Everyone likes the idea of saving money. But when you’re faced with a complex decision such as guac or no guac (yes, we know guac is extra), pinching pennies can be tough!
At times, it might feel like you can barely “keep up with the Joneses”; your car needs a new windshield; both of your new iPhone’s already need an upgrade; your daughter needs the latest unicorn t-shirt because her excuse is I literally will have to sit alone at lunch because all my friends have it and I don’t. And let’s not forget to mention, saving for the future. Finances can seem overwhelming on the best of days.
Whichever way you decide to spend or save your money, we have put together a few simple tips and tricks, to help you save, when and where you can. Every little bit helps, right?
1) Having a Home Security System/Fire alarm
Did you know that installing a monitored security alarm could likely save you money in the long run? With a security system in place, your home is much less likely to get broken into, which in turn means less risk.
Less risk means a lower insurance rate!
Having a motion detector and/or camera can make your whole family feel safe and it’s also entertaining if you’ve ever wondered what your pets do all day when you’re not home. Mr. Snuggles, might surprise you.
Again, the more secure your home is, the more prepared you are for when a peril does arise. Make sure you opt for the security system that also monitors for fire and water to possibly unlock further discounts, and lastly, insuring your home for fire can greatly reduce your risk and might even reduce your premium.
Hot Tip: your proximity to a fire hydrant and fire station will also be considered in your application, so make a note of yours!
2) Your neighbourhood
The location of your home can impact several factors:
- The frequency and severity of natural disasters (wildfires, tornados, hailstorms, and floods).
- The crime rate in your area.
- The (insurance) claim rate in your area.
- The proximity to a river (flooding)
If you live in a neighbourhood that resembles the Wild Wild West or if you live in a location known for flooding, some insurance companies may increase your rates or simply not offer certain types of coverage just because of that. This is good to know, especially before you purchase that ‘great deal of a home’ on the side of a gigantic cliff. Great view, not so great insurance rates.
3) Claims free, baby!
If you’re one of those lucky, finds-front-row-parking-every-single-time types-of-people and have never had a claim, well then congratulations (insert smirking-face emoticon here). This means you may be perceived as a person of lower risk to your insurance company. This is especially true if you’ve had many years of claim-free insurance. Just another pot of gold to your never-ending rainbow.
4) Mortgage freedom
You’ve worked extremely hard to pay off your debt by fast-tracking, you’ve never added extra guac to your order, and you’ve missed going out for fancy dinners with friends. Whatever the case, don’t you think you deserve a little something to celebrate?! We do too! If you’re one of the few who does not have to make mortgage payments on your home, you might have a lower premium. Mazel!
5) That New Home Smell
Just like a tumultuous relationship with the neighbours, things can deteriorate over time. It’s important to have systems like plumbing, roofing, heating and electrical updated for your home. If a home is not well maintained or updated, there will likely be the risk of more accidents. Newer homes are generally less risky because, well, everything is new and functioning properly. So, go ahead, upgrade your roof, keep your home well-maintained and mend the metaphorical fence between you and your neighbour. You’ll be happy you did.
6) Paying in Lump Sums
When paying your premium, there is usually an option for monthly or annual payment(s). Some companies even offer bi-weekly payments to make it look like you’re saving a ton of cash. “Insurance for as low as $12!” (don’t forget to read the fine print). You might even end up paying more for these options when you do the math, but if you can afford to pay your home insurance premium in one lump sum (annually), you may gain a slight discount. The moral of the story? It never hurts to ask!
7) Your Credit Score
For this option, you must consent to a soft credit check scoring (not as scary as you think). Don’t worry, this won’t bring up all the secrets from your week-long, all-inclusive vacay in Mexico. It only provides proof that you do in fact pay your bills on time and will likely pay your insurance. While a credit score may not always result in a discount, it will never negatively impact your rating. Those photos from Mexico? Our lips are sealed and will remain in the vault….as long as they aren’t already on Facebook.
There you go! Don’t you feel like you’re swimming in a sea of knowledge? Well, maybe you just feel more informed and that’s still a win in our books! Remember, when in doubt, pick up the phone and contact your certified insurance broker – or even jump on the chatbox on our website and have a heart to heart with an Insurely guide.