Property is a prized possession, and to safeguard it from
unexpected damages in the event of fire, flood, earthquake, etc. getting a home
insurance is always necessary. However, if your existing health policy is
exhausting your monthly income, listed below are a few sure shot ways with
which you can control your home insurance costs:
1. Shop around: The decision of buying a home insurance policy
should not be taken in haste. Instead, you must explore and make a list of
insurance policies that are being offered by various insurance providers. You
may also get insurance quotes online to estimate the costs of different
policies. Choose a reliable company from which you can buy the comprehensive
home insurance plan that suits your needs, and of course, your budget.
2. Increase your deductibles: Deductibles is the fraction of the
claim that you have to pay before your insurer pays the claim as per the terms
of the policy. The higher the deductibles you set, the lower premiums you will
have to pay every month. However, you must set the deductibles as high you can
afford.
3. Locate intelligently: Purchase the property in a strategic
location but make sure that it is based away from the damage-prone areas.
Reason being, if you live in a disaster-prone areas where flood, storm or
earthquakes are a common occurrence, there are chances that your home insurance
policy may have a separate deductible for such kind of damages.
4. Avoid making small claims: This is the most common mistake that
many people make. You exhaust your policy in small claims thus leaving no room
for bigger loss protection. Rather it is advised to deal with smaller issues on
your own and keep this policy to protect your home from bigger catastrophic
losses.
5. Improve home security: To avoid getting your home damaged from
little mishaps, it is suggested to increase the security in your home by
installing devices like smoke detectors, burglar alarm, etc.
6. Merge Policies with one Insurer: Just like you pool your
internet, phone, and TV package, you can also merge your insurance policies
with one insurer. Buy your health insurance, homeowners, life, and auto
insurance plan from one insurance company and come out cheaper by bundling
these insurance products together. You may also buy policies in a package that
is less expensive as compared to single policies. It also liberates you from
the trouble of policy renewal.
7. Eliminate Unnecessary Coverage: Don't buy the coverage you
don't need. Like earthquake coverage is often unnecessary in most zones, don't
include jewelry if it is at a catchpenny price etc. Also exclude a land value
from your policy. Covering land on which your house is constructed is simply of
no use as it is unlikely that your land will be stolen or burnt is fire. So to
save big, insure the value of your home only.
There are many insurance providers who offer age and profession
discounts as well. Some times there certain discounts for retirees and people
with good credit rating. Never eliminate the coverage that is important just to
save your money as spending extra on important services will benefit you in the
long run.
If you are looking to buy a good home insurance policy at
affordable price, you may contact HDFC ERGO General Insurance Company
Article Source: http://EzineArticles.com/expert/Sahil_Doshi/1716048
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