How do you reduce the cost of your home insurance?  - Home and Domotics

How do you reduce the cost of your home insurance? – Home and Domotics

The period is difficult for many: while purchasing power and income tend to decline, expenses only increase. Therefore, the beginning of the year is the right time to assess your budget and expenses for the year. An expense that is often forgotten, because it is paid for and renewed automatically, is home insurance. As in 2022, home insurance is likely to increase even more in 2023, by 1 to 2% depending on the insurers. How do you improve the cost of your home insurance?

To try to lower the cost of your home insurance, several avenues should be explored.

Accurately assess your needs

Many insurance companies offer ready-made formulas, and they are often considered very expensive, because they are not always adapted to your needs.

Therefore, it is necessary to properly estimate the size of your home and the value of your furniture. There is no need to exaggerate the value, the goal here is not to talk about it, but to be at the right price.

If you install a security system, cameras, or secure windows and doors, remember to report it: as your accommodation is better protected, some insurance companies give a discount.

If you rent, there is no need for exterior insurance, and it is the responsibility of the landlord.

Also, beware of duplicates: Some warranties may overlap, and there’s no need to double up on costs. Thus, home insurance generally covers your children via civil liability. It is therefore not always necessary to choose additional insurance, such as school insurance (the level of coverage should, of course, always be compared).

Some formulas provide a guarantee for the pool, garden, etc. If you live in an apartment on the third floor, you might as well say that all this is pointless.

In short, home insurance should respond completely to your situation, not just to your type of residence.

Adjust the amount of discounts

Your deductible is the amount you will not be reimbursed for, whatever the circumstances. For example, if you have a claim of €2,000, but your contract includes an excess of €500, that €500 will still be your liability.

The fewer deductions, the more expensive the contract. Some insurances sometimes even provide for the complete absence of a deductible. It is therefore possible to adjust the amount of deductions, by adjusting them to an amount which seems acceptable to you in respect of the savings made in return. Be careful, because in the event of a claim, the cost of deductibles may cost you more than the insurance contribution. It is therefore important to judge on a case-by-case basis, as some claims are sometimes very unlikely for your situation.

Keep your home insurance contract up to date

Too often, we take out a home insurance contract once and for all, and never get it back. The contract is automatically renewed every year, subscriptions are deducted, and it’s usually the kind of fee that gets forgotten in the corner for several years. However, our lives evolve, and our insurance contract must evolve too!

A child leaves home, a divorce is announced, you install a security system, addiction breaks down, and so on. Lots of things to report that can reduce the cost of your home insurance.

On the contrary, of course, other changes can increase the contribution: the arrival of a new resident, the construction of a pool or outbuilding, the change of furniture, and so on. Even if this increases your premium, it is important to update your insurance contract to ensure that you are insured in the event of a claim.

conclusion

Home insurance is often a burden that gets forgotten and can change from year to year without even paying attention to it. However, it can represent a large budget throughout the year. To reduce rate hikes, it is important to regularly reassess your insurance contract, assessing your situation, the items insured, and your needs.

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