Every homeowner wants to keep their homes safe against threats such as fire, natural disasters, thieves, or unauthorized access. Sadly, the recent spike in home insurance premiums has left most homeowners struggling to keep up with their insurance. Fortunately, you can get a fireproof document storage box to reduce your insurance premiums.
The Correlation Between a Fireproof Document Storage Box and Insurance Premiums/Coverage
A fireproof document storage box protects documents like passports, financial records, certificates, and social security cards. Most insurance providers acknowledge such preventive actions by policyholders and offer them lower premiums or enhanced coverage limits. Here is how a fireproof document storage box can affect your insurance premiums and enhance your coverage limits.
It Reduces Risk
Insurance underwriters determine premiums based on the level of risk depending on the policyholder and their location. Most home and content insurance policies in Australia offer discounts for security systems, smoke alarms, safes, and fireproof boxes.
A fireproof document storage box minimizes the risk of damage to documents. It shows them you have taken a preventive measure to reduce risk. The insurer will consider you a responsible and less risky policyholder and make you an attractive client. Thus, they will likely lower the premium or consider offering a discount.
Extensive Coverage
If your contents insurance policy covers important documents under valuable items, such as property deeds and wills, storing them in a fireproof box increases security. This is a great basis to refer to when negotiating higher coverage limits.
Suppose you have a document that may cause legal issues or money loss if stolen or damaged. The insurer understands that it would be difficult, time-consuming, and sometimes expensive to replace. They will consider the document valuable in their policy. Some insurers have set limits and exclusions regarding content insurance.
Trying to protect these documents makes insurers more willing to provide higher indemnity limits. They could broaden the policy terms when they know the documents are secure and could sometimes raise the reimbursement for lost documents. It may not seem like much since the premium balance will be the same. However, you get more value from your policy.
Smooth Claims and Settlement Process
Insurance companies always ask for proof of ownership, an inventory list, and purchase receipts. A fireproof box will keep your documents intact after a fire or flood. Therefore, after the disaster, you can access what you need to file a claim.
It also ensures accurate valuation since you have the inventory list, receipts, and appraisals that can prove the value of what was in the box and ensure a fair settlement. With everything available, the insurer can handle it promptly, and you can enjoy a faster settlement process. Besides, it reduces the stress of experiencing a traumatic event and ensures you resume your everyday life sooner.
How to Enjoy Lower Premiums and Extensive Coverage After Getting a Fireproof Document Storage Box
After investing in a fireproof document storage box, you need to have a professional install it. then, you need to:
Professional installation
After investing in a fireproof document storage box, have a professional install it. Installation affects durability and ensures the contents get maximum protection. Professionals can identify a specific area within your home or office where the box will be out of the fire or floods should it happen.
Some of these boxes might need to be installed on the floor or wall; a professional will do this non-destructively. It reduces the risk of the box falling, shifting, or getting damaged, which could lower its fireproof ability.
Most insurers also need fireproof boxes installed by professionals that align with their coverage requirements. Adhering to this makes you eligible for specialized riders, reduced premiums, or extensive coverage options that wouldn’t be available otherwise.
Keep Your Inventory Up to Date
Always have an updated inventory of what is in the box. Write down the item and any relevant details, e.g., acquisition dates, estimated value, and serial number. Attach receipts and appraisals where applicable to support the value of what is in the safe when you file a claim.
Update it at least once a year to capture new purchases or changes in value. Additionally, have a hard copy as backup. The hard copy of the list should be in a separate location, preferably outside the house.
Follow up with maintenance of the box
The box will often come with manufacturer instructions on maintenance. Any reputable seller will also explain proper maintenance, e.g., cleaning or testing requirements. Follow the advice of maintaining the box to keep it in condition and get the most during reimbursement.
Keep up with your policy
Notify your insurer about your new fireproof document box. It could encourage them to revise your policy for lesser risk, and you might get a discounted premium or better coverage limits. Give detailed information about the box, the dimensions, the contents, the fire resistance features, water resistance, or security locks. Then, review your policy frequently. Insurers amend their policies, and sometimes, the changes could favor you.
Get Your Fireproof Document Storage Box Today
A fireproof document storage box could make all the difference in your insurance premiums and coverage. Follow the above tips- have a professional install the box, keep your inventory up to date, and maintain the box properly to increase security and save money. Order your fireproof document storage box from Safes Australia today.
