Any responsible homeowner should have home insurance to cover them from problems like break-ins, damage or other issues. Home insurance can be expensive, but with these easy tips, you can save some serious money.
Pay Annually
Paying your insurance costs might seem cheaper in the short-term but will usually end up costing you more over the year. If you can afford it, pay annually in one lump sum to save money in the long-run. This is an investment well worth making.
Bundle your Insurance Policies
If you both, it can be much cheaper to buy home insurance that covers both buildings and contents on the same policy. As well as being cheaper, it’s also much easier to only deal with one insurer. If you don’t own your home, you may only need contents insurance.
Increase Your Voluntary Excess
Your voluntary excess is the amount that you agree to pay out of your own pocket towards a claim, in addition to the excess that your insurer sets. If you can afford to, agree to a higher voluntary excess when you take out your home insurance, as this could lead to a cheaper premium. Make sure the voluntary excess is an amount that you can afford if something happens, so you aren’t caught out if you have to make a claim on your insurance.
Only Pay for What You Need
Before taking out any home insurance, make sure you have the correct cost for your home rebuild and contents cover. If you over or under-insure, this could leave you out of pocket, either with higher premiums or not paying out enough if you need to claim. Use an online calculator to work out the value of your possessions. If you buy an insurance package, you might end up with an added cover that you don’t need, which can mean you pay for things that you don’t need. If you can, have these additions removed to save you some money.
Build Up a No Claims Discount
If you don’t make a claim on your policy, then you can build up a no-claims discount which you can use when it’s time to renew your insurance. Avoid instances that require a claim as much as you can in order to keep your insurance costs low. If you’re considering making a small claim on your home insurance, consider paying for it yourself instead, in order to preserve your no-claims discount. This could be a cheaper option in the long-term.
Watch Out for Admin Charges
Admin charges can be easy to miss when you take out an insurance policy, but they can soon add up. For example, some insurers will charge for things like changing your address if you move house. Watch out for these charges, as they can soon add up. Sometimes, a slightly higher premium cost for a policy with cheaper admin fees could save you a lot of money.
When shopping for insurance, always do your homework in order to get the best deal.