The rising insurance rates are a financial concern for many with home insurance in Calgary. Inflation has been felt across the country, with rates for home insurance in Canada has risen by 4.9%. Yet, other factors are at play that affect home insurance rates. If you’re a new or potential homeowner, learning what influences home insurance rates can help you financially for home ownership in the long run. See how here.
Factors Influencing Rates for Home Insurance in Calgary
As mentioned before, inflation has certainly affected the rates for home insurance in Calgary and across Canada. However, good insurance companies in Calgary can tell you there is more to consider that you can have some control over. Take the following factors into account to help avoid raising your home insurance rate further.
Your Home Address
The location of your home is a big factor in how high your home insurance rate will be. Some neighbourhoods in the city will have higher rates due to the risks of flooding or hailstorms, resulting in needing to file more claims because of damages. Beyond that, you need to consider your neighbourhood’s crime rate as well. There is a risk of higher theft, resulting in needing compensation for the losses from insurance companies in Calgary.
Your Home’s Makeup
Another factor that influences the rates of home insurance in Calgary is the build of your house. Is it old? If so, insurance companies in Calgary consider older homes to have more issues because they can be easier to damage. In this case, you need to repair and find better materials for your home that are more durable. Furthermore, you want to ensure your home systems (e.g. plumbing, electrical, heating, etc.) are in working order – lest they lead to home damage. Keeping these in mind, you can avoid potential damages if they occur.
Your Credit Score
Credit scores are important to keep in check – especially for home insurance in Calgary. You want to ensure you’re paying your monthly home insurance payments consistently. If you don’t, insurance companies in Calgary can tell you that it negatively affects your credit and insurance rate. So, do your best to avoid missing payments or if you do, reach out to your insurer to devise a negotiable option.
Your Claim History
All insurance companies in Calgary can attest that too many claims contribute to a higher rate. You want to keep claims low and have an inexpensive rate by only filing when necessary (e.g. severe damage or loss). Plus, you can find some home insurance in Calgary that can offer discounts for not filing claims in a long time.
Your Loyalty as a Client
Sometimes it pays to be a good client. When you have had home insurance in Calgary for a long time, insurers consider it a good sign. As a result, you can expect a lower rate. However, if insurance companies in Calgary see you’re switching insurers constantly as a red flag. It raises suspicion that you’re not trustworthy with payments or have stirred up issues previously, which results in a higher rate.
Lakeview Insurance Brokers Ltd. has been a highly dedicated member of the Independent Brokers Association of Albert and has been family-run since 1979. Our brokers take the time to ensure you get the best policy that suits your needs. Contact us today to get started at 403-287-2521 or send an email to [email protected].