Buying a new home is a big deal. It’s costly and is an important life event for first-time homeowners. One of the most important parts of buying a new property is making sure it’s protected with homeowners insurance. Keep reading to learn more about the characteristics of good homeowners insurance and how you can lower costs while still getting high-quality coverage.
Why You Need Homeowners Insurance
Buying a home is a major purchase. Due to the costs and value of an average home, it’s important to make sure that you won’t have to pay too much out of pocket. Homeowners insurance ensures that any property accidents, damage, or theft are covered. Homeowner’s insurance can even cover personal liability or other living expenses if you are forced to leave your property for an extended time period. Renters also need insurance but will typically be covered under a renter’s insurance policy.
What Makes Good Homeowners Insurance?
When looking for homeowners insurance, there are a few things you should look into before deciding which policy to purchase. Here are some qualities to look for in your insurance provider and policy to make sure you’re getting the best quality plan for your home.
You’ll want to research companies in your area to find a reliable insurance provider. You should look into online reviews, both on the company and third-party websites. This will help you get an understanding of customer experiences with different companies. You should also look at a company’s history of resolving claims before committing to a provider. It’s important that you make sure your insurance provider is reliable and has a history of good customer service.
Just Enough Coverage
It’s crucial that a policy covers everything you need in your homeowner’s insurance. Know what your needs are and ensure that they are addressed. You’ll also want to make sure that your policy isn’t covering things you don’t need. The more that your policy covers, the more you pay. While it’s important that your needs are met, you also want to make sure that your policy isn’t overly broad for what they are.
Your company should be conveniently located to you. Your provider should also make it easy for you to reach them in case of questions or concerns. It’s a good sign if your provider has features like 24-hour online chats. At a minimum, you should be able to contact your provider by phone or email and get a timely response. If you are having trouble reaching a company during the process of getting a quote, that’s a red flag that they may not be a good provider for you.
Look for Discounts and Offers
Many companies offer discounts for a good insurance record or for other special circumstances. For example, if you’re a first-time homebuyer, some companies may offer discounts on your homeowner’s insurance policy. While discounts don’t necessarily indicate that one company is better than another, they can save you money on insurance.
Ways to Reduce Insurance Costs
At the end of the day, you get what you pay for. It’s better to invest in a comprehensive insurance policy that addresses your needs rather than cutting corners to lower costs. However, there are a few ways that you can reduce insurance costs by taking precautions or maintaining good records.
Take Security Precautions
Taking small steps to increase the security of your home can help reduce your insurance costs. Ultimately, insurance costs will be partially determined by how risky it is to insure you. How likely are you to file a claim based on your insurance history and the safety of your home? Simple measures like having a security alarm or system in place can lower insurance costs because it lowers the risk of theft occurring at your home.
Bundle Insurance Policies
Buying multiple insurance policies from the same provider can reduce insurance costs. For instance, buying your auto and home insurance through the same provider can lower the costs of each. At Portal, we offer multi-policy discounts that can save you up to 20% when you bundle your insurance policies.
Good Credit, Rental, and Driving Records
Maintaining good records when it comes to your credit can help you save on insurance costs. Many companies will review these records to assess the risk of insuring you. Better records equal less risk, which equals less costly insurance policies.
Protect Your Home
Whether you’re buying your first home or just moving into a new space, it’s a foundational part of your life. This makes it important to invest in homeowners insurance to protect your it from damage or theft. Portal aims to give you high-quality insurance so you can focus on settling into your new home. Learn more about the discounts we can offer you and get started with a quote today!