If you want to lower home insurance costs, we have compiled some handy tips to help you along the way.
Lower Home Insurance Costs – Establish Your Needs
We recommend contents insurance for everyone, including renters. however, structures insurance is often reserved for freehold homeowners. Otherwise, the management firm or landlord is responsible).
Be wary about underinsuring your contents. Consider turning your house inside out. Contents insurance normally covers the contents of your home, as well as a few extras. Many people underinsure their belongings. This is because they believe they will never claim more than £10,000. But if you only insure half of your items’ value, insurers may only pay out half of what you lose. To find the proper cover, use a contents calculator.
Be wary of over-insuring when it comes to buildings insurance. This includes your home’s structure as well as permanent fixtures and fittings. Many people mistakenly insure their homes for their market worth. What matters is the’replace value,’ or how much it would cost to rebuild it if it were destroyed.
Utilise Comparison Sites
This is the path to take, regardless of the cover you want. Comparison sites send your information to dozens of insurers and brokers at once. However, don’t just use one as follows. They can cover a variety of insurers, and they frequently charge varying rates for the same company.
MoneySupermarket is currently our top choice, followed by Confused.com and Compare The Market. These sources are great for people who have typical circumstances. If that’s not you and you’re having trouble getting companies to send you quotes, seek help.
Lower Home Insurance Costs – Haggle & More
Direct Line to name but one example do not include themselves on comparison sites. They can offer good deals for some though, so do be sure to check them out. It may be especially useful for those who require a large level of coverage or for existing customers who may be eligible for a discount.
Also. f you want to stay with your current company, tell them you want to stay but ask if they can match your lowest pricing elsewhere – this is usually possible.
Cashback
If you’re a member of one of the two major cashback sites, you can compare prices there, but you won’t necessarily receive the same deals as you would with the other comparison sites listed above, and cashback isn’t guaranteed. However, once you’ve chosen the cheapest insurer through a comparison, investigate if you can get a better deal by purchasing the specific policy through a cashback site.
Be Happy With Deal Before Proceeding
Check the key terms to make sure you’re happy, and make sure the company you’re buying from is regulated by the Financial Conduct Authority (this shouldn’t be a problem if you use the procedures above). Remember that if you have an issue or your claim has been denied unfairly, you have the right to take your complaint to the free Financial Ombudsman.
