home insurance calculator
It will also interest you to take a look at our last blog post which was on how Your Auto Insurance Premium is Calculated, this will help with the question of “how much is home insurance”? So its natural for us to dive into how your house insurance premium is calculated. When it comes to house insurance, insurance providers have a broad range of how they determine rates. That’s why it’s so important for policy holders to familiarize themselves with how their house insurance premium is calculated. As a homeowner, you need to know your homeowners insurance calculator, see out hit points below…
How Your Home Insurance Premium Is Calculated
Below are the factors home insurers look at while calculating you home insurance premiums.
- Age of Dwelling:
When your house was built is very important in determining your rates. Older homes can have building materials that are no longer considered standard building practices. This can include knob & tube wiring, galvanized plumbing, 60 amp panels.
- Postal Code:
A dwellings geographic location has a huge impact on your house insurance premium.
- Square Footage:
A dwellings square footage as home insurance calculator helps insurance companies estimate the rebuilding cost for the dwelling. The bigger the house, the more it costs to insure.
- Credit History:
Some insurance companies use the insureds credit history as an indicator of future losses. They believe that people with a good credit history are fiscally responsible and are more likely to afford to upkeep of a home.
- Interior Design:
A dwellings interior design can either increase or decrease a premium depending on what the interior design is like. Homes that have custom kitchens & bathrooms will cost more to insurance because they cause more to replace.
- Heating Source:
How a swelling is heated will affect your insurance rating due to the fact that some heating sources are considered safer than others.
- Proximity to Fire Protection:
The longer is takes for the fire department to get to a dwelling, the more damage that will occur in the event of a fire.
The amount of occupants in a dwelling can have an affect on premium. Dwellings that have unrelated occupants such as room mates will see an increase your premium.
Got something else about home insurance calculator? please use the comment section. Let’s hear your thoughts