To Get the Most Favorable Insurance Rates
Buying a home is one of the most exciting — and expensive — investments you’ll ever make. But beyond location, layout, and price, there’s something many buyers overlook: how the home’s features and condition affect your homeowners insurance rates. So here is what to look for in a house before you buy it.
Insurance isn’t just an afterthought — it’s a recurring cost that can save you thousands over the life of your mortgage. Understanding what insurers look for before you buy can help you choose a home that’s safer, more resilient, and cheaper to insure.
For specifics on homeowners insurance coverage and definitions, the National Association of Insurance Commissioners (NAIC) offers a great resource here: https://content.naic.org/sites/default/files/publication-hoi-pp-consumer-homeowners.pdf — but today we’re focusing on how to pick a home that can lower your premiums.
🏠 1. Roof Age: One of the #1 Cost Drivers
Your roof protects everything under it — and insurers treat it as one of the most important risk factors.
🔹 Ideal roof age: 5 years or less
Newer roofs are less likely to leak, have fewer issues, and help prevent costly claims — especially from wind and hail.
💡 If a roof is older than 10–15 years, insurers may require a roof inspection, higher premiums, or even exclude certain coverages.
⚡ 2. Must Have Circuit Breakers — Not Fuses
Electrical systems matter. Homes with updated electrical panels and circuit breakers are:
✅ Safer
✅ Less prone to fire risk
✅ Viewed more favorably by underwriters
Homes with old fuse panels or knob-and-tube wiring often cost more to insure because they’re linked to higher fire loss risk.
🚒 3. Protection Class & Fire Department Proximity
Insurance companies use Protection Class ratings to determine how well an area is served by fire protection services.
📍 Closer to a fire station = better protection class = lower premiums.
A house in town with hydrants and quick fire service generally costs less to insure than one 8+ miles from the nearest station.
Even just a few extra miles can bump your class and increase rates.
🔄 4. Age of HVAC & Water Heater
When sellers don’t know the age of systems like:
- Furnace / A/C (HVAC)
- Water heater
…that’s a red flag for insurers. Older systems are more likely to malfunction, cause water damage, or lead to claims.
💡 Ask for receipts or replacement dates. If you can’t verify age, plan for potential inspections or endorsements.
💧 5. Plumbing Type: Copper or PEX > Galvanized
Many older homes were built with galvanized steel plumbing, which corrodes over time and is a common source of leaks and water damage claims.
Preferred plumbing materials that can lower premiums:
✔ Copper
✔ PEX
Homes with galvanized plumbing may require a plumbing inspection — or see higher water damage deductible and pricing.
🚗 6. Bundle Auto + Home for Bigger Savings
Most carriers offer multi-policy discounts when you insure both your home and auto with the same company.
💰 Bundling is one of the easiest ways to reduce overall premiums, increase savings, and simplify your coverage.
🧾 Final Takeaway
When shopping for a home, think like an insurer:
✔ Roof age matters
✔ Updated electrical systems help
✔ Closer to fire protection = better rates
✔ Know the age of major systems
✔ Prefer modern plumbing materials
✔ Bundling saves money
Insurance shouldn’t be an afterthought — and smarter choices before closing can have a lasting impact on your monthly and yearly costs.
🏡 Ready for a Quote?
Get personalized homeowners (and bundled auto) insurance pricing in minutes:
➡️ https://www.millenniumbrokers.com/quotes/
If you want, I can also write a short-form version for social media, or tailor this to a specific city (e.g., Springfield, MO) for local SEO.
Insurance underwriting is the process insurance companies use to evaluate risk and decide whether to insure something, at what price, and under what terms.
In simple terms:
👉 Underwriting determines if, how, and how much an insurance company will insure you.
What Do Underwriters Look At?
Underwriters review details that help predict the likelihood and cost of a future claim.
🏠 Home Insurance Underwriting
For homeowners insurance, underwriters commonly look at:
Roof age and condition
Electrical system (circuit breakers vs. fuses)
Plumbing type (copper or PEX vs. galvanized)
Age of HVAC and water heater
Distance to fire station & hydrants (protection class)
Prior claims history
Location risks (weather, wildfire, crime, etc.)
Homes that are newer, well-maintained, and closer to emergency services usually qualify for better rates and more coverage options.
🚗 Auto Insurance Underwriting
For auto insurance, underwriters review:
Driving history (tickets, accidents)
Vehicle type and usage
Annual mileage
Garaging location
Credit-based insurance score (where allowed)
Prior insurance history
🧑💼 Business Insurance Underwriting
For businesses, underwriting may include:
Type of business and operations
Payroll and revenue
Loss history
Safety programs
Location and building details
Contracts and risk controls
Why Underwriting Matters to You
Underwriting affects:
✅ Whether a policy is approved
💲 Your premium
📋 Deductibles and coverage limits
🚫 Exclusions or special requirements
A home with an older roof or outdated systems might still be insured — but often with higher premiums, restrictions, or required updates.
How an Independent Agent Helps
An independent insurance agency (like MBG Insurance) works with multiple carriers, each with different underwriting guidelines. That means:
✔ More options
✔ Better chances of approval
✔ Competitive pricing
✔ Guidance on improvements that may lower rates
Instead of forcing your situation into one company’s rules, we match you to the right underwriter.
Bottom Line
Underwriting is how insurance companies manage risk — and how your rates are determined.
Understanding it helps you make smarter choices before buying a home, car, or policy.
If you’d like help navigating underwriting requirements or getting a quote:
👉 https://www.millenniumbrokers.com/quotes/
If you want, I can also:
Turn this into a short educational blog
Create an FAQ for your website
Make a graphic explaining underwriting for social media