Having insurance for your home and vehicles helps you when the worst happens - theft, a storm, fire. Insurance is the back-up plan. It’s the thing that works after a disaster. Insurance costs, as a result, are based on risk. Higher risk homes, cars, neighborhoods, and people cost more to insure.
The best way to reduce your insurance premiums is to reduce your risk. Taking care of your home and vehicle are just the start. Because bad people exist, and although prevention measures may not be perfect, they help. Additional security for your home and vehicle reduces your risk and your insurance premiums.
Home Security Systems
A home without a security system is three times more likely to be robbed than a home with a system. Knowing this, insurance companies offer a discount of up to 20 percent when you install one. Every insurance provider decides their discounts a little differently but to get the highest discount possible, you need to have the most effective system. For the most savings, you’ll want a central monitoring alarm. Here’s how it works:
- An intruder enters your home and sets off an audible alarm.
- The security monitor facility calls you to verify there’s an intruder.
- If they don’t talk to you or you confirm someone has broken in, they call emergency services for you.
When done well, this kind of security system offers you peace of mind no matter where you or what time it is. It’s typically a more expensive option. If you choose another system that doesn’t make the call to the police for you, you’ll save money, but your discount won’t be as big.
Cars today come with certain standard safety features - seat belts, airbags, and more. What isn’t always standard is an alarm system or the technology to help keep your vehicle safe. You’ll have to pay extra for this, but when you do, it’ll help you save on your auto insurance.
The early technology that you may be familiar with is LoJack. It’s a recovery system that the police can use to locate your stolen vehicle. You may also have access to built-in GPS and technology like OnStar by GM, Safety Connect by Toyota, or Blue Link through Hyundai. These programs not only help locate your vehicle when it’s been stolen, some like Blue Link, may be able slow your vehicle down or stop it completely.
The discounts for home or vehicle security systems are not automatically applied. In order to get them, you’ll have to notify your insurance company. They’ll ask for information about your security system to determine how much of a discount you’ll receive. If you upgrade your security system, let your agent know in case there’s a bigger discount available.
If you’ve recently added security features to your home or vehicle, contact us at Charlotte Insurance so we can make sure you get the best price for your insurance coverage. We’re happy to provide estimates for new policies, too!