Top 5 reasons you may be paying high insurance premiums


1. Credit!

Did you know with most insurance carriers, your credit plays a factor in what they charge you for insurance?  Many companies believe there is a direct correlation between your credit score and your likelihood to file a claim.  Whether you don’t have the best credit, or maybe you just don’t have much credit established, your insurance premiums could be GREATLY impacted.  We have a handful of companies that don’t even use credit as a rating and could save you hundreds or even thousands of dollars!

2. Protection class

Insurance companies determine this based on how far you are from a fire department and/or how close the nearest fire hydrant is, and depending on what company you are with, this can greatly affect your rate by hundreds of dollars.  If you either don’t have a hydrant within 1,000 feet of your house or live more than 5 miles from a fire department, ask your agent if that is affecting your rate!

3. No Multi-policy discount

I will say with this one, it isn’t always best to have your home and auto insurance together, despite what commercials may lead you to believe.  One company may have a great rate on homeowners insurance, but very high auto rates, so even with the discount, it doesn’t make up for the savings you could see if you split them up.  Also, maybe due to yours or a household members driving record, you can’t get auto insurance with the company that writes your home insurance such as a DUI or too many claims.  We have a handful of great companies that could potentially be a fit even without writing the auto with them!

4. Claims 

Most companies surcharge your policy if you have a claim such as fire or water damage from a broken pipe.  2 non-weather related claims in 3 years can leave you susceptible to being non-renewed by your insurance company, and if that happens, it can be very difficult to find adequate insurance until those claims fall off of your record.  If your rates have significantly increased due to a claim, it may be worth discussing it with an agent to see if there may be a better option.

5. Certain Exposure

Certain exposures can be viewed as riskier with some companies than others, or may be completely unacceptable.  This may include in home daycare, business out of the home, pools, trampoline or a specific breed of dog.  These are just a few examples of things that should be discussed with your agent to make sure you are with a company that is okay with the exposure and not leave any gaps in your coverage.