Disputing a Home Insurance Claim Denial or Settlement Offer

12 Ways to Lower Your Homeowners Insurance Costs

1. Shop around.
2. Raise your deductible.
3. Don’t confuse what you paid for your house with rebuilding costs.
4. Buy your home and auto policies from the same insurer.
5. Make your home more disaster resistant.
6. Improve your home security.
7. Seek out other discounts.

You live in a high-crime area. If you live in a high-crime area, chances are you’ll pay a higher homeowners insurance premium. One of the ways insurance companies determine crime rate is how much they’ve paid out in claims for theft, burglary, or vandalism in the area.

1. Contact your insurance agent or company again.
2. Consider an independent appraisal.
3. File a complaint and hire an attorney.
4. Note on disputing natural disaster claims.

It’s generally a good idea to select a deductible of at least $1,000. While this means that you’d have to pay $1,000 to file a claim, having a higher homeowners insurance deductible reduces your premiums — often by a significant amount.

Yes, homeowners insurance rates increase after you file a claim typically. The increase depends on the claim’s type and size and how many claims you’ve filed in the past few years. If you have a history of filing claims at previous homes or places you lived, a home insurance company may increase your rate.

Traditional policies usually come with a low deductible, but the trade-off is often higher premiums. If you want to save more money on your long-term homeowners insurance costs, a high deductible policy may be the better choice for you.

Hurricane, wind, and hail deductibles can often be higher than the standard homeowners deductible, especially if you live in an area prone to these sorts of disasters. Your insurer might require a percentage-based deductible rather than a fixed dollar amount.

The All Other Peril, or AOP, deductible is usually a flat dollar amount. The AOP deductible applies to covered damages to your property such as lightning, fire, hail, vandalism, and theft to name a few. This deductible applies per occurrence.

You need to ask your insurance representative if your insurance company offers a deductible waiver and what the specific waiver amount on your policy is. For example, high-end homeowner policies have deductible waivers, but the limit of the waiver may be higher, such as $50,000.

In most cases, you can’t deduct homeowners insurance premiums from your taxes. However, you may be able to claim a deduction if you work from home or you’re a landlord and rent out the home.

If your roofing contractor offers to waive your roof replacement deductible, don’t do it! Instead, hire a company that will work with your insurance agent. Roofers offering to waive roof replacement deductibles, giving you a “free roof,” is a longstanding practice in many states.

16 Signs Your Home May Need a New Roof

• You See Water Damage or Leaks.
• The Ceiling Is Sagging.
• There Are Dark Streaks.
• You See Light Shining Through Roof Boards.
• It’s Over a Certain Age.
• You’ve Had Wildlife Damage.
• There Are Decaying Shingles.
• It’s Missing Granules.

Your roof estimate should include the number of penetrations and the specific kind of boot that’ll go around them. The estimate should also include any flashing your roof needs. Flashing is metal placed anywhere the shingles butt up against something, such as a wall, chimney, or in open valleys.