3 Factors You Might Not Know About That Could Affect Your Home Insurance Rates
When it comes to the amount you pay for your homeowner's insurance, there are so many different things that can affect it. While you are probably aware of most of these factors, there are certain factors that you might not know about. In fact, here are three factors that can affect homeowner's insurance rates that you might be unaware of.
1. Your credit
It seems like a person's credit affects a lot of different areas in life, but you might not realize that your credit could be costing you extra money on your home insurance. Statistics have demonstrated to insurance companies that people with lower credit scores have a higher rate of filing claims. This means that if you have excellent credit, you might qualify for a discount on your home insurance, and this means you will pay a lower premium for it. If you have poor credit, you could be paying more than necessary, simply because your insurance company is factoring in the extra risk level due to your low credit score.
2. Your marital status
Did you also know that if you are married, you are probably paying a lower premium than a person who is single? Insurance companies have also found that married individuals file fewer claims than people who are not married. The result of this is that they will often charge single people a higher rate for insurance, simply because they are viewed in a higher-risk category than those who are married.
3. Your home's location compared to the nearest fire station
The other factor you might not have considered is the location of your home compared to the nearest fire station in your area. The location of your home compared to the nearest fire station can either help you save money on your insurance or cause you to pay more for it. If you are located very close to a fire station, you will pay less, simply because the fire station would be able to get to your home faster if you experienced a fire in your house. Getting there faster means less damage for the insurance company to pay for.
While you could spend time working on your credit to improve it, there is not a lot you can do about where your house is located or what your marital status is. You can, however, save money on home insurance by shopping around for quotes from different insurance companies. For more information, contact your local insurance agent.