Home Improvements And Your Homeowners Insurance Rates
Homeowners know that there are many costs associated with maintaining real estate. Homeowner's insurance is one of the expenses that cannot be eliminated, since this policy provides financial protection in the event your home sustains serious damage.
You might think that your monthly premium rates are set in stone, but this simply isn't true. There are many things that you can do to lower your homeowner's insurance rates, with one of the more unique options being an investment in the improvement of your home.
Electrical Upgrades
Older homes are often equipped with electrical systems that are outdated. These old electrical systems can be hazardous because they pose a serious fire risk. Homeowner's insurance companies will view a home with an older electrical system as a higher coverage risk. This higher risk results in higher monthly premiums to insure your home.
If you have an electrician update the wiring and electrical components in your home as part of a remodel, you may find that you can petition your insurance company for lower homeowner's insurance rates once the job is complete.
New Roof
A roof serves as the first line of defense against damage to your home. Your roofing system prevents water from entering your home, and it helps to maintain the energy efficiency of your property as well. The age of your roof can have an impact on the cost of your monthly homeowner's insurance coverage.
Older roofs are more likely to fail, resulting in the need to file an expensive insurance claim. Homeowner's insurance providers understand this increased risk, and they raise the monthly premiums on homes with older roofs to help offset future costs.
Having a new roof installed on your home not only provides more protection against damage, it can be a simple way to lower your homeowner's insurance rates in the future.
Home Security System
Many insurance companies are willing to offer their customers discounts for installing systems that improve the safety of their homes. A centrally monitored security system qualifies as just such an improvement.
The installation of a security system within your home can reduce the risk of a break in and help identify a flood or fire in the early stages. These features lower the risk of an expensive insurance claim being filed for your property, allowing insurance companies to pass the savings along to you.
Use your next home improvement project as an opportunity to reduce your homeowner's insurance rates by talking to your agent about possible discounts.