If you are financing your home then your mortgage company insists that you purchase homeowner’s insurance. But the truth of the matter is, the vast majority of people who have paid off their homes and are no longer forced to purchase homeowner’s insurance still choose to do so.
The reason is obvious. The vast majority of people in Alabama recognize that their house is their most valuable asset and they are anxious to do everything in their power to protect that asset.
This is just good, common sense. Still, it is also good, common sense to want to get the best value for your dollar and not pay more than necessary for your homeowner’s insurance.
And that’s where this article comes in. We are going to discuss several things you can do that can allow you to get the same homeowner’s coverage that you now enjoy – only at a price that’s lower than what you are now paying.
Let’s start by looking at how much homeowner’s insurance you have. You need enough insurance to completely rebuild your house from the foundation up and to replace all of the possessions that are currently in your home in case of a disaster. But what you don’t want to do is to make the rookie mistake of including the cost of the land under your house in your calculations.
Keep in mind that most standard homeowner’s policies in Alabama have restrictions on wind damage. If this is a concern to you be certain that you discuss this issue separately with your insurance agent. Also, no standard homeowner’s policy in Alabama includes flood insurance. If you wish flood insurance this must be purchased separately from a government-guaranteed fund; your agent will have all the details.
If you want to get the best rates on homeowner’s insurance in Alabama then you’ll need to make your home as burglar-proof as possible. Install motion-sensitive floodlighting, trim bushes back away from all ground floor windows, install deadbolt locks on all exterior doors and make certain that all windows have a working lock.
You will also need to make your property safe from liability suits due to preventable accidents. This involves repairing or replacing old, broken or buckled cement walkways, repairing or replacing worn, broken or lose floorboards on porches and decks and filling in any potholes or other hazards around your property.
If you live in a fire danger area be certain that all brush and weeds are cut back at least ten feet from all structures.
If your home is 10 years old or older talk to your agent about how much you would save month after month if you made a one-time investment in your property and had your plumbing and electrical system upgraded. You might be surprised at the savings you could realize. Run the figures and if they make sense to you. If they do then upgrading your home will both save you money as well as make your home a safer place to live.
Make sure you have installed the appropriate number of smoke and fire detectors based on the size and configuration of your home. Detectors need fresh batteries twice yearly – many people change batteries each time they set their clocks forward or backward an hour.
Buy a kitchen-rated fire extinguisher and keep it handy for any kitchen fires.
Consider how large of a deductible you can afford. Keep in mind that if you have a claim you will have to come up with the cash to pay your deductible out of your own pocket, so don’t make promises you can’t keep. However, also keep in mind that the larger your deductible the lower your monthly premium payment.
Now go online and find 3 different websites that encourage you to compare prices from different insurance companies for homeowner’s insurance in Alabama. Enter the same information into the form on each site so that you’ll be comparing the same policy on all of them.
When you’re done comparing prices then all that will be left is to choose the lowest-priced company and your job is done – you’ve found the best rates on homeowner’s insurance in Alabama and you can rest easy at night knowing that you are getting the coverage you need at a price that’s saving you money month after month, year after year.