Home security systems can help reduce the risk of theft and burglaries, which can lower homeowners insurance rates. Insurance companies offer a variety of discounts for home security features, including deadbolts and smart locks.
However, a home security system that also includes 24/7 monitoring may provide the best benefits. Read on to find out more about how you can save money on your homeowners insurance by installing a home security system.
What is a Home Security System?
A home security system safeguards your house, apartment and belongings from burglars and other criminals by monitoring your surroundings. Many homeowners’ insurance providers offer breaks on homeowner’s insurance premiums for those with a home security system.
There are two primary types of home security systems: professionally installed systems and DIY (do-it-yourself) systems. Professionally installed systems generally have a wider selection of components and may include professional monitoring for an additional fee.
DIY home security systems typically allow you to assemble your own system from a variety of components and monitor your house through a smartphone app or computer. Some also offer professional monitoring for a monthly subscription. Regardless of which type of system you choose, look for reviews that are easy-to-navigate and comprehensive. A good review will share the pros and cons of each option, as well as any add-ons or integrations that you should consider.
How Much Does a Home Security System Cost?
Home security systems can cost a sizable upfront amount, but the peace of mind and potential insurance breaks can make it worth the investment for homeowners. Homeowners should do their research before purchasing a system to ensure they are getting the best deal and not saddled with a contract that they won’t be able to take with them if they move or sell their home.
National providers often offer free installation because they make the bulk of their money from monthly monitoring fees, and many systems are DIY-friendly. Some wired systems require professional installation and may need drywall repair after installation, which can add to the overall cost. Maintenance costs typically do not exceed $10 a year for replacement batteries, and devices that are faulty fall under a warranty (some brands offer a lifetime warranty). Some cities require alarm permits, which can also add to the total cost.
How Can I Save Money on My Homeowner’s Insurance?
There are many ways to save money on homeowners insurance. One of the most common is to simply raise your deductible. This can significantly reduce your premium and make the policy more affordable. Other ways to save include upgrading or adding home systems like a security system, fire alarms, and sprinkler systems. You can also reduce the cost by reducing your risk factors.
Insurance companies have a vested interest in protecting homes because claims can be expensive. Preventing burglaries and other events that lead to large insurance claims can save them a lot of money in the long run. This is why they offer insurance discounts for people who install these types of security systems. They are also a great deterrent for burglars because 80 percent of convicted burglars said they would avoid homes that had security systems.
How Can I Get a Discount on My Homeowner’s Insurance?
There are many ways that you can save on home insurance premiums, including having a monitored burglar alarm or smart-home system. These systems help prevent break-ins, and they can alert your local police department to potential dangers if an intruder attempts to enter your property.
Insurance companies also offer discounts to homeowners who have a security system because they reduce the number of claims made on their policies. A claim can be costly for an insurance company, and the cost is passed on to the consumer in the form of higher premiums.
You can also save on premiums by bundling your home and auto insurance with the same insurer. This typically results in savings of 17% on average. Additionally, if you have had recent upgrades to your home (like new plumbing or wiring), you may qualify for a discount.
What are the Benefits of a Home Security System?
The main benefit of a home security system is that it can deter burglars, making your home less likely to become the victim of break-ins. This reduces the number of theft-related insurance claims, which in turn results in lower homeowner’s insurance premiums.
Many home security systems also come with smart features that can add convenience to your lifestyle. For example, some systems include cameras that can alert you when someone approaches your front door or record the goings-on around your house when you are away.
Whether you choose a professional system with 24/7 monitoring or a DIY version that allows you to monitor your home yourself, it’s important to know the benefits of each before choosing the right one for your family and home. And don’t forget to ask about any homeowners insurance discounts that may be available.
