Home insurance should be a critical consideration for every homeowner. Along with personal property, homeowners insurance covers your dwelling against many different perils, including fire, wind damage, vandalism, and theft. With the relative frequency of such events — and the high cost of rebuilding or repairing a home — having a home insurance policy is a smart investment.
If you take steps to make your home safer and limit the frequency of claims, your insurer will typically reward you with discounts and credits on your insurance rates.
In other words, certain home improvements like a new roof, wind or impact-resistant windows, or upgrading internal systems like your electrical and plumbing may land you lower policy premiums. Here are several home improvement projects that can save you money on homeowners insurance.
A Roof Upgrade
Upgrading and repairing your roof can reduce your insurance premiums by up to 30 percent. This reduction is caused by the fact that older roofs are more likely to cause you to make a claim for leaks or storm damage. If you live in an area which is susceptible to hurricanes, hail, or tornados, you can save even more money by opting for an impact-resistant roof that will stand up to anything the weather throws at it.
Water Shutoff Devices
Water damage can cost homeowners thousands of dollars. Since these expenses must be covered by insurance companies, having pipes which are prone to leaks or blowouts will significantly increase your insurance premiums. One of the best ways to lower your premiums is by installing smart water shutoff devices. These simple devices come with an inbuilt sensor that detects leaks in your home. They have a shutoff valve that is connected to the water supply pipe. When a leak occurs, the sensor sends a signal to the valve on the supply pipe to shut off the water supply and reduce or eliminate damage to your property.
A Fence Around Your Swimming Pool
Swimming pools are an attractive home feature, but they can pose a significant risk to children and adults who don’t know how to swim. If you have one on your property, your insurance premiums are likely quite a bit higher than average, to account for this additional risk. However, if you would like to reduce your risk and your premiums, you can install fencing, alarms, and security doors around your pool.
Storm Safe Windows
Wind and hail from storms affect millions of homes every year. The costs of repairing windows affected by storm damage can run into thousands of dollars. Your insurance premiums are likely to go up in an area that is prone to hurricanes and other types of storms. If you would prefer to keep your insurance costs low, consider investing in storm safe windows with reinforced frames and laminated glass that can keep out debris during nasty weather.
Home Security Systems
Since insurance companies are inclined to view you more favorably if you take steps to secure your home, installing a home security system can reduce your insurance premiums by up to 10 percent. Of course, the added benefit of this home improvement project is the peace of mind that your new security system will bring to you and your family.
The Bottom Line
Claims, natural disasters, and crime can all cause your insurance premiums to rise. Fortunately, if you complete the home improvement projects outlined in this article, you are likely to be able to bring your expenses down to a much more manageable level.