Home insurance companies want to know that you’re taking care of your home. For this reason, they’ll often offer incentives (namely lower premiums) for actions you take to secure and maintain your property. Let's consider how taking the action of buying a home security system may lower your rates.
What is a Home Security System?
Home security systems come in a variety of shapes and sizes. They might range from a basic intercom at the front door to an entire video camera system at every entrance. The main goal of a home security system is to monitor the home for any potential danger.
Potential danger in your home usually refers to risks of prowlers, intruders, property theft, break-ins and other criminal activity. But security systems can also help to prevent fires, gas leaks and other activity that could cause damage to your home.
These days, one of the advantages of home security is ensuring the safety of deliveries. Packages are often left on your doorstep by the delivery person. But these days, these items are being stolen more and more frequently. Security systems monitor these packages and deter thieves until you can get home from work or school.
Why Do Home Insurance Companies Want You to Have a Security System?
Again, it’s in the interest of your insurance risks and rates that you keep your home as safe as possible. Home security systems go a long way in doing that. They might reduce your likelihood of filing a policy claim. That reduces your risk to the insurer, which is a lower cost risk that they might have to charge you through your premiums.
Of course, there are major individual benefits for you as well. You want to know that your home is safe too. Not only is it important for your property to be safe from theft or vandalism, but also possible break-ins could be dangerous for you and your family. A security system could prevent a major tragedy.
Which Home Security System is Best?
It’s up to you to choose the right security system for you. Most people start with something small and self-monitored, such as a set of video cameras at the front and back entrance. If there’s any suspicious activity, you’ll get a notification on your phone and/or an alarm will sound.
There are also more advanced systems available that are centrally operated. These generally send a message to the security company if there’s system activity that is suspicious. Then, the company may either contact you or the police directly.
Not all home security systems will entitle you to a discount with your home insurance company. Talk to your insurance agent at the time of buying a policy about whether they offer these types of discounts and what type of system you should buy, if so.