Insurance savings -Five types of credits that will cut your home insurance bill

Market Watch ^ | 5-4-08 | Amy Hoak

[RKBA Democrat]

Homeowners often don't take time to reassess their home-insurance coverage when it's time to pay the premium. But with many Americans looking for ways to save a buck these days, examining that paperwork could pay off. While raising the deductible is often an easy way to reduce premium costs, it isn't the only way. Discounts in the form of credits are also available for many homeowners.

"People are really looking in every nook and cranny, if you will, for possible savings," said Pete Spicer, vice president and new product manager for Warren, N.J.-based Chubb Group of Insurance Companies. "Credits can really add up and become substantial," he added.

[RKBA Democrat]

The article glosses over it, but raising your deductible is a great way to cut your bill. If you live near the coast, chances are your insurance company has already raised your deductible for storm damage. If you do use your homeowners insurance, there is a very good chance that your coverage will not be renewed anyway, so best not to use your coverage unless you absolutely have to.

[RKBA Democrat]

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[American Quilter]

If you do use your homeowners insurance, there is a very good chance that your coverage will not be renewed anyway, so best not to use your coverage unless you absolutely have to.

That's my understanding. I raised my deductible to $2k, and I'd only use my insurance if something major happened, like the house burns down or a tree falls on it and crushes it.

[Beagle8U]

The best way to save on home or auto ins is to buy it through an independent agency. They will find you the cheapest rate and will “invent” any credits to get it.

[GOPJ]

Thanks - good tips.

[ottbmare]

A year ago my insurance carrier paid out $100,000 on my homeowner’s policy, and I have not so far heard a word from them about either raising my rates or cancelling the policy. They paid up promptly, gave me no attitude, did everything they could to help me through a very difficult time, and recommended the most wonderful contractors to fix my house.

[philled]

We bought a new house a year ago. At that time I had an independent agent quote us. We remained with USAA and doubt we’ll ever leave them. We’ve had great service on a vehicle claim and have never used our homeowner’s.

[olivia3boys]

I’ve been with USAA for years and years; never used it. . .they seem like a good company though.

They’ll mail my boys cool military calendars upon request! I like that.

[MosesKnows]

my insurance carrier

So put in a good recommendation...who is your insurance carrier?

[ottbmare]

Nationwide. Their Golden Blanket policy. I did not say a thing; the adjuster came in, waved his hand, and said, “We’re going to do this and this and this and this,” and now the house is a hundred times better than it was.

[MD_Willington_1976]

Don’t go with State Farm... bunch of back stabbers...

[RKBA Democrat]

There are differences between and even within insurance companies.

Depending on the state and type of casualty, they might not be able to cancel your policy. For example, if your casualty is the result of a natural disaster, in some states the insurance company cannot lawfully cancel your policy or raise your rates as a result.

The best plan is not to use your policy unless absolutely necessary. If I got hit with $100K worth of damage, I wouldn’t hesitate to put in a claim.

[MosesKnows]

Thank you. I also have Nationwide. My rates did increase slightly after an auto accident but the home replacement value policy went down after they revised their numbers for this area.

All in all I have been pleased with Nationwide for many years. I also keep a substantial umbrella policy with them.

[nw_arizona_granny]

Thank you for the ping.