When it comes to our homes, we want to protect them as much as we can. They’re filled with all of our most valuable things, including items and people! Whenever we leave our homes, we want to know that our property and all its contents are safe.
Luckily, there are a few things that can increase the protection of our homes:
- Increased lighting around the perimeter
- Properly working locks and codes
- A guard dog/pets
- Timed lighting inside the home
There are lots of options, but one of the best ways to keep our homes/businesses safe is with a security system.
Home security systems come in lots of styles. Each one is designed for its home, in order to make sure that every angle of the home is protected. More basic systems will have a control panel as well as door and window sensors. Should a system be armed and a door or window is opened, the alarm will sound.
Other more intricate alarm systems might include more than one control panel. It might also include security cameras and motion sensors. New versions also allow homeowners to control their alarm systems and cameras from their phones and tablets.
Security Systems and Home Insurance Discounts
Insurance companies are often happy to lower rates if a home is protected from things like damage and theft.
Some of the things that improve home insurance rates include:
- Updating old appliances, electrical, piping
- Updating materials used in the home
- Adding smoke and carbon monoxide alarms
Another factor that helps to decrease home insurance rates is having a security system installed. By having an alarm, the chances of robbery decrease dramatically. This often means that insurance companies will have to cover less in the event that any theft does take place.
How It Works
When a homeowner installs a home security system, they should reach out to their insurance agent and let them know. The agent can then re-assess the insurance rates on the home. Usually, there are discounts that can be applied. This is true in almost all cases.
An insurance agent will re-assess the rates, based on the type of security system installed. In some cases, better quality security systems may lower rates even more than basic systems. When the insurance agent has the new number, they will apply this to your home insurance rates for future months. If any changes are made to the system, the homeowner should let the insurance agent know as soon as possible.
How Much You Save
Some homeowners only want home security systems if they lower their monthly payments.
The discount offered will depend on the type of system you choose:
- An alarm system that is not monitored
Insurance companies will generally offer up to 5% off of your home insurance rates
- An alarm system that is connected to a central monitoring system
Can save homeowners between 10% and 15% on insurance rates
- Alarm systems that are monitored for both burglary and fire
These sit at the highest end, offering an average discount of about 20% off
Homeowners should ask an insurance agent about the discounts available to them in each one of these scenarios. Many homeowners don’t know this, but if they are claim-free for a specific number of years, they can always receive discounts on their insurance. This is a great reason to install things like security systems to ensure claims aren’t necessary.
Insurance Companies That Offer Discounts for Home Security Systems
The following are some of the insurance companies who are well-known for offering great discounts:
- Safeco Insurance
This company usually offers up to a 15% discount if you have a burglar alarm installed, or a fire sprinkler system. You might also be able to enjoy extra savings if your home is in close vicinity to a fire station.
- Allstate Insurance Company
Allstate offers up to 15% off of home insurance rates if a home is protected by a burglar and fire alarm.
- State Farm
This company offers as much as 17% off of home insurance rates if a home is secured by smart devices.
It also has a Home Alert Protection program which homeowners can apply for and receive discounts.
Existing customers of this insurance company should let them know if they are considering installing a security system. State Farm provides special offers to its existing customers.
- American Family Insurance
American Family Insurance puts a great emphasis on installing a home security system. Discounts are offered for burglar systems, fire alarms, sprinkler systems, and more.
This company offers a Home Security & Fire Protection Discount for any installed security systems. Customers can earn up to a 5% discount.
- Nationwide Mutual Insurance Company
Nationwide offers one of the highest discounts amongst all other insurance providers.
Homeowners who install home security systems can get as much as 20% off of their insurance rates. Additional discounts may also apply if the house was only recently purchased.
Other companies that also offer discounts for home security system installation include:
- Electric Insurance Company
- Lock Insurance
- Allied Homeowners Insurance
- Wawanesa Insurance
- Progressive Casualty Insurance Company
- The Travelers Indemnity
Not only can installing a security system help with insurance rates but there are also many other benefits to consider including:
- Protecting the people and pets we love most
- Protecting our homes from serious damage
- Keeping our neighborhoods safer
- Offering peace of mind
If you’re considering installing a security system, the long-term benefits far outweigh the up-front costs for purchase and installation. It is highly recommended.