We might not like to admit our age, but providing your home insurance company with your date of birth may qualify you for a senior citizen discount. As an older individual, you can receive a reduced premium rate on your home insurance. The rate will vary between insurance companies, but could be between 5 and 15 percent. It is worth speaking to your agent about taking advantage of the senior citizens home discount.
A Smaller Risk
Home insurance companies see your age as a benefit for them: the older you are, the more likely you are to be at home. You may be retired already and are enjoying spending more time at home. By being at home more often, there is a greater likelihood that you can stop a potential home invasion, fire, or other occurrence from happening.
As a result, the risk of you claiming a loss on your home insurance will be lower than a younger person who is working during the day. According to underwriters, senior citizens have fewer incidents, make fewer claims, and therefore their homes cost less money to insure. Home insurance companies want to reward you simply because of your age with a discount on your policy. For some insurers, the lower rate may begin for policyholders as young as 50.
There is another reason that the insurance company provides a discount for senior citizens. Many older homeowners no longer have a mortgage on their home. If they are struggling to live on a fixed income, they may discard their home insurance policy altogether since a mortgage lender no longer requires them to have a policy. For example, a 2012 report on Florida homeowners noted that many older residents of the state had cancelled their home insurance. Instead, they were completely taking on the risk of future hurricane damage.
Deductibles and premium payments seemed like too much for these Florida seniors to bear. They’d rather have greater financial freedom in the present than worry about what the future may hold. This puts homeowners at a huge risk for natural disasters, personal injuries on their property, and any other issues that may happen while at home, like an overflowing washing machine that causes flooding damage.
Home insurance companies are aware of the financial challenges of living on a fixed income after retirement. They don’t want you to forgo protection on your house, but rather want to encourage you to maintain your policy by providing an additional discount as an incentive.
Other Senior Citizen Discounts
The senior citizens home insurance discount is just one of many options available through your insurer. Other reductions to your home insurance premium can come from holding a concurrent life insurance policy, paying your premium in full, paying online, and belonging to an affinity group.
As an older individual, you are likely contemplating purchasing a life insurance policy. Maybe you already have one. Speak with your insurance agent to find out if the company offers life insurance plans, or if they are partnered with a sister company. Usually, holding both a life and home insurance policy through the same insurer will qualify you for a bundling discount.
If you are a member of AARP, you may be eligible for an affinity group discount. This will be about 10 percent. Like AARP, if you are affiliated with any organization, business or employer, there may be insurance discounts available to you. For example, you may have a pension through your former employer, but they may also offer discounts for home insurance plans.
Ask Your Agent
Speak to your agent today to find out if you qualify for a senior citizen home insurance discount. They will have the knowledge and expertise to determine which discounts best fit your specific insurance needs.
Some other Enhanced Insurance articles related to Home Insurance Discounts:
Enhanced Insurance is not written by attorneys. If you’re looking for legal advice, you need to contact a lawyer. Further, insurance practices and forms change constantly and are varied from state to state. For definitive answers in your area, contact a local agent.
While the majority of people want an agent involved in their purchase of insurance, many people want to see if they can save money by buying direct from the insurance company. Others want to try a direct quote to make sure the premium they’re now paying through their local agent is fair. If you want a quote for your coverage, click on the competitive quote button on the right side of this page.
Other EnhancedInsurance.com articles that might interest you: