How to Keep Your Homeowners Insurance Rates Low in New York in 2022

Are there strategies for keeping your homeowners insurance rates low in New York in 2022? The answer is yes.

How much does it cost to get homeowners insurance in New York? The average annual cost for New York homeowners insurance in 2022 is $987 per year for a policy limit of $250,000 coverage. That simply means that residents of New York pay over $300 less than the national average of $1,312 per year for home insurance.

When you want to buy a new home, putting the cost of home insurance in that area into consideration is very important. However, if you already own a home and desire to lower your premium, here are some of the best tips to guide you.

5 Ways to Lower Your Homeowners Insurance Rates in New York

1. Increase Your Deductible to Keep Your Homeowners Insurance Low

One might think that paying a low insurance deductible is a smart way to save money on homeowners insurance, after all, the lower the deductible, the less you will have to pay from your pocket if a loss occurs, but in reality, this can increase your premium.

If you want to get a cheaper home insurance rate, the ideal thing is to increase your deductible.

2. Pay Your Bills on Time for a Better Credit Rating

While some states don’t look at your credit rating as one of the factors for determining your premium, the state of New York does.

If you have a poor credit rating in New York, you are going to pay more in your homeowners insurance because you are also a risk to your insurance company.

For a credit score that is not too bad nor not that great, you’re going to pay, on average, approximately 32% more for your New York homeowner’s insurance policy compared to people who have an excellent credit history.

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3. Bundle Home and Car Insurance Policies

Bundling your car and home insurance policies can go a long way to lowering your homeowners insurance rate.

What does it mean to bundle car and home insurance policies? It simply means purchasing your auto and home insurance from the same insurer.

What discount do different insurance companies in New York give when you bundle car and home insurance policies? When you purchase your auto and home insurance from Allstate, you get a 25% discount; from Amica, it is 30% off and if it is from State Farm, you will save an average of $854.

4. Install Safety and Security Devices in Your Home

Some insurers will give you more discounts on your homeowners’ policy if your home has safety and security gadgets. 

Typical examples of safety and security devices you can equip your home with to lower your homeowners insurance rate are smoke detectors, fire alarms, CCTV systems, etc. If you want to get lower homeowners insurance rates at all times, start using smart home devices.

Insurance carriers like Farmers, Progressive and Travelers offer extra discounts to policyholders whose homes are equipped with safety and security devices.

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5. Ask the Local Insurance Agent in New York for Available Discounts

While comparing homeowners insurance quotes online, purchasing a flood insurance policy in addition to home insurance and doing proper homework can help to lower your home insurance rate in New York, talking to a local agent can help you know available discounts.

Insurers offer a variety of home insurance discounts to landlords in New York for everything. When you pay your premium in full or keep your policy for more than three years, you get a discount. 

Other factors that can qualify homeowners for a discount depending on the insurer are:

• Setting up automatic payments
• Opting for paperless billing
• Replacing old electrical, heating and plumbing systems in the house with new ones
• Purchasing a reconstructed home.

According to the New York State homeowners insurance regulations, there are basically three levels of homeowners insurance coverage are actual cash value, replacement cost, and extended replacement cost/value.