Tell Your Clients About These 6 Homeowners Insurance Discounts that Reward Proactive Homeowners
Homeowner’s insurance discounts are provided by insurance carriers to property owners through credits or reduced premiums, for upgrades to properties. It can be cheaper to offer the incentive than it is to pay for damages or losses, although it can take longer for the insurance discounts to match the cost of upgrades or improvements for the homeowner.
Even if homeowners don’t get back every dollar they spent, risk reduction is still a better reason to upgrade. Here are a few opportunities for ways to lower homeowners insurance premiums that you can share with your clients.
Proactive Ways to Lower Homeowners Insurance Premiums
Trees on private property should be regularly inspected and have regular pruning by professionals. Homeowner’s insurance discounts or credits can benefit those who can prove they’ve done this, and will often easily be outweighed by damage from severe weather if they don’t.
Most home insurance policies cover windstorm damage, including property damage and tree debris removal. But urban foresters will tell you that proper and regular maintenance of trees makes the tree stronger and therefore less susceptible to damage from wind or storms. Limb or branch failures happen because of structural issues that could have been corrected at an earlier stage of growth.
Smart Home System
Another amazing homeowner’s insurance discount! A smart home system can detect leaks or smoke, emerging issues and also make homes run more efficiently. The devices can minimize damage for the homeowner, and therefore also the number of claims the homeowner files.
Insurers can reward homeowners who have smart technology by reducing premiums or by subsidizing the cost of the devices or paying to install them. Either way, the risk profile is reduced.
Home Security Systems
Home security is one of the cheapest upgrades a homeowner can make and makes them eligible for protective device discounts. The system may include door sensors and smoke alarms, all the way to centrally monitored systems that automatically notify emergency personnel if a problem arises.
Here’s one of the most overlooked home improvements that can lower insurance. Annually, about 1 in 40 homes has a claim for wind and hail damage. Storm-safe windows, made of impact-resistant glass and possibly roll-down shutters, are a sensible upgrade in, for example, hurricane-prone areas, where a homeowner could get a 10-15 percent credit on their policy if they upgrade to this type of window.
Some limitations may apply; the credits may only be applicable in states with high wind risk, or the property owner must meet specific retrofit requirements.
Roof upgrades can include discounts from insurers for impact resistance, which protects against hail or lightning, or for the age of the roof, for homes with newer roofs. Roof discounts may range from 5-35 percent, making them an amazing home improvement that can lower insurance.
Water Shut-off System
Installing devices that cut off a home’s water supply when damage to pipes, water lines, and plumbing is detected can prevent significant damage, thus saving homeowners a discount on their insurance policy.
Being able to inform your clients about these homeowners insurance discounts and initiatives is just another way you can build a strong, long-lasting relationship with your client.