As a rule, your home insurance rates are liable to go up after an accident. Home insurance premiums are adjusted almost ever time a claim is made or a bad natural disaster causes damage in the insured area. While you can’t control the weather, it’s still possible to avoid your rates rising or to avoid them skyrocketing after an accident.
Have Damage Appraised Before Filing a Claim
Some homeowners’ knee-jerk reaction to an accident or disaster is to immediately file a claim. You may not want to jump into an insurance claim, however. In some cases, the damage to your home may cost less to repair out of pocket than it would be to pay your deductible for filing a home insurance claim. Home insurance claim can stay on your record anywhere between five and seven years, meaning you may pay higher rates during this period, as well.
Have the damage to your home appraised by an expert after an incident.
Fortify Your Home
Before an accident ever happens, you should take safety measures to protect your home against possible dangers. Not only can this prevent incidents and natural disasters from causing a ton of damage, but it can also save you money on insurance. Consider upgrading your roof to be storm resistant, reinforcing your doors and windows, adding an anti-burglary alarm system, and updating your fire alarms.
Keep Up with Your Claims
If you have filed a home insurance claim in the past, make sure to keep track of it and be aware of the time that has passed since filing. Filing too many home insurance claim within a short period can not only raise your prices, but it can also lead to being dropped by an insurer.
Don’t File a Claim for Something Small
Small claims can add up on your home insurance policy. As stated before, it’s best not to immediately file a claim. Theft, for example, is a common home insurance claim that drives premiums higher. If someone steals $1,000 worth of belongings and your home insurance deductible is $500, it may be more cost effective to simply pay for replacements rather than filing a claim for compensation and risking your monthly rates going up.
Be sure to keep track of your home insurance policy and check it every year for changes and new ways you can save money.