You may know our reasons for having home insurance, but do you know there are ways to reduce the cost of your policy?

Whether you rent or own, most insurers provide discounts that cover everything from the age of the policy holder to the size of your deductible.  See which savings you may be eligible for by talking to your broker about these common home insurance discounts.

 

Security Discounts

Adding a security system to your home can pay off not only by reducing crime, but by decreasing your premium as well.  For many home insurance policies, the level of savings varies by the degree of protection offered by your alarm service. 

A Local Alarm Discount provides a premium decrease for having a burglary alarm that sounds when someone enters the premise.  It’s important to note that local alarms don’t automatically contact the authorities, but only alert whoever is within hearing range that something is wrong.

A central monitored alarm offers a larger discount, as these are monitored by an alarm company 24/7.

 

Claims Free Discount

If you have held a home insurance policy without any claims, you may be eligible for a Claims Free Discount. While the number of years varies, this typically kicks in after the three year mark, with additional deductions coming in at both the five and ten year mark.  

Although keeping your home claims free may seem daunting, there are simple ways to protect your building and possessions from simple maintenance to taking preventative measures against the most common property claims.

 

Increased Deductible Discount

While this deductible varies depending on the insurer, most insurance company offer lower premiums depending on what deductible has been added to a policy.  Deductibles can be updated at any time over the course of a policy. Visit your broker for a quote on the different cost-savings offered by different deductibles.

 

Mature Citizens Discount

It might not be the most flattering name for a discount, but age does have its benefits. Beginning at 45, policy holders may be eligible for a reduction on their tenant, condo or house policies. To get this discount, ensure that the date of birth of the oldest person on your home insurance policy is mentioned to your broker. In most cases, this discount will appear automatically once the age of eligibility has been reached.

As with the claims free discount, your overall premium savings may increase with time. We recommend checking with your insurance agency to see what further age discounts your policy offers.

 

Mortgage Free Discount

Owners who are mortgage-free may be eligible for additional savings on their policy, including a Mortgage Free Discount, and a discount for owners who do not have a mortgage against their home, but hold a secured line of credit.

Mortgage companies connected to a home insurance policy should be removed once a home has been paid off. If you’ve recently gone mortgage-free, check in with your insurance brokers so that they can update your policy and add any additional discounts.

 

New Home Discount

Because newer houses are more likely to comply with modern safety standards, homes built within the last 15 years can often qualify for a New Home Discount. Not sure about the age of your home? Search your address at BC Assessment Online for a quick and easy way to determine when your house was built.

 

Reduced Coverage on Personal Belongings Discount

In a typical house insurance policy, contents coverage is automatically set to match the dwelling limit. Some insurers offer additional discounts for reducing contents coverage by 80, 60 and event 40%.

Before making any changes, it’s important to ensure that a reduced policy will still meet your needs. We recommend speaking to your broker about policy limits and whether your personal belongings will be adequately protected before decreasing coverage.