Purchasing house insurance in Florida could cost you a small fortune. The secret to saving money on homeowners insurance is to shop around. House insurance in Florida is offered by numerous companies. Price of homeowners insurance can vary by $600-$3,000 or more a year. Find out which insurance company is right for your house insurance.
Florida house insurance is expensive because of the hurricanes. A good secret for saving money on homeowner’s insurance is to be sure your house isn’t in a section that has been inundated with hurricanes. If you live in Miami, Florida it doesn’t matter how much you shop for homeowners insurance the cost is going to be higher than in Orlando, Florida.
A big secret that insurance companies won’t tell you is the price of insurance starts low and doubles the following year. You can easily avoid this trend by making sure you purchase different homeowners insurance every year. I had Traveler’s house insurance for three years and each year it went up. The first year the insurance was $600. The second year, house insurance through Traveler’s insurance company was $1100. Finally, on the third year the insurance went to $1,500 and we switched.
If you have your home owners insurance escrowed into your mortgage it may be a little harder to switch insurance companies. Ask your mortgage company before signing on the dotted line if you can switch insurance companies and what you have to do to notify them. You might want to have a mortgage that lets you pay the homeowners insurance separately. Homeowners insurance is a necessity but it shouldn’t cost a fortune.
A great suggestion is to go through the yellow pages. Look for insurance companies that are part of the Better Business Bureau or a Chamber of Commerce Member. These insurance companies are probably the “safest” insurance companies as far as financially. You want to know the insurance company won’t be going out of business and that it is a stable business.
Once you have called all the insurance companies that are listed with the Better Business Bureau and the Chamber of Commerce, compare their prices. You will want to go with the one that has the best deal on your coverage needs.
Some insurance companies want to insure your house for the full cost of the loan or the full appraisal amount. The land will not need to be insured. You are only insuring the house and your possessions and possibly any out buildings. If the insurance covers the full amount you may want to question the insurance company.
Remember that your homeowner’s insurance policy also covers liability on your property. If you have a dog, expect your insurance to be higher than if you didn’t. Insurance companies have become so picky that the company wants to know if you own pets.
If you are a responsible adult without any homeowner claims against the insurance companies your rates should be low. The cost of the house is also a big determination factor for the insurance companies. If your house is expensive, your homeowners insurance is going to be higher than a less expensive house. Keep this in mind when searching for homeowners insurance, and just keep comparing prices until you find the homeowners insurance that meets your needs.
