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How to save money on your home insurance

Nobody likes to pay something for nothing. But essentially that is the premise of insurance companies. You pay them money each year in the form of an annual premium, just in case something goes wrong with your house, car, holiday or whatever it may be. However, few of us claim that often so why do we spend millions each year insuring our goods and possessions?

Well the answer is simple. If something big does go wrong, such as your home burns down, you are injured in a serious car crash or your holiday provider collapses leaving you stranded, insurance comes into its own.

Most of us would have no way of paying to even go some way towards fixing these problems. However, although we all need insurance and in fact in many cases it is a legal requirement, we don't have to pay more than we need to.

No need for loyalty

77% of the British public shops around for insurance. You can save up to 35% on your current insurance quote, but don't just look at price. Consider no-claims discounts, cover outside the home and bicycle cover.

Combined packages

By combining your contents and buildings insurance you can usually save money on your overall home insurance costs and let's be honest, the contests has significant personal value that is worth protecting. Kwik Fit Insurance for example, offer 15% discount on combined home insurance on its site.

Add more security

According to the British Crime Survey, if you add alarms and extra locks and bolts to doors and windows, you will greatly deter burglars and vandals, thus reducing the likelihood of making a claim. Insurance companies recognise this and it is reflected in your policy, i.e. your premium will go down.

If you join your local neighbourhood watch you are not only working together with other residents to make your environment safer, but you can benefit from up to a 10% reduction on your home insurance premium.

Choose to increase your excess

The excess is the amount you pay towards a claim. By increasing the excess from say £100 to £200 you can greatly reduce your annual premium. This makes sense if you rarely make a claim and if each claim is going to be for a high-value item or works. You will also be less inclined to claim needlessly for small damages therefore maintaining your no-claims streak, eventually resulting in a discount of up to 50% off your premium.