Having a home security system installed is a great way to give yourself some peace of mind. It ensures that your property, valuables, and loved ones are safe. It also has the added benefit of decreasing your homeowners’ insurance. With so many options available to you for home protection, you have equal opportunities to reduce your payments.
In this post, we explain the benefits of different security systems and how they impact the safety of your home. Learn how to defend your home properly and how security systems can be beneficial to your insurance policies.
Some sites or products may advertise that you can bring down your insurance by up to 20% but this is not a very realistic number. On average, you can expect your insurance to be reduced by 2-10% if you decide to install a security system in your home. Using a security company offers more potential decrease versus doing a DIY installation of a security camera. Having more than one home security device or using certain features (such as 24/7 monitoring) can bring it down more.
Having a security system in your home means that it’s less likely to be burglarized. It also means your property is less likely to suffer damages from things such as water or a fire. This makes you less of a liability to the insurance company, which translates to having lower premiums.
Upgrades and renovations to parts of your home such as the plumbing, heating system, or electricity can contribute to this as well. Like a security system, these upgrades reduce the chances of your home experiencing water damage from pipes bursting or fire. Adding a new security system or device may require parts of your home to be updated if it requires compatibility with newer technology. The systems require environmental sensors, such as one that reacts to temperature drops that may cause pipes to freeze.
Deadbolts or smart locks: The first step in the right direction
Deadbolts are the easiest and cheapest form of home security you can acquire. For your insurance company to consider lowering your premiums it’s like you will need a deadbolt installed on all of your exterior doors. Another benefit to deadlocks is that they’re difficult to breach. Intruders may find ways to hack any digital security measures you’ve taken to protect your property. But picking a lock with a deadbolt is very time-consuming, and the more time they spend on it the likelier they are to be caught.
Despite being so common, not all providers offer a discount for having deadbolts on your exterior doors so it’s important to check with the insurance company first; this is true of any security system or device. However, not having a guaranteed discount doesn’t mean they aren’t worth having.
The alternative, smart locks, are a great option for protecting your home. They are the modern version of a deadlock. You can never go wrong with using deadlocks to protect your home. However, the benefits of a smart lock come with options to control the deadlock from your mobile device.
This is great for ensuring your home is locked from anywhere. Other smart locks options are keypads attached to a deadbolt. Instead of a key or a lock, your home is secured and can only be unlocked after a pin is entered.
Burglar alarms: Monitored home security system
To capitalize on having a burglar alarm in your home it’s recommended that you install a monitored home security system that is connected to an external service. This means using alarm systems that immediately notify police when they are triggered. However, a simple, standalone DIY alarm that you’re able to install yourself is still a reason for the insurer to offer a discount.
Additionally, these newer monitored home security systems will send you an alert via an app on your smartphone. They often let you see the camera feeds through your smartphone and include 24/7/365 professional monitoring, sometimes with an additional fee.
Fire alarm: the extra measures that count
Like the burglar alarm, it’s ideal for a fire alarm to be able to contact the fire department. This is true for both trying to receive a discount and efficiency of the system. In the unfortunate event of a home fire, services can be dispatched and arrive sooner than they would if you had to contact them yourself (or hope someone else does in the event you’re not able).
Gated community discounts
While not a security system itself, these areas are characterized by the additional security and privacy they offer to residents; this alone will act as a reason for a discount. Not only do they experience less theft but also vandalism and crime in general. In addition to walls, fences, and a secured perimeter, gated communities may employ their own patrol services. Living in a community with a patrol service is very likely to help reduce your expenses as well.
The community’s location can sometimes play a small factor. For example, a gated community that is close to a fire department can offer a greater discount than one that isn’t as close.
The final verdict
If your goal is to lower your insurance rates, installing a security system is a great first step. A home security system will save you money in the long run on your homeowners’ insurance. It may not be as much as you would like, but it will include peace of mind. For a better reduction, it’s best to consider better home security systems. To understand the best options you can reexamine your plan with your insurance agent.
Insurance companies know that monitored home security systems help to reduce the probability of damage (water, frozen pipes, or fire), which means there's less likelihood of filing a claim. Aside from upgrades, renovations, and repairs, there are other instances where an insurance provider may consider reducing premiums. For example, some offer small discounts when you enroll in paperless/online billing services. Bundling your home and auto insurance is another way in which you can bring your premiums down.
Regardless of what measure you choose to receive insurance discounts, make sure to do it not just to save money but to ensure the safety of your home and family.