Security System *insurance* requirements - Specific?
 

What are the *specific* requirements from insurance companies for
electronic home security/fire systems? (For the maximum discount - up to
20% off homeowners insurance I guess?)

The goal of my project is the least amount of protection for the maximum
discount. I don't *really* need a security system as I live in a low crime
rate area. Just exploring ways to save money on my insurance. I will of
course ask my agent, but he tends to tell me about insurance options which
cost more, not available discounts...

About all I can find on the internet is "U.L certified monitoring station"
or "additional discount for fire protection".

So specifically, for maximum discount....

-Do all doors and windows require sensors or are just doors ok?

-Just one internal motion detector ok or are more required?

-Just one [connected to system] smoke detector ok, or are smoke detectors
and heat sensors required in specific locations? (1800 sq. ft. two story 3
bedroom house with garage and 10 x 14 tool shed out back.)

-Local monitoring required or is 1-800 number located in another state ok?
What is local so far as distance goes?

-Other alarm requirements which will get the largest discount off my
insurance rates?

Bill wrote:
What are the *specific* requirements from insurance companies for
electronic home security/fire systems? (For the maximum discount - up to
20% off homeowners insurance I guess?)

For specific requirements for a specific insurance company you'd have
to ask them.

The goal of my project is the least amount of protection for the maximum
discount. I don't *really* need a security system as I live in a low crime
rate area. Just exploring ways to save money on my insurance. I will of
course ask my agent, but he tends to tell me about insurance options which
cost more, not available discounts...

His tendencies shouldn't matter. Ask him directly and ask to see the
requirement information he's getting in writing.

R

"Bill" wrote in message
...
What are the *specific* requirements from insurance companies for
electronic home security/fire systems? (For the maximum discount - up to
20% off homeowners insurance I guess?)

The goal of my project is the least amount of protection for the maximum
discount. I don't *really* need a security system as I live in a low crime
rate area. Just exploring ways to save money on my insurance. I will of
course ask my agent, but he tends to tell me about insurance options which
cost more, not available discounts...

About all I can find on the internet is "U.L certified monitoring station"
or "additional discount for fire protection".

So specifically, for maximum discount....

-Do all doors and windows require sensors or are just doors ok?

-Just one internal motion detector ok or are more required?

-Just one [connected to system] smoke detector ok, or are smoke detectors
and heat sensors required in specific locations? (1800 sq. ft. two story 3
bedroom house with garage and 10 x 14 tool shed out back.)

-Local monitoring required or is 1-800 number located in another state ok?
What is local so far as distance goes?

-Other alarm requirements which will get the largest discount off my
insurance rates?



Each company has their own specific rules.
Ask them for something in writing.
(same rule they usually ask of you)

But if you go too cheap and have a problem, don't be too surprised if the
adjuster disallows your claim and cancels the policy, claiming you
misrepresented the security system.
aka, insurance fraud.

All insurance companies are great at cashing the premium checks.
But the good ones will be there when you need them.


AMUN

"Bill" wrote in message
...
What are the *specific* requirements from insurance companies for
electronic home security/fire systems? (For the maximum discount - up to
20% off homeowners insurance I guess?)

The goal of my project is the least amount of protection for the maximum
discount. I don't *really* need a security system as I live in a low crime
rate area. Just exploring ways to save money on my insurance. I will of
course ask my agent, but he tends to tell me about insurance options which
cost more, not available discounts...

About all I can find on the internet is "U.L certified monitoring station"
or "additional discount for fire protection".

So specifically, for maximum discount....


Even if they install for free the monitoring fees, required by most
insurance companies are going to eat every bit of the proposed savings.

If your home owners is a $1000.00 then 20% is $200.00 My last monitored
system cost $19.99 plus tax a month. I do not think that you can get a
installed system monitored for that. More like $35.00 a month.

I will bet your home owners insurance is less than an grand.

Mine simply wanted a photocopy of the monitoring contract.

-Tim

"Even if they install for free the monitoring fees, required by most
insurance companies are going to eat every bit of the proposed savings.


If your home owners is a $1000.00 then 20% is $200.00 My last
monitored
system cost $19.99 plus tax a month. I do not think that you can get a

installed system monitored for that. More like $35.00 a month.

I will bet your home owners insurance is less than an grand. "


I agree. An insurance company only gives about a 5% or so discount for
an alarm system. With a typical policy of maybe $600 a year, it
doesn't sound like it's worth it, even if you install an unmonitored
system. And I'd check with the insurance company first, as they may
require it to be monitored. I think I'm paying around $20 a month for
my monitoring. Paying for monitoring, there is no way you'll ever come
out ahead.

There are benefits to an alarm system other than deterring burglary.
Such as smoke alarms which will alert a central monitoring station if
something in your house starts smoldering...

They also have flood alarms...

"If your home owners is a $1000.00 then 20% is $200.00 My last
monitored
system cost $19.99 plus tax a month. I do not think that you can get a

installed system monitored for that. More like $35.00 a month."

We have ADT, it's $28 including taxes a month for monitoring. Would
love to pay less, but that's the fee.

However, we installed the system for peace of mind that our home was
protected, NOT for an insurance discount. People don't normally install
these systems and have them monitored just to save a few bucks on their
homeowners insurance.

In article ,
"Bill" wrote:

What are the *specific* requirements from insurance companies for
electronic home security/fire systems? (

Is there some reason you don't call an insurance company, or an agent,
to ask this question? It seems to me, the best way to get an
authoritative answer to any question about insurance coverage or
requirements is to call and ask the company.

Ryan wrote:
"If your home owners is a $1000.00 then 20% is $200.00 My last
monitored
system cost $19.99 plus tax a month. I do not think that you can get a

installed system monitored for that. More like $35.00 a month."

We have ADT, it's $28 including taxes a month for monitoring. Would
love to pay less, but that's the fee.

There are many companies that do monitoring for a lot less, as long as
you don't install a proprietary system like ADT. You can change the
controller on an ADT system to a non-proprietary model, while keeping
the same sensors, so you can switch to a less expensive monitoring company.

"http://www.smarthome.com/alarm.html" $9/month
"http://www.911alarm.com/" $12/month

All the profit in alarms comes from the monitoring contracts, which are
obscenely priced. Note that more and more cities are refusing to even
respond to alarms, for two reasons: 1) nearly 100% rate of false alarms,
and 2) by the time they can get to the house, the burglars are long
gone, since a burglars will typically spend less than three minutes in a
house before leaving.

SQLit wrote:

Even if they install for free the monitoring fees, required by most
insurance companies are going to eat every bit of the proposed savings.

Monitoring costs between $9-12 per month. The key is to not go with a
proprietary system like ADT, which makes all the money from monitoring.
Pay for a non-proprietary system, and then sign up with a UL listed
monitoring company.

"Shawn Hirn" wrote in message

Is there some reason you don't call an insurance company, or
an agent, to ask this question?


As I said, I *will* be asking my agent.

Actually I once worked for an alarm company. I heard from the customers
"snippets" here and there about insurance company requirements for this,
that, and the other thing.

There are all sorts of different levels of electronic security available.
There are things like a U.L grade "A" system, A U.L. or non-U.L monitoring
station, dial-up monitoring, direct-wire monitoring, and on and on. And
certain businesses/homes seemed to be required to have certain levels of
security.

Being as I was on the technical side of things, I never got much involved
with insurance requirements, etc.

So just wondering if there was anything on the internet, which spelled out
in general, what is required for insurance discounts and/or which
additional levels of security would get additional insurance discounts.
Guess not...