Insurance Discounts - How Can You Qualify?

How much insurance costs the homeowner depends on many things, most importantly where you live. You can't usually do much about that, but there are ways to minimize the cost of homeowners insurance.

Most homeowners' policies include discounts for things that take just a small amount of work, and most of these are safety features that you'll want anyway. For example, you might get a discount if you have smoke detectors in strategic places in the house. Ditto fire extinguishers: If you can assure your agent these are available for quick use, you could get a break. For retired homeowners over 50, there could be a discount as well. The bottom line is: Always ask your insurance agent what discounts are available. And be sure to let him know of any upgrades to your home’s systems.

What to Ask Your Agent

The most common discounts to ask about are:

• One company, multiple policies: Having your home, car, and other insurance with the same company normally will reap a discount
• Smoke detectors
• Fire extinguishers
• Sprinkler systems
• Security alarms (theft and fire) that report to a central system
• Deadbolt locks
• Updated plumbing, heating, and electrical systems
• Earthquake retrofitting
• Wind-resistant shutters or other protective natural disaster devices
• Company loyalty (if you have been with the company for several years there may be a longevity discount)
• Senior citizen discounts
• Paid mortgage: If you have paid off your house, the insurance company is likely to think you will take better care of it, and price accordingly

Of course, you may have to provide proof of these things before your insurance company will give you a discount, but the result of a little work may well be worth it.

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