When it comes time for renewal of your home insurance, you will be prepared for an increase. It does seem to go up every year and that can be due to many things rising in cost for the insurance company, which is passed on to you. However, it can sometimes seem to go up by very much more and it might be possible to prevent it going up so high.
One time when it may go up is when you are doing home renovations. If you add extra bedrooms or extend the home, then the rebuild value will be more and it is possible that the insurance may go up. However, it is worth knowing that if you add a bathroom, then it goes up a lot more, because the risk of water damage is significant. So if you are adding a loft bedroom, for example, consider whether it is necessary to put in an en-suite as it could end up costing you money every year.
You could make changes that will lower your insurance though. Fitting more secure windows and doors could be a big benefit. Also fitting wired in smoke alarms could make some difference as well. The smoke alarms could be a real benefit to you anyway, but they will cost money to fit. Battery alarms are the next best alternative and could still make a difference to your premium.
Fitting a burglar alarm is something that people do because they think that it will offer them protection and it will mean that they are less likely to be burgled. However, an insurance company can see a burglar alarm as meaning that you feel your home is at risk of being burgled and therefore put up your insurance. If you forget to set it and you are burgled, they will not pay out for a claim either, so you could be putting yourself more at risk by having one fitted.
Making a claim on your home insurance can be expensive as well. Obviously you have the insurance so that you can make a claim, should something happen that you cannot afford to rectify. A house fire, large burglary, storm damage are the sorts of things that people claim on. However, if something small happens, where there is some damage which could be claimed for but it is not massively expensive, it is worth considering whether it would be better not to make that claim. When you make a claim it goes on your record. You will be considered to be more of a risk to insure and you will lose any no claims bonus that you have. You could end up paying for making that claim for a very long time. Insurance companies want to make money and so if they think you are likely to make a lot of claims, they will charge you more money so that they can protect their profits against your claims. Unfortunately, other people making claims will also put up everyone’s premiums as they do spread the cost so it can be worth trying to discourage people you know form claiming for small things as you will all end up paying. It can be good to make sure that you keep your home in good repair and then you will be less likely to need to make a claim.