Today, with the rising cost of fuel, insurance premiums, food, and utility bills, we are all searching for ways to save money. House insurance is a great place to make savings, it is estimated that the average household over pay their premium rates by a massive 10% – a significant difference given the difficulties households are facing just to stay afloat. Here, we look at various ways in which you can reduce the cost of your house insurance.
Purchase all your insurance premiums with the same company:
Many people are aware that insurance companies tend to offer the best house insurance premiums when policy holders also purchase contents insurance – so, this is essential in reducing premium rates.
However, fewer people realise that the majority of insurance companies will also offer lower premium rates if policyholders purchase all types of insurance (e.g. car insurance, house insurance, contents insurance, life insurance) with them – although, you do not necessarily need to purchase them at the same time.
Research several insurance companies before settling on the most appropriate policy:
Different insurance companies offer different rates on their policies. Rates change all the time, sometimes they increase, other times they decrease. It is important that you research the market in order to find the best possible price for the type of cover you need. Always compare house insurance quotes between insurers, and with the same insurer in the event of a renewal quote.
Remember when making comparisons between policies that you are not just looking at price, but also at the comprehensiveness of the cover. It is no good purchasing the cheapest policy you can find, only to discover down the line, that you do not have sufficient cover.
Tweak the various options available within the policy, to see if this reduces your premiums
Voluntary excess has an effect on the price of your insurance policy. The higher the rate of voluntary excess, the lower your premium rates will be.
You may notice that a policy offers protection against theft of garden equipment, but you may feel that anything in your garden is easily replaced, or very unlikely to be stolen, in which case, you may wish to remove this cover, as it is largely irrelevant, but is costing you money, nonetheless.
Never renew a policy without contacting your insurance company and negotiating a better deal
Most renewals are not competitive. This is because insurance companies rely on the complacency of their customers. They charge a high rate, because they know many people will not look for alternative cover, and accept the quote at face value. You should always negotiate a better deal than that noted on any renewal notice. This is true of all types of insurance.