4 ways to safeguard your home

If you’ve noticed an increase in your homeowners insurance bill recently, you’re not alone.

As insurance companies grappled with the aftermath of increasingly destructive natural disasters and the rise in construction costs, the average price of homeowners insurance nationwide rose more than 20% from May 2022 to May 2023, according to online insurance broker Policygenius.

You probably already know that you can reduce your premium with some insurers by bundling your home and auto insurance and raising your deductible.

But did you know that certain home improvement projects can reduce your risk of loss and, in some cases, lead to insurance savings? Here are four ideas to make your home safer and more secure.

Water leaks account for most homeowner losses in California, and small drips can lead to mold and water damage. Automatic shut-off devices monitor your home’s water flow and can turn off the water source if a leak is detected, regardless of whether you’re at home. Some insurers now require the installation of these devices to qualify for an insurance policy.

The older the roof, the more likely it is to sustain storm damage. Older roofs are also more likely to leak and lead to water damage inside your home. If you live in a region where the risk of wildfire damage is high, installing a roof made of fire-resistant materials—such as tile or composition shingle—can reduce your home’s risk of wildfire damage, also reducing the chance of a loss.

When you put in a fully monitored security system that alerts your local police or fire department in emergencies, many insurance companies will offer a significant discount. And less expensive protective features like deadbolts and alarm systems that ring only inside your home can yield smaller discounts.

Water damage and accidental fires are two of the most common homeowners insurance claims. Replacing aging pipes with more modern plumbing materials and upgrading your electrical system from aluminum or knob-and-tube wiring to copper reduces the risk of leaks and electrical fires.

Q: What home renovations might increase my premium?

A: If you add square footage to your home, you’ll likely need to increase your coverage to account for the value added by the extra space. Installing a swimming pool may require more liability coverage. Always contact your agent before making major renovations to assess your insurance needs.

Have you experienced a major life event? Make sure all your policies are up-to-date. Go to AAA.com/myaccount. For other insurance information, go to AAA.com/insuranceinfo, call 844-226-3897, or visit your local Auto Club branch.