A very common question when it comes to home security systems is whether or not purchasing the right security system and monitoring company will lower a homeowners insurance premiums.
The short answer to this question is "yes", however, below are some points to keep in mind to help homeowners make sure that they purchase a security system that both keeps their family, home, and possessions safe and qualifies them for discounted homeowners insurance.
Home security systems deter thieves from attempting to burglarize homes, and reduce the amount of time that thieves are able to spend in a house in the event that they attempt a burglary despite the presence of an alarm, therefore reducing the amount that they can steal.
These two facts result in a lesser likelihood of an insurance agency having to make a large payout, which means that many insurance companies will reduce homeowners' premiums if the alarm system implemented meets a few preset specifications.
The minimum discount that most home insurance companies offer is 5% off of regular premiums, however, most insurance companies offer this discount simply as a reward for the installation of new deadbolt locks on all exterior doors of a home.
An additional 5% is usually offered for the implementation of a simple burglar alarm, with many insurance companies offering discounts up to 20% for a complete home security system that integrates burglar, fire, carbon monoxide, and flood sensors, depending on the quality of the system and monitoring company selected.
Homeowners should check with their insurance provider to see specifically what discounts are offered.
Generally speaking, the minimum system requirements for the larger discounts on home insurance include a system that is monitored by an emergency call center, which the vast majority of systems are.
Additionally, many insurance companies require that the system and monitoring service be UL-approved.
UL stands for Underwriter Laboratories, a company that tests products all over the world to ensure that they meet internationally-recognized quality standards.
The vast majority of systems supplied by major companies will be UL-approved, and generally speaking, systems that are UL-approved deal only with emergency call centers that are UL-approved.
Realistically, regardless of whether UL-approval is required by an insurance policy, it is a good idea for homeowners to look for this certification, as it is a mark of quality in an area where homeowners do not want to compromise quality for a few dollars worth of savings.
While all of this can seem confusing, many home security system companies, especially the larger, nationally and internationally known ones, offer clients a certificate to present to insurance companies, notifying them of the exact specifications of the system installed and monitoring agreement signed.
This will alleviate homeowners from having to take extensive notes for the purposes of insurance savings.
Additionally, many insurance companies offer discounts on home alarm systems.
This is important to research prior to selecting an alarm system, as many homeowners can win on both sides of this issue, receiving a discount from their insurance company on their alarm system, and then a discount on their insurance as a result of the alarm system.
Home security systems protect homeowners, their families, and their possessions, making them a good idea regardless of whether they qualify homeowners for additional savings on insurance or not.
However, with these discounts available, homeowners would be foolish not to pursue them.