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Can I Qualify for Home Insurance Discounts?

By November 11, 2020April 11th, 2024No Comments


When buying an insurance policy, it is only natural to want your coverage to fit your budget. After all, if you cannot afford your policy, then you risk letting it lapse due to nonpayment, and no one wants that.

An independent insurance agent is committed to working with you to find the policy options that are best for you, and this includes helping your plan fit your budget. One way to do so is by seeing what discounts your policy offers. However, discount opportunities can vary based on the type of coverage you want to buy, and even from policy to policy.

If you are looking for a home insurance policy, then you will likely be able to access several discounts unique to this type of coverage. Each can vary on when they will apply. Overall, however, they can help you reduce your policy’s premium. That’s why you should always ask your agent which of these your plan offers. Let’s take a closer look at home insurance discounts.

1. Payment Discounts

To keep your policy active, you have to pay for it. Therefore, insurers are prone to reward clients who choose convenient and simple ways to make payments on their policies. The easier it is for you to send in your premium, then the easier it is for the insurer to process, and the lower your chances of letting your coverage inadvertently lapse.

As a result, if you opt to pay for your plan online or through automatic fund withdrawals from your bank account, then you can eliminate both the paper and the extra time warranted by sending in your premium via snail mail. Your insurer might offer you a discount if you choose these easier options. Plus, you will not have to worry about whether your plan got lost in the mail.

2. Paid-In-Full Discounts

When you enroll in or renew your policy, your insurer will likely tell you what your total premium will be for the policy term. Some people opt to pay off this premium in installments (usually in monthly payments). However, you also have the opportunity to pay your entire premium upfront at the start of the term.

If you choose the latter option, then you won’t have to worry about missing payments (and risking a policy lapse) throughout your ongoing policy term. Therefore, your insurer might reward you with a discount. At a minimum, some will not charge you the processing charges that might apply to monthly payments.

3. Early Enrollment Discounts

You must have home insurance in place from the day that you buy your home. However, the earlier you can buy a policy, the less of a rush there will be to process your enrollment. Some insurers offer discounts if you enroll in a plan a certain number of days before the policy is to take effect.

4. Bundling Discounts

Homeowners insurance is just one of many personal policies that you might need in your life. Auto insurance, boat insurance, RV coverage, they all might add up. However, if you choose to bundle policies by buying all of them from the same insurer, then that insurance company might reward you with a discount.

5. Returning Customer Discounts

Just like insurers like customers who buy multiple policies from them, they also like customer loyalty. If you return to an insurer year over year, then some of them will view you as a reliable customer. They will also know that you are someone who is more likely to pay on time, keep a close eye on your policy, and overall be a lower risk to them. They, therefore, might reward you with a discount.

6. Claims-Free Discounts

Clients who do not have to make a claim on a homeowners insurance plan are overall a lower cost risk to the insurer. That’s because the insurer won’t have to frequently pay on the client’s behalf. As a result, if you go several years without making a claim, then your insurer might be able to reduce your premium.

7. Advanced Safety Features Discounts

The safer you can make your home, the less likely you will be to file a claim on your insurance. Therefore, by installing safety features and specialty alarms, you might be able to qualify for savings. For example, if you have a monitored or smart burglar or fire alarm system, then you will be able to rush help to a household problem much faster than you would through other measures. This could minimize damage, and therefore reduce how much your insurer might have to pay.

8. Renovations and Structural Improvements Discounts

If you can make improvements to your home’s structure, then you will make it stronger and more resistant to damage risks. Improved wiring, impact-resistant roofs and upgraded plumbing might all reduce the chances of damage occurring or minimize any that does. Therefore, when you make these changes to your home, let your insurer know. They might be able to reduce your premium when your policy comes up for renewal.

Of course, not all insurers offer the same discounts. Therefore, let us compare different policies from our network of carriers to determine which ones offer you optimized savings opportunities. We’ll point you in the direction of the best solution.

Also Read: Practical Ways You Might Need to Increase Your Homeowners Insurance


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