Although you may not be legally required to have homeowners insurance (depending on your state), you will still need it. If you are a homeowner, your mortgage lender will most likely require coverage to obtain your loan. If you’ve already paid off the house, it’s still a good idea to shop around for the best homeowners insurance rates so you can get coverage that protects you in the event you lose or are about to lose your home, for any number of reasons ( lawsuit, fire, flood, etc.)
How do you get the best rates? Shopping. Take a minute to search for quotes on a trusted site and compare those quotes to learn about different companies, coverage options, and policy details. Please read each offer carefully, including the fine print. Know exactly what the coverage costs, which should ideally be the home, property, and contents. Some companies may require you to purchase separate home contents insurance.
Don’t confuse the amount you paid for the house with the costs of rebuilding it. Construction prices only go up, not down. A home’s value only goes down over time unless you make significant improvements. If your home has “disaster resistant” features or safety equipment and technology, insurance companies will likely offer you a good discount. You can do things like reinforce your roof, upgrade your electrical systems, install an alarm system, etc.
Do everything possible to maintain a good credit score. If your credit is bad, it will be more difficult to get the best homeowners insurance rates. Do everything you can to catch up on your bills and raise your credit score as fast as you can. Show potential insurers that you are successfully improving your personal credit.
How to Get the Best Homeowners Insurance Rates
Try to get any discount you can. Most insurance companies offer some sort of discount to attract new homeowners and retain current customers. The types of discounts available vary from company to company. As mentioned above, there are usually discounts for having a burglar-proof and weather-resistant home. However, you can also get a discount for paying annually instead of monthly, or for not smoking. Some insurance companies actually offer discounts if everyone in the home doesn’t smoke.
Prepare all the information about your house and its building materials, as you may need to provide a lot of details during the application process. Do you have a garage connected to the house? What kind of materials were used to build the roof? Be sure to answer correctly so that you can get the right insurance for your needs.
Where should you start your search for the best homeowners insurance rates? Lemonade has been featured in The Wall Street Journal, Forbes, Financial Times, TechCrunch, etc. Lemonade Insurance Agency is known for charging a “flat rate” for everything and paying claims super fast.