for loss of use if damage to your house means you have to stay elsewhere while it is repaired..
Tip 3: Make Your Home Safer
When you make your home safer you benefit from peace of mind, but you can also reduce your insurance premiums. Things like installing deadbolts, burglar alarms and smoke detectors can all decrease your premium. A monitored security system will also cut the costs of your house insurance.
Other home improvements such as reinforcing your roof and making sure your garden is well-landscaped and not a hazard can all make your home less dangerous and so make your house insurance less costly. Even joining the neighbourhood watch and insulating your pipes can protect your home from damage and so reduce your insurance premiums.
Tip 4: Double Up to Make Savings
By taking out building and contents insurance from the same insurance provider you can often take advantage of discounts and better deals – after all the insurance company wants your business. Consider paying our premium annually in a lump sum to avoid admin fees associated with monthly instalments.
Tip 5: Build Up Your No Claims Bonus
Your no claims bonus can build up to a substantial saving. If your home suffers damage, think twice before you make a claim. The benefit that you get in the short-term may well be outweighed by the savings that your no claims bonus brings.