Home insurance is essential for protecting what matters to you. It’s not just about having a policy but ensuring it meets your needs. You can save money and get better protection by increasing your deductible and choosing new coverage options.
Increase Your Deductible for Lower Premiums
To reduce insurance costs without losing coverage, consider raising your deductible. Increasing it to $2,500 or $5,000 can lead to substantial savings on your premium. This is suitable for homeowners who can pay for minor repairs and use insurance for larger issues.
Explore New Coverage Options
Insurance now offers more flexible options. Companies provide extra coverage that addresses modern risks. Adding these can enhance your home’s protection:
1. Service Line Coverage
Many homeowners don’t know they are responsible for underground utility lines, like water or electrical. If damaged, repairs are expensive and usually not covered by standard policies.
Service line coverage helps cover these costs.
2. Interior Matching Coverage
Standard policies may only replace damaged portions of your floor, cabinets, or walls.
Interior matching coverage ensures repairs or replacements match undamaged areas, keeping your home looking consistent.
3. Inland Flood Coverage
Heavy rain or flash floods are becoming more common even in areas not prone to flooding. A policy to protect you against this is crucial in places like Arizona during monsoon season. Inland flood coverage provides protection where typical flood insurance may not.
4. Guaranteed Replacement Cost
With rising labor and material costs, guaranteed replacement coverage ensures your home can be rebuilt after a major loss – even if expenses exceed your policy limit.
This is vital in regions with growing construction costs.
Consider Additional Add-Ons
- Wildfire Defense Services
- In regions vulnerable to wildfires, some insurers offer wildfire monitoring, prevention, and emergency response services as part of your policy.
- Equipment Breakdown Coverage
- This covers significant home systems and appliances like HVAC units, refrigerators, or water heaters if they fail due to electrical or mechanical issues.
- Earthquake Insurance
- Though Arizona isn’t known for major seismic activity, earthquakes can still occur. Standard home insurance doesn’t cover earthquake damage. Learn more about protecting your home with Arizona earthquake insurance.
Smarter Coverage for Better Savings
By increasing your deductible and incorporating these beneficial coverages, you can create a home insurance policy that’s both affordable and comprehensive.
Regularly reviewing your policy – whether in the Southwest, Midwest or elsewhere – helps ensure you have the best protection for your money.

Frequently Asked Questions (FAQs)
What are the easiest ways to lower my home insurance premium?
You can reduce your premium by increasing your deductible, improving your home’s security, making qualifying home improvements, bundling your home and auto policies, and regularly shopping around for better rates.
Does raising my deductible really save that much money?
Yes. Increasing your deductible from $1,000 to $2,500 can save you an average of 12% annually. Just make sure you have enough savings to cover the higher out-of-pocket cost if you file a claim.
What types of home improvements can help lower my insurance costs?
Upgrades like installing storm shutters, impact-resistant roofing, modernizing electrical or plumbing systems, and adding security or sprinkler systems can make your home safer. They may qualify you for discounts with many insurers.
Are there discounts I might not know about?
Many insurance providers offer lesser-known discounts for recent home purchases, paperless billing, automatic payments, claims-free, or even your profession. Always ask your independent insurance broker about all available discounts.
How often should I review or update my home insurance policy?
You should review your policy annually and after major life events or home improvements. These regular checks will help ensure that your coverage matches your needs and that you’re not overpaying or underinsured.