To lower annual home insurance premiums by 5 percent or more, install a home security system and provide proof of it to the insurance company, recommends Forbes. Installing smoke detectors in older homes that don't have them installed already can reduce annual premiums by as much as 10 percent.Continue Reading
Raising the home insurance deductible can bring the overall annual premium down, although the insurance plan may no longer cover some incidences and damages, notes Forbes. However, paying for a few minor repairs may be cheaper than the savings gained by raising the deductible.
Some insurance companies offer a discount on home insurance if the homeowner has other policies with the company, such as car or health insurance, states Forbes. If the homeowner is planning to modify the house in the future, flammable materials tend to be more expensive to insure. Adding potentially dangerous structures, such as swimming pools or trampolines, may also raise home insurance rates.
Paying off a mortgage completely often brings insurance premiums down because the insurance company assumes that the homeowner takes better care of the house after wholly owning it, according to Forbes. Every year, homeowners should check to see if other insurance companies are cheaper and consider any changes that occurred in the past year that may reduce the premium.Learn more about Insurance