In these times, when finances are being squeezed by higher prices and fewer income opportunities, it is important to try and make savings where ever possible. Homeowners face a particularly tough time and so here are a few tips on how to reduce the annual premiums you pay and get cheap home contents insurance and or home insurance building policies.
Increase The Excess
As long as you remain realistic about what you can afford to pay in the event of a claim you can increase the excess amount on the insurance policy. The excess amount is the amount you and the insurance company agree you will be liable to pay should you make a claim on your insurance policy. This is of course a slight gamble, but one with very good odds. Your premium will be reduced since the higher the excess the less likely you are to claim.
Safety Deposit Box
Whilst you might not like the idea of keeping your prized possessions like jewelry locked away in a safety deposit box, it actually makes sense from a financial point of view and could save you a significant amount of money on insurance premiums.
Shop For Better Deal
Although you may have found the best deal at the time you took out the policy, these days the insurance industry is a very price competitive one and you may be able to find better online home insurance quotes now, particularly online.
Use Outstanding Mortgage Value
This can be risky and is not generally recommended, however if money is tight you may want to consider insuring your home for the value of the mortgage loan outstanding rather than the actual value of the home. Of course should you do this the amount of your mortgage outstanding should not be too far off the real value of your home. This way, with a lower home valuation should come reduced premium payments.
As you can see there are a number of ways that you can make savings on your home and contents insurance, where possible it is best practice that you try to maintain adequate insurance to reflect the real value of all your possessions.