Homeowners Insurance RateIf you are a homeowner, you may take your homeowners insurance rate for face value without considering the varying types of rates others have. Most people may not know there are factors that may impact your homeowners insurance rate, but it is helpful to find out what they are.

Below Are Some Considerations That May Affect Your Rates

Imagine being a first-time homeowner and receiving your first homeowners insurance premium bill.  Without much thought you pay it, but later talk to a friend about their premium to find out theirs is much lower and now you want to know why.  Below are some common factors impacting your Alabama homeowners insurance rate, but not limited to:

Condition of Roof- When purchasing an older home, you must consider the age and condition of the roof because insurers do.  Having an older roof increases the likelihood of experiencing leaking or some other potential for a claim.  Also, the cost to repair/replace an older roof may be more costly.  New roofs last longer than the roofs on older homes so it may end up costing you more.

Age of Home- Typically, older homes come with a higher insurance rate since they are more prone to issues because of an older electrical system or pipes AND the fact that materials needed for repairs or replacement for an older home are more expensive and labor intensive.

Marital Status- Typically a married couple has a lower insurance premium than does the single homeowner.  History shows that married couples experience a lower claims history than single owners.

Credit Report- A favorable credit report is a plus if you want to save money on your homeowners insurance premium.  A credit report lists a summary of loans, how much money owed, along with information on whether you pay your bills on time.  Someone who has a poor credit history will most likely pay a higher insurance rate.

Claims History- The past is a strong predictor of the future.  A homeowner who has a history of multiple claims in the past is most likely to have claims/losses in the future, thus assigned a higher rate.

Dog Owner- Dog bites are one of the most common homeowner insurance claims, so if you are a dog owner (especially of certain breeds) you may have a higher insurance rate than someone who doesn’t own any pets.

Home/Property Amenities- Owning trampolines, hot tubs, and pools may sound fun to you and your neighbors, until someone gets injured or killed.  Having property amenities will create the need for higher liability insurance limits to protect you from claims and legal costs that can result.  Some insurers may not choose to insure you at all.

Call Us to See if You Can Save Money on Your Homeowners Insurance Rate

Keep in mind that every insurance company rates differently, so if you have any questions or concerns about the listed factors, give us a call at Burkett & Associates Insurance Agency.  We are here for you to discuss your rating factors and find ways to optimize your insurance protection at a price you can afford.  Call us TODAY at 256-704-7400.