Simple Ways to Lower Your Home Insurance Premiums

Before shopping for home insurance, performing some simple home fixes can help keep your home insurance premiums down. Learning about what drives home insurance pricing can help you get the best rates possible.

Protect Your Home for Home Insurance Discounts

When insurance companies calculate your rates, they're looking at their risk for loss. The more safety precautions you take to protect your home, the lower the chances you'll file a claim. Some simple home fixes that bring significant insurance discounts include:

• Fire extinguishers
• Security alarms and systems
• Smoke detectors.

Because insurers are concerned with fire safety, you'll get lower premium rates if no one in your household smokes. Additionally, you'll enjoy reduced rates if your house is close to a fire hydrant or station.

Your Credit Score and Insurance Rates

When considering simple home fixes to get the best home insurance quotes, the last thing most people think of is their credit scores. The truth is, however, that people with poor credit histories are a higher claim risk than those with good credit. Many insurance companies run routine credit checks and give favorable rates to those with good credit.

If you can raise your credit score before you apply for home insurance, you'll generally be rewarded with significantly lower home insurance premiums. In the meantime, if your credit score is low, take the time to seek out insurance companies that don't run credit checks.

Package Deals and Loyalty Discounts

When getting home insurance quotes, remember to ask about package discounts. Some insurers offer discounts as high as 25 percent for insuring both your home and vehicles with them, offering you an opportunity to save on home and auto insurance.

Also, ask perspective insurers if they'll reward your loyalty. Some insurance companies offer a 5 percent discount if you stay with them three to five years, and as much as a 10 percent reduction after six years as a customer.

Pets and Home Insurance Rates

If you have pets, they're probably much-loved members of your family that you'd never part with, despite any extra expense they may incur. If you're considering bringing home a pet, however, be aware that owning certain animals might raise your home insurance premiums. Pets associated with high home insurance rates include:

• Dog breeds associated with aggression: Some insurers raise rates for homes with dogs such as Pit Bulls or Rottweilers because of liability concerns.
• Exotics, such as monkeys, dingoes and sloths: These wild animals increase liability risk.
• Lizards and other cold-blooded animals: If your cold-blooded pet requires special warming lights, your insurer may consider this an increased fire risk and raise your premiums.