| Insurance premiums are calculated according | | | | Doubling Up |
| to several risk factors. These are the | | | | |
| factors identified by the insurance company | | | | You should also try to make sure you do not |
| as most likely to have an impact on the | | | | double insure. It is a principle of insurance |
| insured against risk occurring. Insurance is | | | | that you cannot benefit from the insured |
| a significant cost associated with the item | | | | event?s occurrence. So you cannot get paid |
| insured and should not be rushed into. It is | | | | twice even if you have two insurance |
| always a good idea to shop around for the | | | | policies. So if a risk is already covered by |
| best price available. Insurance premiums will | | | | one policy, again let your insurer know so |
| vary considerably from insurer to insurer so | | | | they can remove it from their calculation. |
| do your homework. | | | | |
| | | | Location, Location, Location |
| Shopping Around | | | | |
| | | | Home insurance rates depend on factors such |
| Look up the various insurance companies you | | | | as address. If your home is located in an are |
| are interested in and ask them for a quote. | | | | of high crime, or an area that flood often, |
| They can usually give you a rough estimate | | | | or is prone to earthquakes, hurricanes or |
| fairly quickly and even more exact quotes | | | | other significant risks, this will be |
| should also be possible if you provide more | | | | reflected in the policy price. The security |
| details and wait. You should also look up | | | | you have installed will also affect the |
| insurers online and get instant quotes from | | | | premium you must pay. If you have a |
| their website. This is a very fast and | | | | sophisticated security system this will |
| effective way of shopping around. You will | | | | obviously make your home safer and this will |
| get a good idea of what prices to expect. You | | | | reduce the risk. Similarly, fire alarm |
| can also experiment with the quotation | | | | systems and sprinklers can decrease your |
| websites to see what effect it makes to your | | | | premium. In some areas, flood prevention |
| premium price if you select different | | | | measures may be taken into account. The size |
| options. With all insurance policies you will | | | | and value of your home will be another |
| have a number of options that affect the | | | | important factor, as clearly a more expensive |
| price of the policy. Therefore you should | | | | home will cost more if it is damaged. |
| think about these options and if there are | | | | |
| risks that you do not wish to cover then let | | | | Many home insurance policies will require you |
| the insurer know as your premium should | | | | not to leave the home unoccupied, and if you |
| become cheaper. | | | | are renting out the home, this will also |
| | | | affect the premium. |