If you’re searching for home insurance, you’ve probably stumbled across countless hints and tips on how to get the best policy at the lowest price. However, being able to identify which advice is sound and which may run the risk of leaving you out of pocket is not always a straightforward task. To avoid any unpleasant surprises later down the line, here are some common home insurance tips you should ignore.
Buy the lowest price policy
Let’s face it, no one wants to pay any more than they have to for insurance and this can make it tempting to go with the first company that offers you the lowest price. However, cheapest is not always best. A low-cost policy may not offer you the cover you need for your home, which can end up costing you more in the long run. While you’ll no doubt want to get the most competitive price, make sure you consider other factors when choosing your policy.
Home insurance cover can vary considerably, so it’s important that you do your research and compare different insurers to find the best possible deal for you. For example, Chill home insurance policies offer a range of benefits that can be tailored to suit your specific needs.
Underestimate your possessions to lower your premiums
Homeowners frequently underestimate the value of their personal possessions in order to pay less on their monthly premiums. While it’s true that the greater your coverage, the pricier your premiums will be, this approach can prove to be a costly mistake in the long term. If you make a claim and your insurer finds out that you are underinsured, they could refuse to pay out, or reduce the claim payment.
If you want the peace of mind that comes from knowing your possessions are fully covered, it’s important that you make an accurate estimation of the value of your belongings.
Lower your deductibles
There’s no denying that a low excess can be appealing. However, by lowering your deductibles, your insurer will have to cover more of your costs, which can result in increased premiums. And the truth is, you’ll likely to pay more in premiums than you’ll be able to get back in claims. Low deductibles can also encourage you to file for small claims, which could damage your no claims bonus. Opting for a higher deductible can save you more money in cases where there are no claims.