5 Benefits of Home Monitoring SystemsAugust 26, 2021
We live in a society that likes “things!” and so, we accumulate “things-stuff” to fill that inherent need in our lives. It can be large items such as a home or real estate, large collectibles like cars, tools for the man cave, jewelry, and the list can go on and on. As we gather all these items, we create the need to be able to secure them from loss or damage from various angles. These would include damage from fire, heat, smoke, burglary, vandalism, carbon monoxide or carbon dioxide, water, etc.
In the past, 20-plus years ago, the most common, and perhaps the only, cost-effective system was the local battery-operated smoke detector. Many of us grew up without this simple device in our homes. But, needless to say, times have changed and today with the technology we have available at our fingertips, there are ways to very cost-effectively monitor our properties to alert us if a problem arises. Here are a few benefits of home monitoring systems, including insurance benefits:
1. Home Monitoring Systems Are Flexible to Meet Your Needs
Systems can be configured to meet the simplest need to the most complex. Older systems needed to be hard-wired into a base unit which then connected to the central station for the monitoring company. These were costly and caused a lot of work in installation. Today, systems are wireless, battery-powered, and much less obtrusive in the home.
2. You Can Start Small and Scale Systems up as Needed
You can start with a simple smoke detection system and build from there. Smoke is perhaps what we think of first since the old saying, “where there’s smoke, there’s fire,” still holds true. Systems now are much more sophisticated, and they can detect heat, which can be a precursor to damaging fire.
You can add on the ability to detect carbon monoxide and carbon dioxide as well as water damage taking place. Doors and windows can be monitored for unlawful entry by burglars. All this can be accomplished for a few hundred dollars of equipment that can be installed by you the homeowner.
3. Some Home Insurance Companies Require Home Monitoring Systems
With higher building costs, the value of homes is rising and the potential for greater losses increases as well. Many homeowner insurance companies are starting to require monitoring systems; at least in higher-value homes, those valued say at $750,000 or higher.
This is a way they can possibly mitigate that larger claim by having quicker detection and response time in the event of an incident.
4. Quick Responses Prevent Large Losses
And it would certainly benefit you, the homeowner, in helping to prevent that larger loss by having that quick response. In the wireless world in which we live, these systems now have the capability to alert emergency response teams very efficiently.
They can be set up with a priority call list starting with you, the homeowner, and moving right down the list until contact is made. This would be for any monitored incident for which the system is programmed.
This is one of the biggest benefits of home monitoring systems. You and/or the authorities are notified immediately if an incident occurs. The sooner the response, the less damage will most likely take place.
5. Home Monitoring Systems Could Provide Insurance Premium Discounts
Some insurance companies will give a premium discount if you have a home monitoring system in your dwelling, which is why home updates like this are one of the times when you should review your homeowners’ insurance. This discount is certainly welcome, but in most cases is not that substantial that it will pay for a system in one or two years.
The best you may be able to realize would be 3 to 5 percent savings. For example, on a $1000 premium, you would save $30 to $50 per year. It would help offset the monitoring subscription.
Who’s Watching Over Your Stuff—The Burglar, Misfortune, or YOU?
To conclude, good housekeeping and common sense still go a long way in mitigating a loss and avoiding an insurance claim. There are many benefits of home monitoring systems and the monitoring equipment options available today can enhance our ability to avoid a loss and the inconvenience that it may cause.
So, consider what makes the most economic sense for you and where you wish to have your peace of mind. The old saying, “close the barn door after the horse is out,” may apply depending on how you respond!
To discuss further options and how it may affect your homeowner’s insurance, please give our staff a call here at Ruhl Insurance at 800-537-6880 or 717-665-2283. We’d love to chat with you.
Disclaimer: Information and claims presented in this content are meant for informative, illustrative purposes and should not be considered legally binding.