Ten Factors that Influence Your Home Insurance Rate

Your home is likely your most valuable investment, but that doesn't mean you have to spend a fortune insuring it. Whether you're in the market for a new home or have been a homeowner for years, here are ways you can downsize your insurance costs.

1. Condition

Insurers factor in general wear and tear on your home when setting a premium. They will inspect such things as the sturdiness of the roof, termite damage, and the integrity of the home's wiring system. Because new homes tend to be in better condition than older homes, some insurers will offer up to a 15 percent discount if your home is new.

2. Construction

Certain types of homes are less expensive to insure because they are more resistant to damage. For example, a brick home is preferable if you live in the East because of its resistance to wind damage and a frame home is better in the West because it is more resistant to earthquake damage, according to the Insurance Information Institute.

3. Safety