How to Save on Homeowners Insurance

The price you pay for your homeowners insurance can vary by hundreds of dollars, depending on the insurance company you buy your policy from. Here are some things to consider when buying homeowners insurance.

Bundle Your Policies

One of the easiest ways to save is to combine your home and auto coverage with the same company. Many well-known insurers offer a discount if you carry multiple policies with them, including Allstate, Progressive and American Family.

Bundling auto and home insurance typically saves you 10% to 20% on your homeowners rate, although it could be higher or lower depending on your insurer.

Make Your Home More Secure

When calculating your rate, insurance companies look at your home’s susceptibility to threats such as burglary, fires and storms. You can limit risk and potentially qualify for cheaper rates by upgrading outdated systems like plumbing and electrical and by adding features that make your house tougher to penetrate — think storm shutters, impact-resistant roofing and deadbolt door and window locks.

By avoiding incidents and claims, you also give your insurer less incentive to increase your rates come renewal time. Because certain home improvements won’t be cheap, check with your insurer beforehand to see how much a given discount will save so you can make sure your spending isn’t out of proportion to the savings.