The Impact of Home Security Systems on Insurance Rates
What if you could keep your family safe while saving money each month?
Good homeowners insurance can protect your family home and possessions from financial disaster. The only annoying thing about it is usually the monthly premium. As it turns out, though, installing special home security systems can lower your premium each month while helping deter thieves and other intruders.
How does home security and insurance work? And just how much will a security system lower your homeowners coverage? Keep reading to find out.
Exploring the Link Between Home Security and Insurance Costs
Chances are you are asking a big question right now: “Will a security system lower my homeowners insurance?” In most cases, yes: If you install a monitored system, your carrier will usually lower your premium.
The reason for this is simple. Your homeowners premium is influenced by how likely the carrier thinks you are to get robbed and then file a claim. A good system makes you that much less likely to get robbed. The carrier will take this into consideration and most likely lower your monthly rate.
The Potential for Long-term Financial Benefits
One of the things that makes a good security system a great investment is that it may more than pay for itself by lowering your premium every month. Throw in the fact that keeping robbers away will also keep you from filing a claim (which can cause your rate to go up) and you have the potential for long-term financial benefits.
How Security Systems Lead to Insurance Discounts
Installing the right system can help you directly lower how much you pay for your home policy. On top of that, installing a system like that can help you qualify for homeowners protection discounts. By asking your carrier about possible discounts ahead of time, you can also verify which kinds of security features help you qualify for the best discounts.
Examples of Security Features That Lower Premiums
There are many low-tech and high-tech systems that can help you save on home insurance. On the low-tech side, installing deadbolts and having fire extinguishers on hand can help you save. On the high-tech end, you can also install monitored security systems with as many extra features as desired. Those extra features may include camera surveillance, sprinkler systems, gas leak protection, and more.
Different Systems, Different Savings
A very common question is, “How much will a security system lower my homeowners insurance?” Many variables affect the answer, including exactly which system you installed. While the deadbolt may yield small savings, a monitored system will almost always help you save more.
As a general rule, you are always better off asking the carrier which systems qualify for what kinds of discounts. This will keep you from blindly buying a security system and then being surprised by the meager (or even nonexistent) savings.
Comparing Traditional Alarm Systems and Smart Home Technology
A traditional alarm system is very simple: it lets out an alarm when someone breaks into your home (remember, burglary is one of the top insurance claims), and such systems typically need to be installed by professionals. By comparison, smart home technology security solutions can typically be installed by the user and allow a range of functionality, including cameras that you can access via your phone.
Many modern systems also allow you to speak to people who may be breaking into the home or already in there, allowing you to scare them away. And such systems may offer the bells and whistles described earlier, including leak protection and even sprinklers that can be set off automatically or manually as needed.
Tips for Working with Insurance Companies to Recognize Your Home’s Security Upgrades
For those hoping to save on home insurance by installing one or more security systems, the best advice remains to speak to the carrier before buying or installing anything. This allows you to verify you are getting the right system needed to lower your rate and qualify you for the best homeowners insurance discounts. That is also the ideal time to ask them any lingering questions you may have about home security and protection.
Other Ways to Save On Home Insurance
As you can tell, home security and insurance can be pretty complex, but saving on your policy is easier than you might think. There are many tips to save on homeowners coverage, including increasing your deductible and asking about other discounts (they are often available for everything from setting up automatic payments to being a specific kind of worker, such as a teacher or member of the military).
You can also work on improving your credit score, bundling policies together, or even buying a home in a safer neighborhood. By far, though, the best thing you can do to lower your rate is to get a better price from a better carrier.
Get a Free Homeowners Insurance Quote
Now you know about the relationship between home security and insurance. This includes how installing the right systems can help you save on your premium and how they may qualify you for special discounts. This can help you save, but do you know where to get the best prices and service on your homeowners policy?
At InsureOne, we specialize in giving your home and family the protection they deserve. Ready to stay safer than ever, complete with the most competitive prices and service? All you have to do is get a quote online. You can also pick up the phone and give us a quick call at 800-836-2240. Finally, feel free to come find an InsureOne office near you.