When you stop to think about it, if you never paid any insurance of any kind whatsoever, the chances are that you’d gradually come out ahead. The problem, of course, is that this would be reckless and foolish. We all need insurance, whether as a legal requirement or just because it’s a sensible course of action, for different aspects of our lives.
And when it comes to the main asset most of us possess, our home, it’s very wise indeed to have good insurance cover for buildings and contents. Nevertheless, the starting position hypothesis of having no insurance is a useful one in helping you to lower your buildings insurance quotes.
After all, if you had no insurance whatsoever and the value tied up in your home really was on the line, you’d be ultra-careful. You’d have things like smoke detectors and fire alarms fitted, as well as burglar alarms. You’d do everything you possibly could to protect your home from flooding and you’d fit very secure locks on all your doors and windows.
You’d also make sure those doors were in good condition, you might put in a safe for your valuables and join your local neighbourhood watch scheme. You’d guard against damage due to pipes bursting or electrical failure and you’d tell your neighbours when you were going away.
In short, you’d be thinking far more like an insurance company because you didn’t have insurance with one – and if you do all these things, your insurance costs will come down.
But there are other things you can do that will also bring your home insurance quote down, like shopping around for competitive quotations from alternative providers, increasing your voluntary excess as far as you can, not over insuring for things, insuring your home only for its re-build cost rather than its purchase value and getting combined buildings and contents insurance. As long as you’re adequately insured, that’s all that really matters.