Money-saving hacks to help you cut costs on home insurance

According to research, the average cost of home insurance was £300 in 2022 – a record low. However, this could increase in 2023 due to a rise in subsidence claims, a surge in frozen pipe payouts and the rising costs of building materials and labour. 

While this may cause upset among many homeowners, the truth is we all need it. 

In many cases, such as if you have a mortgage outstanding on a property or are renting - home, buildings or contents insurance is a contractual requirement. If you own your home outright, there's no obligation to have a policy, but it's advisable as a form of financial protection. 

Here are some secret money-saving hacks to keep your home insurance premium down: 

1 Increase home security 

New figures have revealed a six percent rise in domestic burglary in the last year alone. 

And if the increase - which has been linked to the cost-of-living crisis - doesn’t encourage people to boost their home security efforts, the fact it could save them money should. 

While your home insurance should cover against loss or damage to your home and its contents, it can be a lengthy process and your premium could rise should you make a claim. 

Take the opportunity to improve your home security by updating door locks or installing security cameras and a burglar alarm. Meanwhile, a security app to control lighting and heating remotely can deter thieves from targeting your home. 

Plus, another hack could be to install a gravel pathway to deter thieves – with the crunching noise of the gravel likely to attract the attention of neighbours.  

2 Calculate the rebuild costs correctly 

Upon moving into your property, the BCIS Rebuild Calculator can help calculate the cost of rebuilding homes built with brick or stone walls and tile or slate roofs.  

Alternatively, if your house consists of alternative materials, was built before 1850 or is a listed building, a chartered surveyor can assist in providing an accurate and up-to-date quote every few years. 

Not calculating the costs properly can result in a high premium on buildings insurance, whilst under-insuring will see you out-of-pocket if your home gets damaged beyond repair. 

3 Value your belongings accurately 

Studies show the average UK home to contain around £35,000 worth of goods. 

Spend time accurately pricing up the cost of replacing your belongings as-new and according to today’s prices before investing in contents insurance. Over-estimating could result in you paying too much, whereas under-estimating could see you lose money on your personal items when receiving a claim payout. 

4 Join a neighbourhood watch scheme 

There are over 2.3 million members of Neighbourhood Watch in England and Wales – a scheme created to reduce crime in communities. 

For some insurers, being part of such a scheme can be a draw as it lowers the risk of you claiming and can result in them reducing your home insurance premium. 

5 Describe your occupation accurately 

Some professions can prove more high risk than others. So, ensure you’ve got the correct job information on your insurance policy and update your insurer if your situation changes.  

And if you are in a high-risk occupation, some insurers will offer specialist insurance. High-risk occupations typically involve working at home, having regular visitors to the property, or working late nights leaving the property empty and vulnerable to burglars.

6 Insulate water pipes 

Burst water pipes are a huge and expensive issue in the UK, particularly in the winter when the cold weather puts pressure on them.  

While your insurance may cover water damage as a standard feature of building insurance, taking reasonable steps like insulating pipes outside your building and in the loft to prevent the issue could help lower your premium. 

7 Get on the electoral roll 

Some insurance providers use the electoral roll to confirm your identity when performing credit checks.