You didn’t compare rates
It’s the first step in any smart shopper’s process, whether you’re buying groceries, laptops or insurance. Don’t just purchase the first policy you find or become complacent with your current provider’s rates. Comparison shopping is the most effective way to get the most value out of your insurance and ensure that you’re not paying more than your neighbors for no other reason than you just didn’t do your research.
You’ve purchased two policies from two providers
Most providers offer special bundle prices that could help you save as much as 20% on your premium. Consider consolidating your auto and homeowners insurance policies by purchasing them from the same provider. In addition to big savings, it’ll help cut the time it takes to manage your policies in half.
Your deductible is too low
Depending on how much you think you could afford to pay out of pocket in an emergency, raising your deductible could be a smart savings strategy for you. The higher your deductible is, the lower your premium will be, and vice versa. If your monthly payments seem way too high, take a look at what amount your deductible is set and work with a licensed agent to find the optimal balance for your budget.You haven’t uncovered discounts
Do you have a squeaky-clean claims history? Have you installed smoke detectors in your home? Do you keep fire extinguishers around? If you answered yes to any of these questions and aren’t collecting discounts on your home insurance, you’re paying way too much. Work with a licensed agent to discover all of the discounts for which you could be eligible, and narrow down the lower premium you deserve.
You have several claims under your belt
If you have a history of filing large claims, you’ll probably have a higher home insurance premium than your neighbors. That doesn’t mean you shouldn’t file claims when you need to – that’s what your policy is for. However, if you find that your home is extremely accident-prone, it’s probably a good idea to re-evaluate your safety practices. It may also be to your advantage to make some improvements around the house to help prevent claims, such as reinforcing window shutters or repairing an older roof. In addition to helping to prevent claims, some insurers may offer discounts for some home improvements such as these.
Whether you’re shopping for a new policy or looking to find better rates, keep these common insurance mistakes in the back of your mind. It’s easy to find a better value and greater peace of mind when you know what not to do when buying homeowners insurance.
source: http://homeinsurance.com/blog/2013/01/18/5-reasons-you%E2%80%99re-paying-too-much-for-home-insurance/
