Does a Home Security System Lower Insurance?

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home security for lower insurance

Ensuring the security of your family and your own possessions a top priority when it comes to safeguarding your home.

Home security systems have been primarily designed to discourage burglars and enhancing your peace of. But on top of that, it can provide with some financial benefits as well.

One of the most appealing benefits that these security systems offer is lower insurance on your home. In this article we will analyze the relationship between home security systems and insurance premiums, find out which companies offer the best discounts, discuss what types of security devices are eligible for such discounts. So, let’s get started.

How Much Money Can Homeowners Save on Home Insurance?

Homeowners insurance serves as a vital safeguard for unexpected events, such as fires, natural disasters, or theft.

Premiums can be quite expensive. However, the installation of home security system offers a chance to save money and drag those insurance premiums down.

Typically, home owners will see savings of around 5% to 20% on their insurance bills by having a security system installed. How much you save varies depends on many conditions such as what kind of security system you have got, where you live, and which insurer you chose.

On average, homeowners in high-crime areas save more as they are considered to be a higher risk by the insurers. Therefore, potential savings could be more significant in such cases.

Which Companies Offer These Discounts?

A number of insurance companies provide discounts for homeowners with security systems. Some of the leading insurers known for providing these discounts include:

State Farm: State Farm is known for providing hefty discounts to clients that install security systems. You can save up to 20 percent on your premiums if you reside in specific location and meet certain requirements.

Allstate: Allstate also gives discounts for those with home security systems. The savings depend on the system you choose.

Nationwide: Another insurer that offers great savings for home-owners is nationwide. In addition, they also provide special prices for additional security precaution devices such as smoke detectors and fire alarms.

Liberty Mutual: Professional monitored security system will also grant you insurance discounts at liberty mutual. The savings vary depending on a policy you have.

USAA: Is another good option if you’re looking to save on insurance payments.

4 Types of Products Defined as Security Devices

To qualify for home insurance discounts, it’s essential to understand what insurance companies consider as security devices. Typically, the following equipment qualifies:

  • Burglar Alarms: These systems notify the homeowner/monitoring service of a unauthorized entrance.
  • Surveillance Cameras: The installation of indoor/outdoor security cameras is a great deterrent for criminals and provides lower insurance premiums.
  • Motion Sensors: They detect movement and notify of possible intrusion, providing additional layer for security.
  • Smoke detectors: Some companies require you to have one to even get the policy, but on top of that, you can expect a lower premium if you have these installed.
  • Sprinkler systems: It’s another addition to a safer house, that insurance companies recognize and may offer some discounts.

3 Ways to Save on Home Insurance by Protecting Your Property

Aside from installing security systems, there are other ways to save on your home insurance premiums while safeguarding your property:

  1. Increase Deductibles: Increasing your deductible can lower your premium. Ensure that you can confidently cover the deductible in case of a claim.
  2. Bundle Policies: Some insurers give discounts when a person includes both the home and auto insurance in their policies.
  3. Home Renovations: You may enhance the safety of your home by making changes such as adding impact-resistant roofs and reinforced windows, or security doors.

Switching insurance provider could be another option. If you see that a competitor offers a better deal, don’t stall, switch your provider if you see that it can save you quite a bit.

Ways to Keep Your Home Protected

While investing in security devices can lead to lower insurance premiums, it’s also essential to take proactive steps to keep your home safe:

Lock All Entry Points: Lock up all doors and windows before leaving your home or going to bed. Lock additional weak entry points, if needed.

Install Adequate Lighting: Burglars are not inclined to visit well-lit properties. Think about installing motion-activated lights in strategic places.

Maintain Your Yard: Maintain your yard to eliminate places where potential intruders could hide, trim bushes, etc… The more open areas there are, the less likely intruders will choose your property.

Get to Know Your Neighbors: Building a strong network of neighbors will allow you to watch one another’s home and react fast in case of a crime.

Smart Home Automation: Consider integrating your security devices into a smart home system for enhanced control and monitoring.


Home security systems don’t just protect your home and family; they also make a big impact on reducing your home insurance premiums.

It’s important to explore different options in order to get better premiums.

Furthermore, you can also lower your insurance costs by taking proactive measures such as installing fire alarms, sprinkler systems, smoke detectors.

You can prioritize safety and security, while at the same time, enjoy benefits of saving money on home insurance. That’s pretty good deal if you ask me!