REDUCE YOUR EXPOSURE TO HOME BURGLARIES

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U.S. residences were burglarized more than 1.5 million times in 2008, according to the latest FBI studies. Nearly 65 percent of the thefts occur during the day because people are often not at home during the weekday. Proper home theft prevention ideas and techniques, however, can reduce the odds of a home burglary. Consider the following loss control techniques to reduce your chances of suffering a home burglary.

• Invest in a burglar alarm with a central monitoring station. Research indicates that homes without security systems are about three times more likely to be broken into than homes with security systems. If a burglar is aware that a home has an alarm, he or she is more likely to avoid that home.
• Property identification programs are another deterrent to burglary. Many of these programs involve the use of stickers on which your driver's license number is imprinted. These are then placed (and become permanently imprinted) on all valuable personal property, such as stereos, televisions, and computers. This makes it more difficult for burglars to fence or pawn the property.
• Safeguarding dwelling components such as doors and windows make it tougher for burglars to enter the home. Many home security experts recommend all exterior doors be 1 3/4-inch thick solid wood, metal, or composite material. Strike plates on door jams are typically installed with 1/2-inch screws; however, these should be replaced with 3-inch long screws so that locked doors cannot be kicked in easily. Doors should also have deadbolt locks, with at least a 1-inch throw and a reinforced strike plate with 3-inch screws.
• Exterior lights with a motion-sensing switch should be installed; timers on lights are also recommended.
• Keep your garage door secure and locked even while you are home. 

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Copyright 2010
International Risk Management Institute, Inc.

INSURANCE PURCHASING IDEAS FOR HOMEOWNERS

In some parts of the country, consumers have faced substantial increases in their homeowners insurance premiums, particularly in coastal areas subject to hurricanes and windstorms. Other consumers have experienced reduced coverage, moving from all risks coverage for their dwelling to named perils coverage. Still others have received nonrenewal notices due to minor losses, such as water damage claims. The following are some insurance purchasing tips that may help you save premium dollars and reduce losses on your homeowners policy.

1. Try to increase your deductible to the highest one you can afford, even if the premium savings do not appear to justify it. This will decrease your premium and increase the likelihood that your loss history will be excellent, since minor losses will be paid by you and not your insurance company. A loss-free record over time saves premium dollars. For example, if you currently have a $250 deductible on your homeowners policy, consider increasing it to $500 or $1,000.


2. Consider purchasing a monitored burglar alarm. Alarms have proven successful in reducing burglary rates. In addition, most insurers provide premium discounts to consumers with these alarms, some as high as 20 percent.


3. Maintain your home in optimum condition. If a repair is needed, perform it as soon as possible. For example, loose or missing roof shingles should be repaired or replaced immediately. A home in excellent condition is much less likely to experience a loss.


4. If you plan to buy a home, be aware that many insurance companies offer new home discounts. Some insurers offer the highest discounts, such as 20 percent, on brand-new homes and gradually lower discounts for several years as the home ages. Some insurance companies are now offering discounts for homeowners who are age 50 or older.


5. Request a copy of a Comprehensive Loss Underwriting Exchange (CLUE) report on the home you are considering buying. This report provides a list of prior losses for a particular home. It is generated from a database of insurance losses compiled by a high percentage of insurance companies. You can normally contact your current homeowners agent to get this information on a prospective home. Be wary of purchasing a home with prior foundation, water, or mold losses.


6. Install and maintain smoke alarms throughout the house. It is best if the alarms are interconnected, so that if one goes off, they all go off. Test the smoke alarms once a month. These detectors should be approved by Underwriters’ Laboratories (UL) or other recognized testing laboratories. Most insurance companies provide discounts for homes with operating smoke alarms.