It is a standard law that all insureds must pay premium for their insurance policy and one taking out a homeowner policy isn't left out. You must pay your premium as stated. Premium differs for each insured this all depends on all the insurer will take into consideration before determining the premium for payment.
So what are the determinant factors for homeowners insurance premium
Past insurance claims
The insurer would take into consideration your past claims to know if you are a high risk clients to know how much you would be paying as premium. The frequency and severity of the claim would be assessed as well.
Multiple claims at short time
The insurance company is out to make profit when a client have a past record of incessant claims it will give insurance company the idea that the client needs to pay higher insurance premiums so this will make the client to pay a high home owners insurance policy premium.Somstimes you might not even be eligible for home insurance due to the number of recent past claims filed.
High level of neighborhood crime
Crime rate in the neighborhood
this simply means that a neighborhood with a high level of crime rate is more likely to have you home burgled which means that the livelihood of insurance company having to pay for some clsims is sure, so this will bumps one's premium higher.
Insured Appetite for certain building construction
The premium to be paid will also depends ln the insured appetite for certain building construction. A home with certain roof type, heating coast, swimming pool, trampoline, security systems, will pay higher premium than others
So what are the determinant factors for homeowners insurance premium
Past insurance claims
The insurer would take into consideration your past claims to know if you are a high risk clients to know how much you would be paying as premium. The frequency and severity of the claim would be assessed as well.
Multiple claims at short time
The insurance company is out to make profit when a client have a past record of incessant claims it will give insurance company the idea that the client needs to pay higher insurance premiums so this will make the client to pay a high home owners insurance policy premium.Somstimes you might not even be eligible for home insurance due to the number of recent past claims filed.
High level of neighborhood crime
Crime rate in the neighborhood
this simply means that a neighborhood with a high level of crime rate is more likely to have you home burgled which means that the livelihood of insurance company having to pay for some clsims is sure, so this will bumps one's premium higher.
Insured Appetite for certain building construction
The premium to be paid will also depends ln the insured appetite for certain building construction. A home with certain roof type, heating coast, swimming pool, trampoline, security systems, will pay higher premium than others