Smart home devices make your life at home easier. Be it smart thermostats that can automate your home’s temperature, color-changing light bulbs that can be controlled from your phone, or smart speakers that can do almost anything with simple voice commands. But did you know that smart home technology can also save you money? In our research, we found that smart home technologies can help protect against property loss Also Get a significant discount on your home contents or renters insurance.
After speaking to seven of the country’s top insurance companies, we learned that smart home devices that can prevent property theft and/or fire or water damage are the most likely devices and systems to earn you discounts. Discounts range from 5 to 20 percent and vary depending on where you live and the type of device installed. Here are the smart home product categories for which most insurance companies offer policy discounts. Scroll down and we’ll give you more detailed information from the insurance companies we interviewed for this story.
Home security systems
Perhaps not surprisingly, most insurance companies we spoke with said they offer discounts for home security systems that include components such as motion and door/window sensors, security cameras, smoke detectors, water leak detectors and the like. In most cases, however, insurance will only provide a discount if the system includes professional third-party monitoring, a paid subscription service from the system manufacturer. Don’t worry, none of the systems we reviewed require long-term contracts and they are all relatively inexpensive.
You also don’t need to hire professionals to install a security system for your home. Provided you have a screwdriver and a little technical know-how, you can do everything yourself. One of our favorite DIY home security systems, the $250 Ring Alarm Pro, is very easy to set up and expand, and has a built-in Wi-Fi 6 router with LTE backup in case your primary broadband service temporarily goes down. Ring’s professional monitoring service is also relatively affordable, costing just $20 per month.
Another great example is the Abode Iota, which has a 1080p security camera built into its hub (like Ring’s product, you can add more). You can purchase Abode for $300 on Amazon and sign up for professional monitoring for about $20 per month.
You can find links to many of our other smart home system reviews at the previous link.
Security cameras and video doorbells
Some insurance companies also offer discounts for security camera systems, especially if it involves professional surveillance. Amica, for example, even offers discounts on systems without Monitoring, but the discounts are much better if your property is monitored by a third party.
An example of a security camera system that would meet these criteria is Arlo, especially if you choose the top-rated Arlo Secure Plus plan, which offers 24/7 professional monitoring. While it costs $25 per month, it covers an unlimited number of cameras, including the smaller security cameras as well as a video doorbell, both of which Arlo offers. An Arlo Essential camera costs around $40, while the Arlo Video Doorbell costs around $130.
There’s also SimpliSafe’s Fast Protect professional monitoring service, which offers 24/7 live guard protection. Professional agents can even access your camera’s video feed and microphone to stop a threat. The company recently announced plans to use artificial intelligence alongside human agents to monitor its customers’ security systems. However, the service is slightly more expensive at around $30 per month.
If these don’t suit your needs, check out our other home security camera reviews here.
Smoke, fire and carbon monoxide detectors
Losing your home to a fire is a frightening prospect, which is why every home should have a smoke alarm in every bedroom. Many insurance companies offer discounts for certain fire or smoke alarms. But a clever The smoke detector can alert you even when you are not at home, which is helpful in protecting not only your loved ones but also your valuable assets.
We think the $119 Nest Protect is the best smart smoke detector around thanks to its easy-to-use app and overall reliability. The alarms are varied and there are also voice alarms. We also liked the Kidde Smart Detection Smoke and Carbon Monoxide Alarm, which provides voice warnings of fire and carbon monoxide hazards in addition to the usual beeps. The retail price is around $116.
If you have a fire alarm that is integrated into a monitored home security system and can contact the local fire department, even better. Abode, Ring, and SimpliSafe all offer such integrations.
Do you want to protect your family and home from fire? Don’t miss our detailed smart smoke detector reviews.
Water leak sensors and smart shut-off valves
While fire is a legitimate fear for most homeowners, water is actually a far more likely cause of property damage. Be it a burst pipe, a hole in the roof or a clogged toilet – water leaks are very common and costly. For this reason, a water leak sensor is a wise investment for most homeowners. Plus, many insurance companies offer discounts if you install them. It’s best to install these sensors in areas where leaks are most likely, such as laundry rooms, bathrooms, and water heater cabinets.
The Phyn Smart Water Sensor is our pick for the best smart water leak detector for several reasons. It sends an instant alert the second time it comes into contact with water, runs on a few AA batteries, and is relatively inexpensive at just $40. If you also own the Phyn Plus smart water valve, it can also automatically shut off your main water supply.
Our runner-up is the $50 Flo by Moen Smart Water Detector, which can alert you to the presence of water in places it shouldn’t be. Of course, if you already have a Flo by Moen Smart Water Shutoff Valve, this is a no-brainer. It also informs you about the water pressure and the ambient temperature and humidity if they are outside the normal range.
As with smoke detectors, some smart home system providers either offer their own products in these categories that you can integrate with your broader home security system, or they work with third parties to do so. Abode, Arlo, Notion, Ring, SimpliSafe, and Wyze Labs all do this.
Flo and Phyn aren’t the only games in town. Be sure to read our other water leak detection product reviews.
What some of the major insurance companies offer
Below are some more details about the types of smart home tech discounts offered by some of the country’s largest insurers. The offers vary greatly depending on the device and where you live. Most companies simply encouraged customers to call their local representatives for more information. However, we have learned some details, which we will share below.
Allstate told us it is offering customers up to 5 percent “protective device discounts” on items like smoke detectors, fire extinguishers, connected security cameras, home security systems and water leak detectors. The validation process is different for each device, but in general you want professional monitoring to have the best chance of qualifying. A representative also told us that some devices – such as a burglar alarm with third-party monitoring – require documentation, but a simple smoke detector does not require documentation.Amica
Amica rewards policyholders with discounts on a wide range of smart home technologies, including burglar alarms, smart temperature detection devices, smart security devices, fire and smoke detectors, electrical fault monitoring, and smart water leak detection technologies. Amica also offers deeper discounts from provider partners like Moen, Guardian, StreamLabs, Flume, and Kangaroo.
Although discounts vary depending on where you live, Amica says you’ll get the best discount on professionally monitored products.
Farmers Insurance offers 5 to 20 percent discounts on smart home devices that reduce the risk of fire, theft or water damage. Larger discounts are typically available for devices that have an external signal and a connection to local authorities.
Nationwide may offer a smart home discount on select devices depending on which state you live in. For the best discounts, we recommend installing devices from the following partner providers: LeakBot, Notion, Phyn, Resideo, SimpliSafe and Ting.
Progressive policyholders may receive discounts on alarm systems, which include burglar and fire alarms. Centrally monitored security systems and automatic fire extinguishing systems may also qualify for a discount depending on location.
State Farm offers a discount on home security insurance if you have a fire, smoke or burglar alarm or other home monitoring system installed. The company is currently partnering with ADT to offer a special ADT Home Security Savings and Insurance discount of up to 6 percent for some select states.
Additionally, State Farm has expanded its Ting Fire Protection program and made a free Ting Smart Plug-in Sensor available to eligible customers. The plug-in sensor monitors your home for dangerous arcing that could cause a fire. Installing a box will not give you a discount on your insurance, but customers who have a box will receive a $1,000 credit toward professional electrical fire hazard removal if necessary.
Traveler policyholders should be able to receive a small discount on their insurance premium if they install an alarm system, with greater savings possible if there is centralized third-party monitoring rather than self-monitored systems. There may also be additional discounts if you have water sensors and emergency shut-off valves, such as: B. Flo from Moen or Phyn Plus.
How about your Insurance company?
Is your insurance company not listed here? We have contacted many of the largest insurers, but by no means all of them. We encourage you to call to find out what they can do for you if you decide to install a home security system or one or more of the home security devices listed above.
And if not, maybe it’s time to look for one who can give you a better deal!