Burglar Alarms Reviewed

Insurance and Burglar Alarms

Many people ask if installing a monitored alarm system will reduce their insurance rate.  You need to check with your own insurance company, however normally it can reduce your rate by as much as 20% annually.  This reduction in cost can offset the price of the monitoring service as well as provide peace of mind and comfort.

Prior to doing an installation contact your insurance company and find out if they have any pre-approved alarm systems they prefer you choose from.  Many may request that it be UL tested.  The key though may be the need to have a monitored system in order to get the discount, make sure you clearly understand this prior to installation.

Some alarm systems bill themselves as insurance approved, but don’t take their word for it because there is not one standard accepted by all insurance providers.  Discuss with your insurance agent the best ways to protect your family and gain discounts on insurance, most companies have this information readily available for the asking.

Up to know we have been discussing choosing an alarm system, but what if you already have one installed and your insurance doesn’t offer a discount for your specific brand? You have a few options:

1.    Keep the alarm system and receive no discount on insurance
2.    Change out the alarm system if it makes financial sense based on the insurance savings
3.    Switch insurance providers, assuming they accept the alarm system you have and the discount you receive is great enough

Often people look to do it yourself alarm installations, but many insurance companies are hesitant to provide a discount under this.  The likelihood of a false alarm increased dramatically for a homeowner installed alarm system over one that is professionally installed.  If you are considering this option do make sure you double check with your insurance company.
Whatever option you choose, be it an existing, new or do it yourself alarm system make sure you communicate clearly with your insurance company.  The discounts are real, but they do have standards they need to adhere to and a little understanding ahead of time on your part can reduce the headache.