| Home ownership is a dream for many Americans | | | | because of unexpected medical bills and other critical |
| from the coasts to the farmlands of the Midwest. | | | | services for which they have no control. By basing |
| Along with home ownership comes another expense | | | | insurance rates off of credit scores insurance |
| that can quickly total into the thousands per year, | | | | companies are using data that has no correlation on |
| homeowners insurance. With a wide variety of | | | | potential loss risk factor to fatten their bank |
| factors affecting the cost of homeowners insurance | | | | accounts while making it more difficult for low-income |
| it can be difficult to come up with an average cost. | | | | families to afford homeowners insurance. |
| Your geographical location, home size and value, even | | | | There are a few things that all homeowners can do |
| proximity to a fire hydrant all affect your | | | | to decrease the rates they pay for insurance. The |
| homeowner insurance rates. | | | | first is to raise your deductible; going from a $250 to |
| On a whole maybe people do not think too much | | | | a $500 deductible could cut your premium by as |
| about their homeowners insurance rates. They simple | | | | much as 1/3rd in some instances. Another cost-saving |
| pay the bill each month or have it rolled into their | | | | tip is take advantage of as many discounts as |
| mortgage payments. However for a percentage of | | | | possible with the insurance company. Often times the |
| low-income homeowners out there it can be an | | | | insurance companies won't tell you about these, but |
| expense that could mean the difference between | | | | rather you must ask directly about what might be |
| the goal of achieving homeownership or continued | | | | available. Of course, don't forget to be a comparison |
| renting. For these people insurance payments can | | | | shopper. If one insurance company raises your rates |
| quickly outpace their ability to keep up financially. This | | | | for no reason then shop around and see what other |
| is particularly true thanks to new guidelines insurance | | | | deals might be out there on the market. |
| companies are starting to use which base your | | | | Low-income homeowners can sometimes feel as if |
| insurance rate on factors that are outside normal loss | | | | they are in an uphill battle. Struggling to hold onto the |
| conditions, such as credit score and income levels. | | | | American dream and being attacked from all sides. |
| Insurance companies will argue that they do not | | | | The best way to defend yourself is to be a smart |
| discriminate against low-income families and those | | | | consumer and a vocal one. If you have questions |
| who are better off. However, statistics show that | | | | about your insurance rates or factors affecting your |
| many low-income homeowners typically have lower | | | | homeowners premiums then call your insurance |
| credit scores than their wealthier counterparts. This | | | | company. Many times an informed consumer can be |
| can be for a number of factors, but increasingly it is | | | | a insurance companies worst nightmare. |