Do apartment insurance companies reward you with lower premiums when you've been with them for a long time? Are there other ways to reduce premiums?
You may be able to lower your premium by sticking with one company, our experts say, and there are other options for saving money on your policy as well.
"Some companies give longevity credits or loss-free credits," says Jeffrey Schneider, president of Gotham Brokerage (a Brick sponsor). (A loss-free discount is an incentive for people who are lower risk because they have no or a slim history of claims.)
However, if you're new to an insurance provider, there are other ways to save money on monthly expenses.
"You can reduce your premium by installing alarms or temperature, fire, or motion alert devices," Schneider says. "And higher deductibles are often worth pricing out."
Increasing your deductible is a quick way to lower premiums: Raising it from $500 to $1,000, for instance, could mean 25 percent in savings on your premium. Just keep in mind that if you do end up needing to file a claim, you'll have to pay more before your provider covers your losses, so make sure you can afford to do this.
Improving your apartment's security by installing smoke detectors or other alarms can mean premium deductions as well.
And there are steps you can take before purchasing a policy—like improving your credit score, and shopping around for an insurance provider—that will help you to lock in a favorable premium.
"The best way to save money on apartment insurance is to consult with an independent agent to make sure you are getting the coverages that are important to you, and not getting any coverage that doesn’t have any value for you," says Michael Blumenfeld, principal with the insurance company Mile Square. "An independent agent is not tied to any one insurer, and they can shop the entire market for you to make sure you are getting the best coverage and pricing."
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