The smart home devices that homeowners are installing in their homes for security or to monitor their pets can do more than provide peace of mind — they can lower your insurance rates. Smart home devices can cut premiums 10% to 15%, said Pat Howard
, senior editor at Policygenius, who is also an insurance agent. That could mean savings of $100
or more per year for many owners, partially offsetting the cost of the devices. “Protected devices make your home more secure,” he said. “Insurance companies will offer credits and discounts.” There is no hard and fast rule on how much a homeowner can save. It depends on a variety of factors, such as the insurance company, the types of devices the homeowner uses, current credits and discounts currently received, and the state where the policyholder lives. Not all carriers offer discounts and not all devices are eligible for discounts.
“They’re not widespread, but they’re becoming more and more common,” he said of smart home discounts.
Columbus-based Nationwide, for example, has a policy that can offer up to a 10% discount that applies to home, water and theft risks in most states. Policyholders can also get a 50% discount on some kits from Notion, which makes smart home monitoring systems that homeowners can install.