Homeowners Insurance -- Four Sure-Fire Tips For Cheaper Rates

Contrary to what you might have thought, it is quite easy to position yourself for an affordable homeowners' insurance rate. The only things that stand between you and getting a cheaper rate now are the right information and a motivation to make use of the recommendations you get -- Nothing more. Following are a number of things that will help you get to this goal...

1. Don't insure your home along with the land it is standing on as this will cost you more but is needless. People do this without knowing. Insuring your home for the full price you bought it without subtracting the value of the land it stands on is a big mistake.

If you did such ignorantly, you'll have to review your home owners insurance coverage and check it again with your agent. Deduct the land's value and you will find out that you'll need far less coverage.

Your premium will be less and you'll still have sufficient coverage if you do this right. Since insurance is for things that can't afford to lose, insuring the land which can neither get lost or damaged isn't a smart move.

2. Your rate is partly determined by your credit history. You will pay higher home owner insurance rates if you have a poor credit rating. What your credit rating reveals is how you have handled your bills and it speaks badly about you if it's a poor one. This is a behavior that most insurers believe will be exhibited in the way you handle your premiums. If you're seen as a likely defaulter, it makes you a higher risk and attracts more expensive premiums than otherwise.

It will, therefore, be a good step to do something about making your credit rating better. You will attract cheaper premiums if you do.

3. Choosing to pay your premiums on a monthly basis results in higher rates than you would pay if you choose to pay yearly. A strong reason for this is the cost an insurer incurs for posting you twelve bills instead of just one anually.

The cost increases if you add the fact that they pay transaction charges for processing each check you give them monthly as payment. twelve checks are 12 transactions which mean 12 separate transaction charges. And, if you really come to think of it, these additional overheads are ultimately built into your rates.

As a result, you will get lower rates if you opt to pay your rates yearly. The actual amount you could save might differ but expect to save up to a month's premium worth with some insurers if you choose this option.

4. As you take these other steps to reduce your home premium, here's something you can do to receive lower rates today. Visit trusted insurance quotes sites and get quotes. Visit not less than five of such sites for the best results. It's free, quick and easy. Please make certain you give your correct details as you fill the questionnaires presented. The last step is to just pick the offer that represents the best price/value from the quotes you receive.

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