Last week we shared five of the 10 “hidden” discounts available on your homeowners insurance. This week we will share the last five on the list. Please remember that if you would like to see if any of these discounts apply to you, or if you would like a quote on your homeowners insurance, please feel free to give our office a call.
Claims-Free Credit
Home insurance companies have been increasingly willing to offer increased discounts for remaining claims-free. The reasoning is pretty straightforward: Your ability to avoid claims helps the insurance company retain more money; and, as part of that, they are willing to pass on some of the savings through discounted premiums.
It’s a fairly a new discount that isn’t being offered by every homeowners insurance company, but for those that do, the savings can be significant. Insurance companies understand it’s in their best interest to reward clients that avoid claims.
Claims-free credit: 20 percent.
HOA
Thanks to the security aspects now offered by many homeowners associations, including neighborhood watches, home maintenance, and the association’s restrictions and covenants, your insurance company may be willing to discount your premiums.
Homeowners association credit: 5 percent to 10 percent.
New Rates
Home insurance rates are dynamic. As neighborhood values rise and fall along with construction costs, insurance companies adjust their rates to appropriately manage their risks. In some cases, the new rates will change in your favor. So while you may not have fit the insurance company’s preferred tier over the past year, changes to their rating structure may have you as part of that tier for the upcoming year.
New rates credit: Talk to your agent.
Mature Insured
Insurance companies look to retired customers as part of their preferred clientele. This is because they tend to spend more time at home where they are typically quicker to detect hazards like gas leaks, cracked pipes, or a smoldering electrical panel.
If you or your spouse are 55 or older and retired, and your home is your permanent residence, you may qualify for a mature insured credit.
Retired or 55+ credit: 10 percent to 25 percent.
High-Tech Sensors
When we think of sensors that keep our home safe, most of us think of either a fire alarm or a security system. While these are both excellent and creditworthy loss-prevention devices, insurance companies are just as excited about new technology in sensors that can detect water or natural gas leaks before they ever become a claim.
Water sensors come in two varieties. Passive leak detectors are inexpensive stand-alone devices that emit an alarm and/or flashing light when moisture is detected. Active leak detectors signal a leak and shut off the water source. Active systems may be installed on individual appliances or as a whole house solution. Gas detectors are most often passive.
Sensor credit: 5 percent to 10 percent.
