Tips To Save Cash On Home Insurance Now And In The Future

Buying homeowners insurance is pretty much a necessity if you want to buy a house. Your real estate agent can steer you in the right direction if you have no previous experience in this area, but for the best results, you should do your own research. If you are looking to start out your new life as a homeowner with a good deal on your homeowner's insurance, here are some mistakes to avoid.

Failing to Get the House Appraised

The house might be listed for a certain value, but you might not want to take the previous owner's word for it. If you believe that there might be a few areas within the home that might need repairs or if overall property values in the areas are trending downward, you might want to get the house officially appraised before you close on the deal. Not only could this save you money on the final price of the house, but it could also save you on your insurance. 

The more expensive a house is, the more it will cost to insure. If you can prove that the house isn't quite worth the exact amount the seller is insisting on, this could also get you a lower premium on your insurance policy.

Failing to Make Your Own Security Additions

If you are unhappy with your original premium for homeowners insurance, there may be some things you can do to bring the price down. Most home insurance companies will offer a discount if you install something that will help make the home more disaster-proof. For example, updating the fire alarms or installing a brand new home security system that can automatically call the police or the fire department could make a difference for you. Upgrading your roof, plumbing or insulation could also prove to be a big deal.

Review Your Policy on a Regular Basis

If you don't like your initial premium but you don't have any other choice but to just go along with it, don't despair. Call your insurance company in a year (and a year after that…) and inquire about any new discounts. Some insurers will lower your premium after you've been a customer with them for a certain length of time. This will also give you an opportunity to report any additions or updates you've made to the house if you haven't yet done so.

Be proactive about figuring out the real value of your estate and actively seek out discounts if you want to save money on your home insurance. One last tip is to buy home, auto, or other policies from the same company. Talk to your insurer (or potential insurer) today for more information on homeowner's insurance.