Top 5 Tips For Cutting Insurance Costs

Tips in cutting home insurance costsIn a recent survey, 80% of Brits said they would be looking to save money in the coming year by trimming the amount they spend on financial products, despite the fact that a similar proportion have never changed providers.

Thankfully, the home insurance market is already very competitive, with big banks squaring off against smaller providers and driving down prices such as home insurance products from Santander. That’s not to say, however, that there isn’t always a way to save a few more pennies, and here are some useful tips.

Top 5 Tips For Cutting Home Insurance Costs

Get the Proper Fitting

Most insurers have a list of proper locks that they like to see installed on windows and doors. Although they can’t not insure you if you don’t have the right fittings, if you do, you’ll get a saving on your home insurance costs that could be as much as 7%. The most important thing is to remember to keep those new locks locked, you could invalidate your claim even if the locks had nothing to do with your problem.

Increasing Your Excess

Usually you’ll have to pay the first £50 of any claim you make, however, you can increase your excess to save a few extra pennies every month. Bear in mind, however, that in doing so you open yourself to having to pay more in the event of a claim.

Alarms

Fitting the industry standard burglar alarm can reduce your premiums by as much as 10% a year, although they can be quite expensive and do require an annual check-up so whether you actually save money in the long run is open to debate. That said, you will get extra peace of mind from having a really solid alarm.

An alternative option is just to get a pet, there’s some anecdotal evidence that having a dog will save you money. Although you might feel a little daft doing it, it’s worth asking if you’re tired old pooch could save you cash on your home insurance costs.

Special Measures

It’s not guaranteed to save you money, but if you happen to have special protection measures for certain valuables or items (like a safe, for example), its worth saying so, if for no other reason than honesty is the best policy when it comes to home insurance costs.

Things You Can’t Control

Old people are less likely to make a claim, though more likely to be the victims of crime, nonetheless, the older you are the less you will probably have to pay. This may also be connected to the fact that no claims bonuses can save you up to a whopping 20%, so having a few more years behind you can be a good thing.

Another factor that you can’t control is being in a neighborhood watch area, in theory you could save up to 5%, but in reality it’s likely to be a quarter of that much.

Finally, a great way of saving money is to pretend you’re a new customer, lots of insurers offer fantastic introductory deals to attract new customers, so instead of renewing, you could always try applying externally, you might be surprised (and a little disgusted) at how much you save.

 

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