Homeowners Insurance in Florida has seen stark increases in the past year. This has to do with claims and inflation. When insureds see their premiums rise, they often ask what they can do to lower the price without sacrificing coverage.
HOW DOES A DEDUCTIBLE EFFECT PREMIUM RATES?
A higher deductible correlates with a lower premium cost. The deductible is the price you pay after a loss or damage before your insurance company starts to pay for the losses or damages you incurred. So, a lower deductible means less out-of-pocket expenses when you make a claim; however, a higher deductible means lower annual expenses toward your premium. In Florida, an average deductible is $1,000; depending on your budget and whether or not you're in a destruction-prone area, you may want to look into raising your deductible. Savings can be up to 25% after a change like this.
HOW DOES BUNDLING HOME AND AUTO DECREASE RATES?
Bundling Home and Auto Insurance can add discounts to each policy individually and unlock other policy benefits and conditions. By purchasing two or more policies from a carrier, you're saving money! So, in a state like Florida that commonly has $1,000 for Homeowners Insurance and high rates of those under or uninsured for Auto Insurance, it's worth discussing with one of the agents at Wiglesworth-Rindom if this can save you money on your rising premiums.
HOW DOES A DISASTER RESISTANT HOME HELP LOWER COSTS?
Discussing with your agent what qualities of your home make it “High-Risk” to insure can help you learn what you can improve to lower your rates. For example, storm shutters to help protect against hurricanes or other natural occurrences lower your chance of making a claim after a storm (and therefore, making your house cheaper for companies to insure). Old roofs are also a common liability with insurance policies; reinforcing or buying stronger roofing materials if needed may be expensive now but will save you money in the long run when it comes to claims and your policy.
Outdated heating and electrical systems in your home increase your chances of experiencing fire damage. By having these systems updated, you can lower your risk and premium.
A disaster resistant home is also a safe home. Smoke detectors, burglar alarms and dead-bolt locks can give you discounts up to 5%. Certain companies with even provide discounts as much as 20% if a sprinkler system with these alarms is installed.
Before you invest in these systems, make sure to talk to your agent to find out what your savings would look like!
DOES MY CREDIT EFFECT INSURANCE POLICY RATES?
Insurers often reference credit information to price out Homeowner Insurance policies. Making sure your credit doesn't decrease can hlep keep your rates low. Paying bills on time, not overusing credit, and keeping an eye out for any credit errors for an accurate reflection of your credit standing.
DO YOU HAVE AN INDEPENDENT AGENT SHOPPING FOR YOU?
With all the different plans and carriers in Florida, it can be intimidating finding the right plan for you and your home. An independent agent can take that stress off your plate by shopping the market for you. At Wiglesworth-Rindom, we work with 64 carriers across the state and know the ins-and-outs of the everchanging market. By shopping around instead of settling for the first policy you find, you can find a significantly cheaper rate.
To set up a time to go over your policies and the best course of action on how to lower your rates, reach out a Wiglesworth-Rindom agent today! We've been voted Best of Treasure Coast and Best of Palm Beach 2021 & 2022. You can call our team at 561-637-2424!