Everything Finance

1. Research the area you’re moving into

If you’re moving home it pays to do some research into the area you’re moving into. Premiums can fluctuate dramatically within a very small distance; the size of the premium can also indicate how safe the area is.

2. What cover do you need?

It’s a basic tip but how much cover do you really need? Some insurance companies will heap on extra benefits as part of your policy and try to sell you upgraded services. Look carefully at what you really need and find a policy that matches your needs exactly, rather than paying for anything extraneous.

3. Shop around

It’s easier than ever to buy insurance policies; the Internet has hundreds of information sites like Motley Fool where you can research the different policies that are available, or visit a comparison site where you can search for the product that suits you. Many of the major supermarkets, Asda Finance offer home insurance packages these days, as do Tesco.

4. Buy Online

Many insurance providers give a discount (usually around 5%) for buying online. Right now purchasing home insurance online with the Co-operative bank entitles you to a particularly impressive 10% discount

5. Home Security

When you move in change the locks; most insurers recommend five level mortise locks on external doors and two bolt locks on the windows, while an approved security system could save you over 5%. Other tips include time-switch lights and security lighting – let your insurance provider know what you are doing and ask them to lower your premiums accordingly.

6. Join Neighborhood Watch

It’s a straightforward tip but in many areas joining an approved Neighbourhood Watch scheme has been shown to reduce premiums by up to 5%.

7. Fire

As with security, taking measures to reduce fire risk including smoke alarms and a fire alarm system can reduce premiums significantly. In addition, making sure open fires are protected and any heat source is given adequate ventilation and is not near anything combustible. Once again, inform your provider of the measures you are taking.

8. Don’t smoke

Increasingly insurance providers are asking their customers whether they smoke or not; smoking obviously presents a greater risk of fire from discarded cigarettes and unattended ashtrays.

9. Increasing your voluntary excess

The bottom line is that the higher the excess you choose on your policy the lower the premium. By choosing to take a higher voluntary excess you could save up to 20% on your insurance premium.

10. Only claim when you really need to