How to Save Money on Your Monthly Home Payment

March 31, 2011

Often, people who have owned their Chicago homes for a while just assume they’re stuck with their monthly payment amounts and can do nothing to save money on that particular budget item. But listen up – there could be a way!

Your annual homeowner’s insurance is paid monthly through your mortgage, right? That’s one place you may be able to reduce costs, according the insurance expert Linda Rey’s recent article on the

Equifax Personal Finance Blog.

Save Money on Your Insurance Premiums by Changing Your Deductible” gives examples of typical deductibles on many types of insurance. For homeowners, Rey says that insurance on most single-family residences will carry a $1,000 deductible. Owners of more expensive homes (over $2 million) may want to reduce their costs by raising their deductibles to $5,000 or $10,000, Rey says.

Why does increasing your deductible lower your premium? Rey gives several reasons. First, the insurance carrier will have to pay less in the event of a claim. Plus, there are smaller claims the carrier will never see because they fall under the deductible amount. She says insurance carriers also assume people will be a little more careful if they’re facing higher personal costs in the event of a claim.

Of course, homeowner’s insurance is only one line in your monthly budget. Rey recommends reviewing your deductibles on many types of policies, ranging from health insurance to business insurance. She’s done research on typical deductibles for you, so check it out at the

Equifax Personal Finance Blog.

About The Author

Read All Stories By Carol Morgan

Carol Flammer is a public relations and social media marketing expert, strategist and consultant. With 20 years of experience, Carol has established herself as the “go to” for real estate and construction products public relations and social media. Carol is president of Flammer Relations, Inc., and managing partner of mRELEVANCE, LLC, a Marketing, Communication, Interactive agency with offices in Atlanta and Chicago.

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