I am not an expert on homeowners insurance and certainly do not play one on T.V. However, as a mortgage professional I am oftentimes faced with the situation of having to either recommend a good agent who can help the borrower or provide feedback on a “deal” the borrower has received. I decline to express a view on something I am not very familiar. However I will instead pass the borrower on to one of my trusted agents.
What I do find though is that borrowers are ill prepared when it comes to selecting the right homeowner’s insurance policy. This is most often the case with first time home buyers. To be fair, understanding the details of a policy can be quite confusing. It is for this reason that we had our own insurance agent write a post here on AMG a few years ago to help readers better understand the nuances of a robust policy.
Today while doing some searches I found a very good guide on how to save money on these policies at the Pueblo, CO Federal Citizen Information Center website. They list twelve ways you can save money on your homeowners insurance. I have listed the twelve ways here, but to get the full picture I suggest you head on over to their site:
- Shop Around
- Raise Your Deductible
- Don’t confuse what you paid for your house with rebuilding costs
- Buy your home and auto policies from the same insurer
- Make your home more disaster resistant
- Improve your home security
- Seek out other discounts
- Maintain a good credit record
- Stay with the same insurer
- Review the limits in your policy and the value of your possessions at least once a year
- Look for private insurance if you are in a government plan
- When you’re buying a home, consider the cost of homeowners insurance
While this can be a good guide, nothing beats talking with a homeowners insurance professional. If you need some pointers don’t hesitate to contact me. I have a few I can highly recommend.