Best discounts on home insurance | The bank rate
If you’re curious about how to get discounts on home insurance, the good news is you don’t have to look far. Almost all insurers offer homeowners many ways to save money and minimize the costs of annual premiums. Home insurance offers invaluable financial protection if the absolute worst happens to your home or if there is costly damage due to a covered risk. The average cost of home insurance is $ 1,312 per year for $ 250,000 in home insurance coverage, making discounts a useful tool for managing the costs of a strong home insurance policy.
For homeowners who are wondering “how do I get discounts on home insurance,” most insurance experts recommend comparing the discount offers from multiple providers when getting quotes. Home insurance discounts are as varied as the premiums themselves, so comparing providers’ discounts is essential to save money. Insurers typically offer a range of discounts, including discounts on consolidation, new home construction, and safety equipment, to name a few.
The best discounts on home insurance
The best home insurance discounts depend on your particular situation, but the good news is that they are often relatively easy to obtain if you qualify. Since rebates can make a huge difference in how much you pay for your home insurance premium, it may be worth inquiring about eligibility. Bankrate has put together a list of some of the most common and popular discounts for homeowners.
Discounts without complaint
A no-claims rebate is achieved when a homeowner does not file a home-related claim with an insurer, usually within a specified time frame, such as three or five years. Even if a homeowner transfers their policy to another insurance provider, it is still possible to get the discount. However, a first-time home buyer would not immediately qualify for this rebate.
Many potential discounts fall under the umbrella of safety discounts. A security discount may apply if a homeowner has installed a burglar or security alarm system or takes fire protection measures, such as installing smoke detectors or a fire extinguisher.
Multi-policy or bundled discounts
Buying a home insurance policy and another type of insurance policy from the same insurer could result in significant savings on homeowners’ premiums. Typically, bundling your auto and home insurance policies will provide you with the greatest savings, but the percentage of rebate available will vary depending on the provider.
Discounts for new home or new buyer
Many insurance companies offer a discount if a homeowner purchases a new construction home or is a first-time homeowner. The number of years that a home can be considered a new home varies from vendor to vendor, so even if a home isn’t new it may still qualify, so be sure to ask. your insurance agent. And if this is your first time buying a home, be sure to mention it to your insurance agent when getting quotes for your policy.
Employee or military discounts
There are often special home insurance savings opportunities for current or former military personnel. Other professions can sometimes save money too, such as home insurance discounts for teachers. Each insurer that offers this type of discount will have their own list of professions that qualify for additional savings, so it is important to check if these discounts are available and who qualifies with each insurer when you get quotes.
Another home insurance discount that is often available is that for those involved in home restoration. Homeowners who buy an older home but then restore it to meet local building standards can often benefit from this type of discount. However, keep in mind that a restoration discount is usually only applied when almost all of the systems in a home have been replaced, such as electrical and plumbing.
New roof discount
Roof replacement can cost a substantial amount of money, and a damaged or aging roof can represent a costly risk for home insurers. But if you choose to replace your roof out of pocket, a new roof discount may apply. And if you’ve recently purchased a home that had its roof replaced before you moved in, be sure to inquire about the discount and whether the age of the roof makes it eligible for that discount.
Automatic payment and discounts on paperless statements
Choosing to have your home insurance premium automatically withdrawn from your bank account often results in additional savings. There may be even more savings if you choose to receive paperless statements as well.
Discounts for retirees or seniors
One of the benefits of aging is that you get discounts on home insurance for the elderly. Some insurers may refer to it as a discount for maturity or retirement. One of the reasons that older homeowners might be able to earn this type of savings might be because they tend to regularly stay closer to home or inside the home, which can help deter crime and allow them to spot other potential problems earlier.
Smart home discounts
Smart Home Insurance discounts reward you for installing the latest technology to protect your home against the risk of fire or theft. Discounts for smart home technology can include savings for installing upgrades like a smart thermostat, gas and water shutoff sensors, or even the Amazon Echo Dot. Check with your preferred insurance provider to see what, if any, smart home discounts they offer homeowners. Some insurance companies are even partnering with smart home tech companies, and you may be able to get a free or discounted smart home device.
Frequently Asked Questions
How much does home insurance cost?
The average cost of home insurance in the United States is $ 1,312 per year for a policy with $ 250,000 housing coverage, according to 2021 rate data obtained from Quadrant Information Services. Home insurance costs depend on a wide range of factors including the age and condition of the home, replacement costs, and your claim history, which means your exact rates could be more or less. lower than the national average.
Are there other ways to reduce home insurance costs?
In addition to home insurance discounts, there are other effective methods that can help you save further on your home insurance policy. One option recommended by most insurance experts is to shop around and compare quotes for the same coverage from multiple home insurance providers, which can help you find the best rate available for your situation.
Which company has the cheapest home insurance rates?
No one home insurance company will be the cheapest for everyone because there are too many unique factors that go into calculating a premium. However, as a starting point for your research, Bankrate looked at 2021 data obtained from Quadrant Information Services and found that Erie and USAA insurance offer some of the cheapest average annual rates in the United States for one. housing coverage of $ 250,000. But keep in mind that these might not be the best or the cheapest providers for you. Talk to your insurance agent and get quotes from multiple companies to see which insurance company can offer you the best rates for your needs.