Homeowners Insurance - What Affects Premiums?

Home Characteristics

• Age of the home. Older homes generally cost more to insure
• Type of structure, i.e. brick, frame, stone or synthetic siding
• The condition and age of the wiring and roof
• Presence or absence of a garage

Location

• Proximity to a fire station
• Exposure to extreme weather (hurricanes, tornadoes, hail storms or earthquakes)
• Neighborhood prone to theft

Protective devices

• Burglar alarm systems
• Smoke detectors
• Fire extinguishers
• Sprinkler systems
• Dead bolt locks

Other factors

• Non-smokers may pay less than smokers
• Credit history of homeowner/renter
• Claims history. Consider withholding claims for small events to avoid premium increases
• Deductibles – the lower the deductible, the higher the premium