Homeowners insurance is essential for protecting your investment — but that doesn’t mean you should overpay. Whether you’re a first-time homebuyer, a current homeowner, or just looking to lower your home insurance costs, there are proven ways to save without sacrificing peace of mind.
In this guide, we’ll show you how to save money on homeowners insurance in California — a state where unique risks like wildfires, earthquakes, and rising home values can significantly affect your premiums.
10 Expert-Approved Ways to Lower Your Homeowners Insurance Premium
1. Compare Multiple Home Insurance Quotes
Insurance premiums can differ significantly from one provider to another—even for the exact same home. Factors like your ZIP code, proximity to high-risk zones, and property features play a major role in how insurers calculate rates.
To get the best deal, request personalized quotes from at least three different companies. This gives you a clear picture of what’s fair and helps you identify hidden fees or overpriced policies.
🔍 Smart tip: Don’t limit yourself to big-name insurers. Local or regional providers often offer more competitive pricing for California-specific risks like wildfire exposure.
2. Bundle Your Home and Auto Policies
Most insurance companies offer discounts of 5% to 25% when you bundle your homeowners and auto insurance under the same policy provider. It’s one of the simplest ways to reduce your premium with no extra work.
3. Raise Your Deductible
If you’re financially prepared, increasing your deductible from $500 to $2,000 could save you up to 20% annually. Just make sure your emergency fund can cover the difference if something goes wrong.
Remember: A higher deductible means lower monthly premiums—but more responsibility upfront during a claim.
4. Schedule a Professional Home Inspection
A detailed home inspection can uncover potential issues—like aging roofing, old wiring, or water leaks—that insurers may use to raise your rate or deny coverage.
Fixing these issues proactively before applying for insurance can help you qualify for better rates.
Good Life Inspections offers home insurance inspections in Sacramento and nearby cities to help you get ahead of costly problems.
5. Install Home Safety and Security Devices
Insurers reward homes that are better protected.
Add:
– Fire alarms and extinguishers
– Smoke detectors
– Burglar alarms or cameras
– Water leak detection systems
These upgrades can lead to premium discounts of 5% to 20%, and they also reduce the risk of claims.
6. Disaster-Proof Your California Home
California homeowners face natural disasters like wildfires, earthquakes, and floods. Making your home more resilient can lead to savings.
Try:
– Fire-resistant roofing or siding
– Clearing brush within 100 feet of your home (wildfire compliance)
– Installing a sump pump or French drain
– Seismic retrofitting
Some insurers even provide discounts for wildfire mitigation or hardening measures.
7. Maintain a Strong Credit Score
Your credit score can significantly impact your insurance premium in California. A higher credit score suggests you’re financially responsible and less likely to file a claim.
Improve your credit by:
– Paying bills on time
– Reducing credit card balances
– Monitoring for errors on your credit report
8. Don’t File Small Claims
Every claim you file goes on your insurance record and can lead to higher premiums, even if it’s small. If a repair costs less than your deductible (or only slightly more), consider paying out-of-pocket.
Filing fewer claims is one of the most overlooked ways to save on homeowners insurance long-term.
9. Review and Adjust Your Coverage Every Year
Home values change, and so do your belongings. Reviewing your policy annually helps ensure you’re not overpaying for outdated or unnecessary coverage.
– Remove coverage for items you’ve sold or no longer own
– Adjust dwelling coverage to match current rebuilding costs
– Add or remove endorsements based on recent home upgrades
What is the 80% rule in homeowners insurance?
It means your home should be insured for at least 80% of its replacement cost. If you fall below that, insurers may not cover the full amount of a partial loss. A professional home inspection can help determine accurate replacement costs.
10. Ask About Every Available Discount
Don’t assume your insurer is giving you every break—you have to ask. Some of the most overlooked home insurance discounts include:
– Claims-free discount
– New homebuyer or new construction
– Non-smoker household
– Senior or retiree
– Paperless billing
– Loyalty discount (3+ years with same provider)
Call your insurer and ask: “How can I get a discount on my homeowners insurance?”
📋 Quick Reference: How to Save on Homeowners Insurance in California
| Tip | Potential Savings |
| Compare Quotes | Up to 30% |
| Bundle Policies | 5%–25% |
| Raise Deductible | 10%–20% |
| Home Inspection | Varies – often hundreds saved |
| Install Safety Devices | 5%–20% |
| Disaster-Proofing | Up to 15% |
| Strong Credit Score | Varies |
| Fewer Claims | Preserves low rates |
| Annual Review | Prevents overpaying |
| Ask About Discounts | Add 5%–15% more savings |
FAQs:
How can I reduce the cost of my homeowners insurance?
Compare quotes, raise your deductible, avoid small claims, and apply for every eligible discount. A home inspection can also help lower your premium.
What is the 80% rule in homeowners insurance?
It means you must insure your home for at least 80% of its replacement cost to receive full compensation for a claim. Insuring for less may result in reduced payouts.
How can you get a discount on your homeowners insurance?
Discounts are available for bundling, smart home upgrades, security systems, non-smoking, loyalty, and claims-free histories.
How do I save money on my home insurance as a first-time buyer?
Shop around, get a home inspection, bundle policies, and ask about first-time buyer or new home discounts.
✅ Final Thoughts: Work With Professionals Who Help You Save
Getting the right homeowners insurance is about more than price—it’s about value. But when you’re proactive and strategic, you can absolutely save money on homeowners insurance in California.
At Good Life Inspections, we help homeowners and buyers reduce their risk, qualify for better insurance coverage, and avoid surprise costs. If you’re in Sacramento or surrounding areas, schedule your home insurance inspection today.
