11 Ways to Lower Your Homeowners Insurance Rates

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Do you want to lower your homeowners insurance rates? Well, you’ve come to the right blog!

The price for homeowners insurance can vary widely based on your insurer, the size and location of your home, and many other factors. But there are ways you can save in most scenarios, from installing security systems to bundling policies to building your credit score.

Here are 11 ways to lower your home insurance rates.

#1 – What’s Your Deductible?

One of the quickest ways to lower your homeowners insurance premium is to increase your deductible when it makes sense. For example, you could save up to 11% annually by raising a $1,000 deductible to $2,500. However, you’ll want to ensure you can cover that higher deductible in the case of a claim, so do the math to see if an increase makes sense for your situation.

What’s a homeowners insurance deductible?

It’s the amount you’re responsible for paying out of pocket if you have to file a claim. If you have a $2,000 deductible on your policy and must file a claim for $10,000, you’ll pay $2,000 and your insurer will pay $8,000.

A higher deductible can benefit you and your insurer. Your insurer is on the hook for less money if a claim is filed so that savings to them can be passed on to you in the form of a lower premium.

#2 – Secure Your Home

Security systems, smoke detectors, and even deadbolt locks on exterior doors can save you 2% to 15% on homeowners insurance, on average. A sprinkler system with a fire and burglar alarm system could save you as much as 20%.

Savings are based on your system type, your insurer, and several other factors, so we recommend talking to an insurance expert to find out what fits your needs.

#3 – Avoid Small Claims

If minor damage happens to your home, are you better off paying out of pocket or filing a claim? You’ll have to do the math, but you may be better off maintaining a claims-free insurance history than filing a claim that increases your premiums. Otherwise, your rate increases could be higher than what your insurer will pay for your claim.

#4 – Types of Discounts

Who doesn’t like to save money? Everyone loves a good discount, and here are several your local insurer may offer that can lower your homeowners insurance rates.

  • No smokers living in the house
  • Recently purchased home
  • New home
  • Pay through automatic bank payments
  • Paperless billing
  • Be claims-free
  • Install safety sensors (water, gas, fire, etc.)
  • Replace aluminum and knob-and-tube electrical wiring with modern wiring
  • Use impact-resistant roofing
  • Live in a gated community
  • Live in an HOA Neighborhood
  • Mature or Retired Homeowner (over 55 years of age)

#5 – Home Improvements

Home improvements can sometimes lower your homeowners insurance rates by making your home safer and more damage-resistant. The following upgrades may be worth considering, but just be sure to check with your insurer about these rate reductions and then request a new home inspection once the work is completed to maximize your potential savings.

  • Replace your roof and consider fire and impact-resistant materials
  • Add a security system
  • Replace aging pipes, electrical wiring, and old HVAC and water heating systems
  • Take advantage of tax credits for home energy efficiency from the Inflation Reduction Act
  • Use smart technology such as lock, water leak, gas leak, and freezing pipe detectors
  • Install storm-resistant windows, shutters, and garage doors
  • Consider solar panels
  • Use automatic water shut-off valves
  • Get a sump pump
  • Storm shutters
  • Use shatterproof glass
  • Replace or reinforce your roof

#6 – Review Your Policy & the Value of Your Possesions

Have you insured expensive items that have depreciated? You may not need the original homeowners insurance coverage you initially purchased and may be able to reduce your costs. For example, your roof, furniture, and computer equipment can lose value over time from wear and tear. Consider evaluating these items annually to determine if you still need the same level of protection that you’ve been paying for.

Pro Tip: Don’t forget to review your homeowners insurance policy annually, either. You may need to increase or decrease coverage based on changes to your specific scenario.

#7 – Bundle Home & Auto Insurance

You could save as much as 15% on home insurance by bundling it with your auto insurance coverage under one company. Many insurers offer discounts for this type of insurance package.

Pro Tip: Shop around and make sure that the bundled price is lower than the price of buying each separately.

#8 – Credit Score

Homeowners with a low credit score can pay as much as 94% more than homeowners with an excellent credit score.


Many insurers have data that shows that homeowners with low credit scores are more likely to file claims, and that belief is reflected in the form of higher rates. However, it’s important to understand that credit ratings can vary based on your state and insurance company.

If you have a low credit score, analyze your credit report to ensure it’s accurate, and then take steps to increase your score. Ask your insurer what their credit score tiers are, and once you improve your score, talk to your agent about lowering your rates.

#9 – Attractive Nuisances

Attractive nuisances, from a homeowners insurance perspective, may attract trespassers, especially children, to your property and result in health or safety hazards. If someone comes on your property and gets injured, you may be liable, especially if you haven’t taken appropriate precautions to prevent injury.

Pools, playgrounds, trampolines, and construction projects are some of the most common examples of attractive nuisances, but your insurance expert can identify many more. We recommend contacting an agent today.

#10 – Are You Underinsured?

Fact: 60% of homeowners are underinsured due to rising building costs and inflation. If you renovated or remodeled your home during the pandemic, you might be forced to pay tens of thousands of dollars out-of-pocket to rebuild your home if you suffer from a devastating fire, flood, hurricane, or other natural disaster.

We recommend updating your policy to cover your risk factors and avoid an underinsurance crisis.

To learn more about underinsurance, read Will Your Homeowners Insurance Cover a Disaster? Maybe… today.

#11 – Get Quotes

Want the best homeowners insurance rate? It doesn’t hurt to shop around to ensure you get a competitive price on your home insurance needs.

However, don’t drop coverages you might need to save money in the short term because you don’t want to be underinsured if disaster strikes. For example, if you live in a flood zone, you’ll want to keep your flood insurance policy current to avoid paying out of pocket for a rebuild.

Do you have the right homeowners insurance coverage?

Our agents can provide a competitive insurance quote today, so contact us to learn how we can customize your homeowners insurance policies to meet your needs.

*Disclaimer: We offer content for informational purposes; Co-Op Co-operative Insurance Companies may not provide all the services or products listed here. Please contact your local agent to learn how we can help with your insurance needs.


Bankrate. Does credit score affect homeowners insurance? https://www.bankrate.com/insurance/homeowners-insurance/does-credit-score-affect-home-insurance/#does-my-credit-score-affect-my-home-insurance

HAR.com. 9 Ways to Cut the Cost of Homeowners Insurance. https://www.har.com/blog_108534_9-ways-to-cut-the-cost-of-homeowners-insurance

LG Insurance Agency. 10 Overlooked Home Insurance Discounts. https://www.alevinegroup.com/10-overlooked-home-insurance-discounts/

Money Geek. How Much Can Homeowners Save on Home Insurance? https://www.moneygeek.com/insurance/homeowners/security-system-home-insurance-discount/

Nerd Wallet. What Is a Home Insurance Deductible? https://www.nerdwallet.com/article/insurance/homeowners-insurance-deductible

Nerd Wallet. 9 Ways to Lower Homeowners Insurance Rates. https://www.nerdwallet.com/article/insurance/save-on-homeowners-insurance

Nerd Wallet. How Your Credit Score Affects Homeowners Insurance. https://www.nerdwallet.com/article/insurance/credit-score-home-insurance-rates

Policy Genius. 5 home improvements to lower home insurance rates. https://www.policygenius.com/homeowners-insurance/home-improvements-that-can-lower-your-homeowners-insurance-rates/

Value Penguin. How Does Your Credit Score Affect Auto Insurance Rates? https://www.valuepenguin.com/how-does-your-credit-score-affect-auto-insurance-rates

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