5 Factors That Affect Home Insurance Premiums

Home insurance in the United States costs an average of $1,445 per year. While these costs vary significantly depending on which state the house is located, they continue to rise steadily each year. Looking back at data for the past decade, insurance rates have gone up an astounding 47%!

When it comes to calculating the home insurance premiums, most insurance companies consider several factors. These include:


Insurance companies use information such as the postal code, the street, and the area history to decide whether they need to adjust the premium. If the house is in a high-crime area, for instance, the insurance cost will go up.

Proximity to Risk Factors:

This factor is also based on the location of the house. Homes that are located near areas that are considered high-risk could lead to more insurance claims, so expect higher insurance costs. For example, homes near a river or near a forest are seen as having higher flood risk or risk due to forest fire damage.

The Age of the Roof:

The roof protects your home from severe weather damage and lowers the chances of you needing to make an insurance claim.

Maintaining household infrastructure not only affects the longevity of the property, but also lowers the cost of insurance premiums. Insurance companies tend to lower the costs for homes that have a well-maintained roof.

Personal Claims History:

Any past claims that you filed can affect your premium. Insurance companies tend to look at past claims history to predict the possibility of future claims. Often, the cost of the claim is less important than the cause of the claim.

insurnace premiums

Attractive Nuisances:

Amenities such as trampolines and pools are considered to be attractive nuisances and often result in higher premiums. This is because such additions come with an increased risk of injuries and damage to the property, especially if children are living in the house.

However, homeowners can reduce the cost of premiums by installing various safety measures as suggested by their insurance agents.

Do you have any questions regarding your insurance premiums?

Consult a reliable home insurance agents Indian Orchard today!

Western Mass Auto Insurance offers the services of top experienced home Insurance Advisor Indian Orchard.

Along with affordable home insurance and cheap auto insurance, we offer the best insurance deals from leading insurance providers in the area.

Get in touch with us today to request a quote. Call (413) 543-3800.