Want to save money on your household insurance? Here’s how…
We walk you through the how-to’s on lowering the costs of your existing household insurance policy
If you are one of the many South Africans who has insured their homes and household contents, then we salute you!
Having household insurance is something that can save you thousands of rands in the event of something happening to your home or household items. A lightning strike can cost you a new TV or laptop which is anywhere between R3000 or more! Fire or theft can cost you even more.
So, having a backup plan to cover the things that matter most (and cost a whole heap of money to replace) is well worth the price you pay for a monthly premium.
We have put together a list of awesome household insurance hacks to help save you money on your premium and who knows, it might even save you enough to go on that weekend getaway you have been planning for years for you and your partner? Or a fancy night out on the town.
Whatever it is, make sure you read this to save some cash on insurance….
1. Shop around
Make sure you do your research when it comes to household insurance companies. Each one has their own terms and conditions, and of course, price.
Oneplan is a great option as they offer a plan that you can tailor to your needs. All you have to do is select the amount of cover you want for your items - let’s say 50%, then you only pay for 50% and they cover the other 50% in the event of a claim.
For example, if you have to replace your TV which is valued at R5000 as a result of theft, then Oneplan will pay you 50% and you cover the other half. It’s that simple.
2. Increase your excess
Speaking of what you have to pay in the event of a claim (which is known as your excess), if you increase your excess, then this will bring down the price of your monthly premium. But, bear in mind that when it comes time to claim you will need to pay in more.
3. Update the value of your items every year
Maybe you ended up selling an extra TV you never used or some of your items of depreciated in value over time. Your insurance company will probably over-value your household items, so you certainly should not be paying for things that have lost their value.
Just a head’s up - updating the value of your household items may also increase your monthly premium if you have recently bought something expensive.
4. Haven’t claimed in years? Try renegotiating your monthly premium
Your premium is calculated according to a number of factors, and how many times you have claimed is one of them. The more you have claimed in the past, the higher risk you have of claiming again in the future.
If you haven’t claimed in a number of years, then try phoning your insurer and getting them to possible adjust your premium.
5. Improve your household security
What a number of people don’t actually realise is that things like an alarm of having burglar bars will result in you paying less for security features.
Here are some adjustments you can make:
Install an alarm system - One of the first things your insurer will ask you is if you have an burglar alarm, if you do, you might be discounted.
Secure locks - Make sure that all of your doors and windows have working locks. If not, you may be paying a much higher premium.
Install a safe - Any items that do not leave your home and have a high value that are locked in a safe will result in you paying less (for most insurers that is).
Limit the amount of time that your home is left unoccupied - When signing up for household insurance you may have been asked how long your home is left unoccupied for. When this time is less, you pay less.
Get electric fencing - Having a wall and an electric fence will also lower your premiums.
Start your new year on a good note, start by saving money so that you can start saving for your next holiday - am I right?