What You Need to Know About Saving on Home Insurance in Texas

Let’s face it—home insurance may not be the most exciting part of homeownership, but it’s essential. You’re not just protecting your investment, you’re also making sure you and your loved ones have a safety net if something goes wrong. Still, there’s no reason why home insurance should cost more than it has to! If you’re looking to save some cash (and who isn’t?), here are some solid tips to lower your home insurance bill without compromising coverage.

1. Understanding What Drives Your Home Insurance Premiums

Let’s start with the basics—what exactly makes up your insurance rate? Here are a few key factors:

• Location: Where you live can significantly affect your premium. If your area has high rates of natural disasters or crime, you might see higher costs.
• Home Characteristics: The age, size, and materials of your home impact your rate. Older homes might be more costly to insure due to potential wear and tear, while homes built with fire-resistant materials often receive discounts.
• Deductible: Choosing a higher deductible (the amount you pay out-of-pocket before insurance kicks in) can lower your premium.
• Claims History: A history of claims on your property or by you can raise premiums.

Knowing what drives the cost of your home insurance allows you to make informed decisions to save.

2. Bundle Policies for Big Savings

One of the most straightforward ways to reduce your home insurance costs is by bundling. Most insurers offer discounts if you purchase both home and auto insurance from them. According to the Insurance Information Institute, bundling could save you anywhere from 5% to 25% on each policy. So, if you’re up for some policy consolidation, bundling could be a quick win.

3. Increase Your Deductible

This might sound counterintuitive at first, but hear us out: opting for a higher deductible generally lowers your premium significantly. For instance, if you raise your deductible from $500 to $1,000, you could save around 10-20% on your annual premium. Just ensure that you have an emergency fund to cover that deductible if something does happen.

4. Invest in Home Security and Safety Upgrades

Insurance companies love when you take extra steps to secure your home. By adding a security system, smoke detectors, or smart locks, you can often score a nice discount. Some insurers offer up to 15% off for these upgrades because they lower the likelihood of you filing a claim.

If you’re interested in this route, call your provider to find out which security and safety features qualify for discounts. Upgrades like these not only help keep your family safe but also give your wallet a bit of a breather.

🏠 Smart Homes, Smarter Premiums: Tech-Savvy Ways to Trim Insurance Costs.

5. Stay Claims-Free (When You Can)

One of the most effective ways to keep premiums down is by minimizing claims. Think of it as a loyalty discount—insurance companies reward customers who avoid filing claims for minor issues by offering lower premiums over time. Instead of filing a claim for every little repair, consider covering minor repairs yourself to maintain a clean claims history.

6. Review Your Policy Annually

Here’s a pro tip that’s often overlooked: make it a habit to review your home insurance policy at least once a year. Life changes, and so do insurance needs. Maybe you’ve added a new home security system, or perhaps you’re now working from home, which could reduce your liability risk. Either way, notifying your insurer about these changes could make you eligible for discounts or even reduce your overall coverage needs.

7. Shop Around for the Best Rates

When it comes to home insurance, loyalty doesn’t always pay. Take the time to get quotes from multiple insurers (at least three is a good starting point) and compare their offers. Many insurers offer competitive rates to attract new customers, so there’s a good chance you could score a better deal by switching.

Some comparison sites make this easy by gathering quotes in one place, but a quick call to your current insurer might also reveal savings you didn’t know were possible.

8. Ask About Lesser-Known Discounts

Beyond the obvious discounts for bundling or having a security system, there are other lesser-known ways to save:

• New Home Discount: Newer homes can sometimes score a lower rate since they’re less likely to need costly repairs.
• Loyalty Discounts: Some providers reward long-term customers with lower premiums.
• Green Home Discount: Certain insurers offer savings if your home is certified “green” or energy-efficient.
• Non-Smoker Discount: If no one in your household smokes, this could reduce your premium as it lowers fire risk.

Check with your insurer about these hidden gems. You might be surprised at the variety of savings available just by asking.

9. Consider Dropping Unnecessary Coverage

Evaluate whether you’re paying for coverage you don’t need. For example, if you have a high-value home that isn’t prone to flooding, maybe you don’t need flood insurance. If you’re in a low-crime area, you might skip certain theft protections. Just be careful here—cutting coverage can lower premiums but also leave you more exposed. It’s all about finding a balance.

10. Consider Working with Abode

Insurance shopping doesn’t have to be overwhelming. At Abode, we provide all the tools and insights you need to make smart, informed decisions on your home insurance, so you can secure the best coverage at the lowest possible rate. We help you compare plans, identify discounts, and determine the right coverage levels based on your unique situation—all to ensure you’re not overpaying.

The Bottom Line: Saving on Home Insurance in Texas

In the end, saving on home insurance comes down to knowing what factors influence your rate, exploring discounts, and making smart choices about coverage. Regularly reassess your needs, check for new discounts, and don’t hesitate to shop around. With a little strategy, you’ll keep more money in your pocket without sacrificing peace of mind.

Ready to start saving on your Texas home insurance? Check out Abode today and find the right policy for your budget and lifestyle.