If you’re like most homeowners, you don’t think twice about your insurance policy. You know it’s something you must have if you want to protect yourself and your home. You probably even renew your policy each year without talking to your agent. It’s possible you assume the same coverages will continue to be enough. Plus, the cost you’ve been paying is the best it’s going to get.
But what if you’re wrong about those assumptions? Say you didn’t shop around when you selected your policy. You went with name recognition or the carrier with which you also have car insurance. In addition, you’ve made some changes to the home since you moved in, upgrading its inside and outside technology.
Tech can offer advantages besides convenience and a higher resale value. It can also uncover hidden home insurance savings. And that’s a win when living expenses seem to be increasing faster than your paycheck. Explore more than one way to use technology to your advantage below.
Online Searches
It’s easy to recognize the names of carriers with agencies on every block. You may have also been referred to an insurance company when you took out your mortgage. The title company has a relationship with the carrier or writes home insurance policies under the same brand name.
While you might have thought you were getting a good deal, it’s possible you could be saving more. A rule of thumb is to get at least three quotes from a variety of carriers that operate in your state. Don’t just stick to the names you know, and don’t discount carriers within the digital space.
Getting an online home insurance quote from companies with a digital-first presence may surprise you. Simply enter your address and start building a quote with the coverages you need. From liability to protecting your personal belongings, online carriers can often rival what big names offer. You can also save your quote to compare it to estimates from other insurers. Instantly see whether the quotes are comparable in terms of coverage and discounts.
Security Systems
Most homeowners have some form of security to protect their properties, but almost 25% of U.S. residents don’t. Typical security measures include firearms, dogs, and cameras. These cameras can be part of a doorbell or outside fixtures mounted near entry points. The use of outdoor cameras may be effective and result in some home insurance discounts.
Yet, home security systems with smart features may rack up insurance premium savings faster. Security systems usually involve more than one device, including sensors for each access point. There may be professional monitoring for when you’re away. Some monitoring services can even detect sudden temperature changes and leaks. Instantly notifying authorities might be part of the package, helping to deter burglars and mitigate damages.
Check with your current carrier and others to see if they offer discounts for home security systems. You may need to see what the fine print says as there might be specific requirements. These stipulations could include sensors on every window and door. Depending on the policy’s language, you could choose between professional installation or DIY options.
Smart Plugs
Smart devices are designed to automate what humans might forget. Ever nod off in front of your smart TV and wake up with it turned off? That’s the power of automation right there, helping you save on electricity. No need to keep the device on, streaming away while you’re in dreamland.
With smart plugs, the same principle applies to home appliances. When left on, devices like curling irons and hot plates can do more than waste electricity. They could start a home fire, especially if you’re away. For insurance carriers, installing smart plugs reduces the chances of electrical fires.
A lower risk means there’s less probability the carrier will have to pay out claims for fire damage. It’s not unheard of for an electrical fire to result in major reconstruction costs. For damage to just 2,500 square feet, the average restoration costs are between $12k and $23k. If the fire destroys the entire house, the expenses will be significantly higher. Smart plugs can save homeowners out-of-pocket repair and premium expenses by ensuring appliances are turned off.
Smart Locks
Traditional locks have worked for decades. Why switch to a smart version you have to connect to your Wi-Fi? Besides being a desirable feature for homebuyers, smart locks are an addition insurance carriers like. These locks aren’t as easy to pick. Plus, in some cases, there aren’t any lost or hidden keys under the mat lurking around.
Smart locks can be a deterrent to intruders when they realize it will take longer to “outsmart” the device. Their risk of getting caught increases with each second they must spend. Since homeowners can grant temporary access with unique codes, there’s less chance of keys getting lost. It’s also possible to revoke or restrict access remotely, bolstering the home’s security.
Insurance carriers consider these factors favorably. In turn, some companies reward policyholders with a premium discount. Before you count on those savings, check with your agent. You may need smart locks without key options or the devices installed on every door.
Reducing Home Insurance Costs With Technology
Lowering your home insurance premium isn’t just about raising your deductible and bundling policies with the same carrier. As a homeowner, you can use technology to your advantage by searching for coverage online and upgrading to smart devices. Find out what discounts various carriers offer for reasonable tweaks to your home’s features. The initial costs may more than pay for themselves in lowered annual premiums.
