Why You May Be Paying More (or Less) Than Your Neighbor for Homeowner’s Insurance

Why You May Be Paying More (or Less) Than Your Neighbor for Homeowner’s Insurance

There are a lot of good reasons to stay connected with your neighbors. It is good for neighborhood security, you can help each other out in times of need and you can even share information. You and your neighbor may even have different skills that can be exchanged over time. Comparing homeowners’ insurance rates with your neighbor, however, may not be fruitful. Even if you live in similar houses, comparing what you pay for your homeowners’ insurance can still be like comparing apples to oranges. Here are some reasons you may be paying more (or less) than your neighbor for homeowners’ insurance.

Each Home May Be Constructed of Different Materials

Even though homes may be of similar design and square footage, their construction material may be totally different. Brick homes and stick homes provide different risks for insurance companies and therefore rates can differ significantly. Construction material can also affect the replacement value of a home.

Credit Ratings May Be Different

Insurance companies have discovered that those with poorer credit ratings can be a greater risk and be more costly to maintain as customers. Keeping a good credit score can reflect in lower insurance rates, including homeowners’ insurance.

Some Homes Have Higher Risk Amenities Than Others

If a home has a pool, wood-burning stove or fireplace, it will likely be more expensive to insure than one without these features. Even a hot tub can increase rates. These factors need to be considered when comparing rates with neighbors.

Safety Features Can Lower Rates

If your home has battery-operated smoke detectors and your neighbor has a state-of-the-art, monitored home security system, they will likely qualify for a larger discount. Ask your independent agent how safety and security features like deadbolt locks, security cameras, and security systems can save on your homeowners’ insurance.

Different Insurance Companies Have Differing Rates

Not all insurance companies are the same. Some insurance companies will charge higher rates than others and some agents are “captive” to the one company they work for. This means they only represent the products of that one company. On the other hand, our independent agents can seek out the most competitive rates from a number of companies to best fit your budget. This frequently results in better protection at more economical rates.

Comparing homeowners’ insurance rates with your neighbor can be pointless unless you compare each and every detail. You are best served by working with an independent insurance agent who works at getting you the most competitive rate. Contact us and let our team go to work for you.


Do you have questions about your insurance? Find an insurance agent near you with our Agent Finder

Search All Blogs

Generic filters

Buzz Your
Insurance Agent

Search for a local agent with our agent finder map.

Agent Finder

Want to learn more about our blog writer?

Read more about KayLynn's background.

Click Here

Search All Blogs

Generic filters

Read More Blogs

Beyond Pizza and Promises: Recognizing When It’s Time to Hire Professional Movers

Time to call the pros? Learn when pizza and beer just won’t cut it for your next move.

Mapping Our Roots: Uncovering the Stories Behind American City Names

City names revealed! Discover the historical, religious, and geographical influences behind the monikers of American cities.

The Agile Approach: Why Short, Focused Plans Are Overtaking the Mammoth Business Blueprint

Ditch the doorstop plan! Discover why concise, adaptable strategies are the new gold standard for business success.

Embracing Tomorrow: The Practical Power of Planning for Life’s Only Certainty

Face the future with confidence: Understand how planning for life’s only certainty with life insurance can provide lasting security.

Steering Your Savings: Taking Control of Your Car Insurance Rates

You’re in the driver’s seat! Learn how your credit, driving habits, vehicle choice, and smart shopping can lower your car insurance costs.

Underfoot Upgrade: Transforming Your Garage Floor from Forgotten to Fantastic

Don’t ignore your garage floor! Discover easy and impactful ways to upgrade this often-neglected area of your home.

Unwrapping the Wiener: A Deep Dive into the History and Lore of the Hot Dog

Beyond the bun: Discover the surprising history, varieties, and enduring appeal of America’s favorite tubular treat.

The Untapped Power of Collaboration: Why Asking for Help Fuels Business Success

Stop going it alone! Discover how leveraging the expertise of others can relieve pressure and drive your business forward.

Navigating the Grandparenting Journey: Understanding Today’s Families

Grandparenting today: Learn key shifts in family dynamics to build stronger connections with your children and grandchildren.

Mapping Our Paths: The Fascinating Reasons Behind Our Road Networks

The story behind the asphalt: Explore the geographical, historical, and planning influences that shaped our modern road systems.