Homeowners Insurance - 5 Most Common Factors Raising Your Homeowners Insurance Rate

By Adams Bridges

Homeowners insurance is an ideal method to protect your home and your valuables against a lot of unforeseen hazards. You should know the elements raise your homeowners insurance rate. In case you want to lower your premium significantly.

1-Living in high-crime area

It's a reasonable idea to do your homework and ask the neighbors and the police about crime rates in the area you plan to buy your home in. Homeowners insurance companies keep maps of a high-rates crime areas which accordingly has high insurance rates. If you live in high-crime neighborhood you will be considered as a high-risk homeowners insurance policyholder and your premium will be expensive. If it's not easy to move, you have a chance to lower your premium by fixing safety devices such as security screens and window bars then ask your agent for security discount.

2-Your home is far from fire department

Insurance providers calculate your homeowners insurance rates on basis of many elements. One of those prominent elements is the distance between your home and the nearest fire station and fire hydrant. If you live away from these fire deterrents or the fire station in your area has only volunteer firefighters. You will pay more for your homeowners insurance rate.

3-Living in flood-prone area

Global warming has a great impact on increasing probability of flood perils (especially in the Gulf States) in the recent years. That makes the insurance premium raises in these areas due to the high-risk of flood damage. Homeowners insurance providers don't pay for claims regarding floods caused by storms. If you buy a home in a flood-prone area your lender will require buying separate flood insurance and that will cost you an additional hundreds of dollars.

4-Keeping dangerous dog breed in your home

Homeowners insurance companies pays hundreds of millions of dollars in liability pertaining dogs bites every year, therefore it's not easy task for the owners of aggressive breeds such as Rottweiler, Pit Bull, German shepherd and Doberman pinscher to find insurance company provides them with an adequate coverage. If you have dangerous dog breed or considering buying one, it's recommended to consult your insurance agent to be sure your premium will not skyrocketing.

5-having Trampoline in your backyard

Trampoline is considered by the homeowners insurance companies as a high-risk factor. In 1998 about 100,000 Americans had been injured when they were using trampoline. If you own a trampoline in your backyard and want to buy insurance policy be sure that the trampoline related injuries liability is covered in your insurance in case one of your visitor get injured, then the insurance company pays for you the legal and medical costs if any one sue you.

You have a good opportunity to minimize your homeowners insurance premium and at the same time keep an adequate insurance coverage if you bear in mind all factors raising your insurance rate.