5 Ways To Save Money on Your Homeowner's Insurance

Are you a homeowner who is curious to find ways to save money on your insurance policy? There are several reasons an insurance company will lower your premium, but you have to ask your agent about which discounts apply to your policy.

Here are a five of the best ways you can save money on your homeowner's insurance coverage:

1. Combining your auto insurance with your home insurance
2. Installing fire extinguishers, sprinkler systems and smoke detectors in your home
3. Subscribing to an independent burglar and fire alarms alert service
4. Installing wind-resistant shutters, deadbolt locks and fire-safe window grates on your property
5. Upgrading your plumbing, heating and electrical systems

Insurance companies will more than likely give you a discount for installing an alarm system, smoke detectors and anti-theft devices such as deadbolt locks in your home because they lower the risk of loss. On the other hand, if you install an in-ground pool your homeowner's insurance premium may increase.

What else can you do to save money? Take a look around your property to see where danger is lurking, for instance are there any trees on your property that are close enough to your home that could cause damage if struck by lightning?

Saving money on your homeowner's insurance policy is important but so is the dollar limit amount of your policy. You need to think about how much it will cost to replace your home and possessions in terms of the current market. If you bought your home and insured it for $100,000 ten years ago and it is destroyed today, it would certainly cost more than that amount to replace it. Having the ability to replace your home in the event disaster strikes is the main the reason why you invest in homeowner's insurance, you need to review the "Declarations Page' on the front of your policy to have a clear understanding of your policy coverage.

Take an inventory of each item in your home, list its value and identification or serial number, take photographs or videotape each room. This should include open drawers and closets, storage building and your garage; this will simplify the claim process tremendously. Keep your receipts for your possessions in a fireproof box. Don't wait until you need to file a claim to discover your policy dollar limit is not enough to replace your home. Discuss your policy coverage with your insurance agent to make sure you have enough protection.