While the influx of new insurance companies that offer homeowners insurance policies have made picking the right one to go with a little tough, the good part about it is that the added competition has helped to lower rates. Home insurance rates are not lower for all homeowners, just the ones who know how to take advantage of the potential discounts available. The insurance companies want to insure people, and homes, that they believe are “safe” to insure. If you can convince them that you are a safe applicant, securing a discount homeowners insurance policy will not be difficult. Here are 3 ways to ensure that you get the lowest possible rates.
1) Make your home attractive to the insurance companies. Unlike auto insurance or life insurance, a homeowners policy covers your home, not you. If you can make your home solid and less likely to be damaged or broken into, your home becomes one that all of the insurance companies will want to insure. For tips on how to make your home safe from intrusion, contact your local police department. For tips on making your home safe from natural disaster, contact your state government.
2) Improve your credit score. It is a little known fact that your own personal credit rating will greatly affect your homeowners insurance rates. Those with high scores, get the lowest rates. In order to make sure that you are paying rock bottom rates, raise your credit score to 740 or higher.
3) Combine your homeowners policy with other policies. The best way to get the lowest rates on homeowners insurance is to secure your coverage with the same company that is already covering you for other things. All insurance companies offer major discounts for carrying more than one policy with them.