Insurance tips to help you save when buying a home

Buying a new home is an exciting adventure, as well as an expensive endeavour. So let's look at tips that will help you save on the home insurance you'll need in order to protect your new purchase.

Ask about discounts when getting home insurance

Just like auto insurance, you may be eligible for discounts that will help you get lower home insurance premiums. Common discounts include the:

• Multi-line discount: Most companies offer this discount as an incentive to get your auto insurance business too.
• New home discount: Some insurance companies will offer a discount if your home is less than 10-years old.
• Alarm discount: You could be eligible if your home is monitored by a centrally monitored approved security system.
• Claims-free discount: Offered if you have you not had a home insurance claim in the last five years.
• Mortgage-free discount: Available if you have paid off your mortgage and now own your home outright.
• Age discount: A discount on your insurance as you pass certain age milestones. If available, the qualifying age differs from insurer to insurer.

While the availability of discounts will vary, asking about them could save you a significant amount of money.

Increase your home insurance deductibles

The higher your deductibles, the lower your insurance premium, so raise them as much as you can. Keep it affordable though, because this is how much you'll have to cover should you need to submit a claim.

Compare quotes from competing home insurance providers today.

Explore your life insurance options

If you're buying a home, chances are someone will suggest you buy life insurance-usually mortgage life insurance or term life insurance. Doesn't really matter which, because life insurance is life insurance, right? No way. Since you buy mortgage life insurance directly from your mortgage lender, it's convenient, but you're certainly paying a premium for that convenience.

Take a look at these comparisons for $250,000 in coverage:

For a couple aged	Monthly bank mortgage insurance premiums*	Term 10 monthly life rates**
30	$36.00	$25.43
35	$52.00	$25.43
40	$80.00	$32.40
45	$116.00	$45.00
50	$160.00	$68.18

Compare quotes from competing insurers for your term life insurance today.

Don't believe the myths about insurance premiums.

Insurance premiums across insurance companies ARE NOT the same, and the quote you get from one company will not be the same as one you would get from another. Each insurer's rates are unique to them and chances are no two are alike. Only by shopping around for your home insurance will you know who offers you the best rate.

Compare apples-to-apples while shopping

When getting insurance quotes, make sure you're comparing like-products. For example, with home insurance include the same deductibles, coverages and limitations when getting your quotes. As for life insurance, you'll want to know if you're being quoted standard or preferred rates. Standard rates are the rates the majority of Canadians qualify for, while only about one third of the population is eligible for preferred rates. At comparisons sites like Kanetix.ca, you'll easily be able to compare apples-to-apples, and you'll know exactly what rates you're being quoted.

Shop around

Get insurance quotes instantly online. Through Kanetix.ca's online quote comparison service you can get quotes from competing insurers for both your home insurance and life insurance.

Compare insurance quotes today.

Looking for more information on buying a home in Canada or home insurance?

Check out the following Kanetix® home insurance articles:

• Twelve home insurance myths
• The least expensive provinces to buy a home in Canada
• The most expensive provinces to buy a home in Canada
• Buying a new home? 8 things to consider when it comes to home insurance

*Based on the information available in May 2009 from the website of a major Canadian bank.
**Best rates available for joint coverage (male and female non-smokers) in May 2009, using the Kanetix.ca's insurance shopping tool. Original rates shown in annual premiums. For comparison purposes, the annual rates are shown as their monthly equivalent.

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