Buying Home insurance can always
be termed as a good decision since it gives you appropriate financial cover in
the event of theft, damage, robbery, earthquake, storm, or more. However, many
people do not think of it as a necessity and often avoid purchasing it so as to
save their money.
Keeping in mind the benefits
associated with home insurance, the price cannot be considered as the best
comparison point. After all, it just doesn't cover for your home but also for
your belongings and gets you monetary aid even in the case when you're liable
for third party injury or property damage.
Though there are numerous factors
that determine your policy rates, the most obvious ones include the location of
your property, its age and construction type. Newer homes in areas are less
prone to damage, natural disasters and crime, and are also cheaper to insure.
This definitely is something that you can't control, but there are certain
other ways that can make you eligible to get cheap home insurance. Read on:
1. Shop Around: Like everything
else, you need to shop around to find the cheap home insurance. Online websites
and tools can help you a lot in finding the best policy. You can even compare
two and more policies online to pick the most suitable one for you. Never
assume that a certain insurance firm offers cheap home insurance that clicked
for someone in your friends and family, for your needs and situation can be
entirely different from theirs, and so the same policy may not be the best
option for you.
2. Bundle your policy: Rather
than buying a home insurance policy from a separate provider, consider bundling
it with your existing insurance provider - for instance, home, car, and life -
with the same company. This way you'll get a discount for having multiple
policies with the same company.
3. Don't over insure: When it
comes to buying a home insurance policy - homeowners try to get cover for
anything and everything for obtaining optimum protection. However, it is
advised to get coverage only for what you actually need. Also, try to get
insured for how much it would cost to rebuild your home, not re-buy it. This is
an important factor because market value considers the location of your home
and value of your land. Your homeowners' policy would not pay for any damage
caused to your land.
4. Consider a higher deductible:
You can opt to pay a higher deductible in order to pay off the entire insurance
premium at the earliest. This will not only help you get better cover at the
same price but will also let you get better rebates when filing your taxes.
5. Add safety features:
Integrating safety features such as deadbolts, smoke detectors, fire
extinguishers, etc. may get you good discounts on premium payment. If your home
is located in a disaster-prone area, check on the special modifications you can
make to further reduce your premium.
6. Check Your Credit Score: Poor
credit scores not only affect your ability to get a loan but can also lay an
impact on your insurance premium. Let's say, if your credit score is low, you
may have to pay a high premium value. Work towards bettering this score by
making your payments on time and maintaining a good banking transaction record.
This will in the course of time improve your credit score, which will lead to
you needing to pay a lower premium in future.
All in all, opportunities to find
the cheap home insurance are all around you. You must, for your part, take time
out to find out the most suitable policy as per your need, which will enable
you to save considerably more in future.
If you are looking to buy a home
insurance policy, you may contact HDFC ERGO General Insurance Company that
offers cheap home insurance in India.
Article Source:
http://EzineArticles.com/expert/Sahil_Doshi/1716048
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