How To Get Affordable Homeowner's Insurance In Louisiana

by: Alexis Jensen

If you finance your home your mortgage-holder will require that you purchase homeowner's insurance. However, here in Louisiana over 94% of all homeowners who own their home outright - and so are not required to purchase homeowner's insurance - still choose to purchase it.

Why would homeowners do that? For the simple reason that a home is the largest and most prized asset that most people own and they are very motivated to protect that asset.

If you live in an area where high winds are likely to damage your home, or where your home is susceptible to flooding you should talk to your agent about special coverage for those two specific perils.

Even though the vast majority of homeowners want to purchase homeowner's insurance, very few people want to pay any more for their insurance than they have to. Fortunately there are several actions you can take that will reduce the cost of your coverage.

Start by keeping your credit record spotless. Many people are unaware of the fact that your credit score affects how much you pay each month for your homeowner's insurance. Treating credit wisely will save you money when it comes to your homeowner's insurance.

Paying your premiums yearly rather than monthly will also save you money. If that's not in the cards then set up automatic premium payments each month out of your checking account. This will also save you money.

I'm sure you are already aware of this, but I'll mention it anyway - you want to insure your home for the full amount that it will cost to rebuild it and the full amount it will cost to replace the contents of your home. What you do not want to insure is the value of the land that your home sits on.

A portion of your monthly premium is based on how safe your home is - in other words, how likely is it for someone to be hurt on your property and make a claim against your insurance company? Lessen this risk and your homeowner's insurance should be lower. Be certain you let your agent know about any work you do; before and after photos are a good idea.

Start by removing and replacing any uneven or buckled cement work. Fix or replace any broken or lose floorboards on porches or decks and make certain that all railings are secure. Fill in any potholes on the property.

Next make your home less of a target for burglars. Install motion-sensitive lighting and trim all bushes away from windows so that burglars have nowhere to hide. Make certain that all exterior doors have a deadbolt lock and that all windows have a working lock.

Water damage caused by broken water lines is the biggest reason for homeowners to file claims against their homeowner's insurance, so upgrading your plumbing and/or electrical systems can save you quite a bit each month - but talk to your agent about this first and make sure the savings will be worthwhile.

Installing a 24/7 home security system can save you around 20% a month on your homeowner's insurance, but talk to your agent about the system you plan to purchase before you make a commitment as not all systems will give you the full discount.

If you have a home-based business it might be possible to write off all or a portion of your home protection system on your taxes, giving you a double savings.

Buy and install a kitchen-rated fire extinguisher in your kitchen.

Make sure you have the proper number of smoke and fire detectors and that they all have working batteries - batteries must be replaced twice yearly.

What about your deductible? If you can increase your deductible you will decrease how much you pay each month for your insurance. Be cautious, however, because if you ever have a claim against your insurance company you will have to come up with your deductible in cash so don't offer to pay more than you can actually afford.

Buy your homeowner's insurance online. This will almost always save you money. However, don't rely on just 1 of the price comparison websites because each site only compares a few insurance companies. If you want to find the lowest rate possible you'll need to use what you learned in this article to fill out the form on a minimum of 3 different homeowner's insurance price comparison websites.

Remember that if you want your comparison to save you the most money possible you'll need to fill out the form on all 3 websites with the same information.

As soon as you've made your price checks on at least 3 different websites then your job is done and all you have to do is decide which companies you feel comfortable will still be in business 30 years from now and simply choose the best price from among those companies. And that's all there is to getting affordable homeowner's insurance in Louisiana.