Paying the premium on homeowners insurance is necessary; it can also impact your budget in a massive way. A 2018 study carried out by the National Association of Insurance Commissioners showed that the home coverage premium saw an increase of 3.6% in 2015 following a previous rise of 3.3% in 2014. These costs are expected to witness a rise further in the coming years.
Although the thought of paying future premium costs can seem frightening, there are a few steps you can take to lower the insurance rates. In this blog, we highlight a few home upgrades that can ease your financial burden.
Improving Your Security System
Insurance providers expect homeowners to take necessary steps that beef up their security. Features such as locks on doors and windows should be a bare minimum. But going above and beyond that by installing home security systems can lead to significantly lower insurance rates. First, contact your insurers to identify the security changes that will have the most impact. Installing smoke alarms, surveillance cameras, and joining the neighborhood watch are known ways of reducing premiums.
It is equally important to test your current security system to ensure it remains in working condition. Your insurer may reject all claims in case your security system fails.
Upgrading Your Roof
The first thing your insurers may consider is the condition of your roof. It’s responsible for providing protection against bad weather, storms, and constant exposure to the elements. Some insurance providers are known to limit coverage options if the roof has exceeded a certain age. Your location and the type/quality of your roof also affect the insurance rate. For example, there are areas that are prone to constant wildfires such as California and places that experience a lot of hail such as Texas. Homes in such locations will benefit more from having a quality roof as it reduces the amount of damage a property may sustain.
Upgrading Your Plumbing and Electrical Systems
Homes that were build around the 1970s have galvanized or lead-based plumbing systems. These types of materials are more susceptible to corrosion and are also classified as health hazards. Substituting them for modern PEX, copper, or PVC pipes help in reducing insurance rates.
Similarly, electrical systems that still use aluminum or tube wiring instead of copper are likely to increase premiums. Certain providers may let you off the hook, but only if you pass a safety inspection test conducted by a certified electrician.
These are a few steps you can take to lower your insurance premium. Also, be sure to review your insurance policy as it can get updated every year to include new terms and conditions. B&M Success Insurance Agency provides comprehensive home insurance in Roseville, California at affordable rates. Contact us today for more information!