When you buy a home, you’re making the biggest financial commitment of your life. Therefore, it should become a top priority to protect your investment with homeowners insurance. Fortunately, there are ways to keep this extra expense from putting a strain on your budget. By educating yourself on the different factors insurers consider when calculating rates, you can maintain better control over your coverage costs. Here are some of the variables that affect policy premiums.

What Influences the Cost of Homeowners Insurance?

1. Age & Construction of the Home

Before determining your coverage rate, insurers will estimate how much it will be to repair or rebuild the structure if it’s damaged or destroyed. Generally, older homes cost more to restore, making them more expensive to insure. Premiums also tend to be higher for homes constructed out of wood and other flammable materials than those made from more durable materials, such as brick.

2. Where You Live

If you live in a region where natural disasters are common, it’s likely your insurer will charge you a higher premium to cover the risk. This is also the case if you live in a neighborhood where many burglaries and break-ins have been reported. On the other hand, living in close proximity to a fire station or fire hydrant can minimize your risk of fire damage and help lower your costs.

3. Home Features

A home with updated safety and security features — including alarm systems, smoke detectors, surveillance cameras, deadbolts, and sprinkler systems — have less of a chance of sustaining significant damage in a fire or being burglarized. In turn, homeowners insurance companies often offer discounts for installing these features. However, having a pool, hot tub, or deck on your property will increase your liability and cause your rates to rise.

4. Pets

You must advise your insurer of any pets you own so they can properly assess your liability risk. This is because your policy includes coverage for incidents where a pet attacks someone else. While a cat or hamster may not make much difference in the price you pay for coverage, a dog can. Owning a dog breed that’s known for aggressive behavior will make your rates go up.

Whether you’re in the process of buying a house or exploring ways to reduce your current homeowner’s insurance rates, you can count on Wilson Insurance Agency in Dalton, GA, to find you the best deal available. As an independent agency, they’re dedicated to helping clients maximize their savings by comparing policies and prices from multiple carriers. With 50 years of industry experience, they know how to make sure you end up with the right coverage and premium combination to meet your needs. Call (706) 278-0549 to speak with a personable agent, or visit them online to request a quote.