Today, we will tell you 10 tips for lowering your home insurance premium. Let’s get started:
With the rise in inflation and interest rates weighing on households’ budgets in 2025, homeowners are looking for ways to save money. Another area that is often overlooked for savings is the cost of home insurance. Since homeowners insurance costs are increasing across the country, reducing yours could have a huge influence on how much you spend.
How exactly do you achieve this? Below, the top insurance experts provide tips on reducing your monthly expenses without cutting off important protection.
10 tips for lowering your home insurance premium
Home insurance covers your home, belongings, and liabilities against unexpected damages. While this protection is crucial, the premiums often comprise costs you can control or lower depending on your needs.
Here are some ways to lower your insurance premiums:
1. Make sure you know the value of your home
“Sometimes, the value of your home plus the inflation guard outpaces actual inflation — and your home can be overvalued,” says Ashleigh Trent, Personal line director and founder of Tower Street Insurance. Trent advises homeowners to review the cost of replacing their homes at least every 5 to 7 years to ensure they aren’t paying too much.
2. Make sure that you customize your other structures to limit your coverage
Other structures protection covers your entire property, except your primary residence, like fences, sheds, or detached garages.
“If you live on a small lot or have a large home with minimal other structures, you could look to decrease that limit,” Trent advises Trent.
In contrast, Greg Martin, president of Think Safe Insurance, notes that although some insurers permit adjustments to suit your requirements, others offer fixed percentages.
3. Ask for discounts
This is among the most effective methods to save money on home insurance. Many insurance companies offer discounts you aren’t aware of, like discounts for non-smokers, retirees, or new home buyers. You could also qualify to receive a discount when you pay your premium every year instead of every month and have set up automatic payments.
4. Make sure you invest in measures to prevent loss
“The best claim is one that never happens, so take precautions to limit your loss exposure,” Trent says. Specific insurance discounts are derived from built-in features like hail-resistant shingles and interior sprinkler systems.
You can still be eligible for savings on your home. Installing burglar alarms, fire surveillance systems, and automated water shut-off systems are some of the best affordable improvements.
“These lower the chances of filing claims, which insurers appreciate [and benefit] you with lower rates,” says Brent Thurman, owner of Keystone Insurance.
5. Secure your claim and your history
Insurance companies are more concerned with the frequency with which you file claims than with the amount they will pay you.
“Most carriers will not offer a quote to people with three or more claims within five years,” Trent warns Trent.
She suggests handling minor losses on your own so they are not recorded since filing small claims could cost more in premium increases than simply paying out of pocket.
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6. Make sure you increase your deductible
A higher deductible generally means lower costs—that is why $1,000-$2,500 are the most cost-effective, says Martin. The balance is important when choosing an appropriate deductible.
“You want to choose an amount that saves you money upfront but won’t be too expensive if disaster strikes and you need to make a claim,” Thurman says. Out.
7. Bundle policies
Although most people know about bundling auto and home insurance, “some carriers give additional discounts for having a valuable articles policy and an umbrella (excess liability) policy,” Trent explains Trent.
Contact your agent to inquire about all available bundle options to help you save money.
8. Contact an independent agent
Instead of contacting insurance companies alone, allow an independent agent to handle the calling.
“[These] agents represent your interests in the insurance market, and some carriers only offer rates through independent agents [anyway],” Trent states. They can access exclusive markets, review hundreds of policies simultaneously, and locate discounts you could overlook.
9. Enhance your credit score
“Many carriers closely tie their rates to a person’s IBS (Insurance Bureau Score) or financial credit rating,” Trent clarifies.
Improving your credit can help lower your premium. Therefore, to improve your credit score, focus on paying your bills on time, decreasing the balances on your credit cards, and reviewing your credit report for any errors.
10. Be aware of risks for liability
Trampolines, pools, and playground equipment are great fun for children but can raise insurance rates because they risk injury. Insurance companies view these as “attractive nuisances” because they can draw attention to your home, which could lead to injury claims. Be aware of this additional cost when deciding whether or not to put these features on your property.
Conclusion
Apart from these strategies, one of the most effective methods is simply shopping for various insurance companies. Insurance companies provide different rates and discounts on the same insurance. Inquiring about quotes from at least three companies could help you save hundreds on your monthly premium while providing ample security.
Every year, make sure you take time to review your insurance policy. “Make sure you’re not paying for things you don’t need or that you’re not underinsured because your property’s value has increased,” Thurman suggests. Also, make sure your agent is aware of any house improvements and lifestyle modifications that may be eligible for savings.
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