Home Insurance – You Can Save Money!

Pah! I hear you say, how can it be possible to save money on home insurance? Well, I’m going to tell you (or there would be little point in the title to this blog). Let me start by saying that if you don’t have this type of insurance that’s fine, if you don’t have a home to protect! If you do, this little piece of paper might save you a fortune.

Owning your own home well, having a mortgage is a huge commitment especially these days and if something goes wrong with your bricks and mortar, it could break you financially if you’re not properly protected. It might seem like I’m being a bit of a drama queen but ask yourself this, could you afford to replace a roof or rebuild your kitchen because the boiler blew up? The answer for many is no.

Now I’ve finished lecturing you on why home insurance is important, let me give you a few tips on how you can save some money on the premiums:

Contents Insurance

It’s wise to take a close look at this particular part of your policy because there might be some savings to be had on your premium. For instance, if you have a minimalist approach to your decor there isn’t much point in being insured for well over £100,000!

Renovate, Renovate!

Some people are attracted to properties that need, shall we say, “a little work” simply because the initial price tends to be lower. However, bear in mind that out of date electrics, leaky roofs and old plumbing can push your monthly payments up.

Where You Live

OK, some of you can’t do anything about this because you’re already committed to a mortgage, but if you’re on the market think about the area you’re going to live in. As we all know weather in the UK is on the change and has been for a number of years. Oddly enough (or maybe not), our country has become an awful lot wetter which results in? Yes, floods! If you can, avoid areas where your home is at risk of water damage due to the river at the bottom of your garden breaking its banks!

You should also avoid areas that are not unlike a war zone! Insurance companies do take the current crime rates into account and this could also result in you paying more for your home insurance. If you are in a higher crime rate area, install an alarm system (your insurance broker will thank you for it).

Speaking of brokers, you might want to avoid them because, well, they’re the middle man and need to make money as well.

A Couple of Obvious Tips

Don’t take out insurance with a view to claiming every time something goes wrong that you can afford to fix without any financial assistance. Some companies operate a “claim free” policy which helps keep your payments down. Think of it as a reward for being a careful customer.

I leave the most obvious tip until last – check your home insurance policy each time it’s due for renewal. Things change and it could be that you’re currently covered for something you no longer need.

 

 

 

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