If you want to know how to lower the annual premiums you pay for home contents and/or home buildings insurance, here are some surefire ways to do it:
Increase the amount of the insurance deductible.
Why not raise the insurance policy's deductible while still keeping it at a reasonable level? The excess amount is the amount that you and the insurance company agree you'll have to pay before you can make a claim. In theory, if you raise the amount you have to pay out of pocket, your premium should go down because you're less likely to make a claim.
Increase the safety of your home.
When it comes to home contents insurance, security is one of the most important factors. So, if you want to save money on your home contents insurance, you should really think about making your home security system stronger. Putting in a home alarm system could be a good idea, depending on how much you value the things in your home.
Rent a safety deposit box
No one likes the idea of keeping their most valuable possessions in a safety deposit box. However, if you have one or two very valuable personal items, you may find that it is much cheaper to keep them in a safety deposit box and only bring them out on special occasions than to pay a high insurance premium to keep them with you all the time.
Look around for a different insurance company.
You do need to think about whether or not your home buildings insurance company is an approved one, but as far as your mortgage lender is concerned, insurance prices are very competitive these days. So, use this to your advantage and look around to see if you can find a cheaper deal online or in person.
Cover the value of the mortgage with insurance.
Even though it is not a good idea to only insure your home for the amount you still owe on your mortgage, if money is tight and the amount you still owe on your mortgage is not too far off from what your home is really worth, you may want to insure your home for the amount you still owe on your mortgage. This way, if the value of your home goes down, your premium payments should also go down.
Even though there are a number of ways to lower both your home contents insurance and your home buildings insurance, it is best to try to keep enough insurance to cover the real value of all your great things.
