Cheap Home Insurance Quickly grab 100+ quotes & cashback

To speedily slash home insurance costs combine comparison sites to boost your chance of finding the cheapest price, then grab hidden cashback. It's so powerful MoneySavers have bagged cover plus up to £67 PROFIT!

These savings can be had anytime. Provided you haven't claimed, most insurers allow policies to be cancelled with a refund, and while a few charge, you're still likely to save more than they cost.

Step 1: Ensure your cover's correct

Insurance premiums, the name for payments made to insurance companies, depend on the insurer, the level of cover and how risky you're perceived to be. Therefore start by defining your cover and ensuring you're as low a risk as possible.

Full information on this, including the difference between buildings and contents cover and how to lower the risk category you are in, are in the special additional extra tips to cut your home insurance premiums article.

Plus, if you've not got 'normal' circumstances eg, you've made a claim in the past few years, are in an area prone to flooding or subsidence, do ensure you tell the insurer. If you don't and then try to claim, even for an unrelated issue, your whole policy may be invalid. With insurance the golden rule is to 'tell them the whole truth and nothing but the truth'.

Beware monthly payment plans

Beware 'pay monthly' options - usually the insurer actually just loans you the annual cost and then charges interest at hideous rates on top. So either pay for it in full, or if you can't afford it, use a credit card with a lower APR rate (or better a 0% credit card for spending ensuring your repayments are big enough to clear it within a year).

Some insurers currently have promotions where you can pay monthly at no extra charge. See the Special Deals section to find out who.

What to cover?

A common mistake is to cover the house's market value (the amount it could be sold for), meaning many people are over insured, paying too much.

The amount you cover (called the 'sum insured') should be the 'rebuild value'; simply the cost of rebuilding the property if it were knocked down.

So the real key isn't location, but cost of materials, labour and architects. However it's important any building policy covers the cost of somewhere for you to stay while your home's rebuilt.

To find a rebuild value, commissioning a survey is most reliable, but is expensive unless you're getting one anyway (eg, buying a new home). A less accurate, but quicker option is the ABI's calculator, or using a comparison site that uses the ABI's data - such as Moneysupermarket* - or asking an insurer to give you a rough value based on standard assumptions.

For contents, ensure you don't under-insure - this could lead to insurers not paying out when you need it. Add up everything, including smaller items like clothes on a 'New-for-Old' basis.

If you insure £20,000 of possessions when you actually have £40,000 worth and have to make a claim, you'll at best only have 50% of contents protected or, worse still, the policy cancelled for being underinsured. If the latter, you must disclose it in the future, hiking the cost of insurance.

Step 2: Correctly combine comparison sites

Comparison sites zip your details to hosts of insurers' and brokers' websites, scraping their data off the screens to report back the cheapest. So be aware they often feed your personal details to insurers.

Yet these screenscrapers don't all compare the same sites, so the best strategy's to combine them. We've analysed the comparison sites, using a large range of monthly data, primarily focused on which ones produce the cheapest results for each category, but also factoring in user feedback. (see How the order is picked).

We also carried out our own research in obtaining quotations, the speed, how informative the process, what you need look out for....

Compare in the following order:

Cheapest quote 46% of time (in our sample)

Approx. time to get a quote 6 mins

try it*

1. comparethemarket.com ...Gets cheapest quote 46% of time (in our sample)

• Pros: Images available when selecting what type of security you have at the home. Well laid out quotations page, clearly states the monthly payments and what added extras are included. Confirmation email of the quotation received.

• Cons: The quotes on the results page only show the voluntary rather than total policy excess so double check the total. The marketing follow up is slightly hidden if you want to 'opt-out'.

• Add feedback: comparethemarket.com

Top two of sample likely to give cheapest quote73% of time

Search Takes
6 mins

try it*

2. ... plus GoCompareIncreases chances of cheapest quote from sample to 73%

• Pros: The sum insured clearly stated as are the monthly payments. A change from the norm is that you have an 'opt-in' option for marketing calls or literature, rather than 'opt-out'.

• Cons: The compulsory excesses are not clearly shown. Also, if you need to make bigger changes to the quotation, the process of where to make them, or start, is not easily shown.

• Add feedback: GoCompare

Top three of sample likely to give cheapest quote 84% of time

Another 7 mins to obtain a quotation

try it*

3. ... plus MoneysupermarketIncreases chances of cheapest quote from sample to 84%

• Pros: Has good options to reduce excess, a simple 'edit your quote' function. You also have the facility to filter by cover type. Received email confirmation of the quotation promptly.

• Cons: Unable to locate the 'opt-out' marketing link to stop being contacted. Be sure to read all assumptions, as displayed in two areas (second only visible when you click 'Statements').

• Add feedback: Moneysupermarket

Top four of sample likely to give cheapest quote 92% of time.

Takes 6 mins to obtain a quotation

try it*

4. ... plus Confused.comIncreases chances of cheapest quote from sample to 92% .

• Pros: Clear option to 'opt-out' of telemarketing calls. Excesses and cover levels clearly shown. Excellent images giving examples of the types of locks to help the client.

• Cons: The excess can be edited but it does start at a high default of £250. Limited filtering system if you want to select certain cover levels. The option to edit quotations is not very clear. Assumptions are pre-ticked.

• Add feedback: Confused.com

Based on a full survey carried out roughly every month, last done in Jan 2012 using Dec 2011 data. We compare quotes from Comparethemarket, Confused, GoCompare, Moneysupermarket & Tesco Compare

Once you've found the cheapest

Once you've found the cheapest from the screenscrapers; there are two important checks to make:

• Double check the quotes.

  Click through to the insurance provider's own website to double check the quotes, as to speed up searches some comparison sites make a few assumptions (see What to check).

• Examine the policy's coverage.

  Check whether it's suitable. So if you want "accidental damage", is it included? And if you specified you were in an area affected by flooding or subsidence is this noted?
  
  Plus while you're there it's worth playing with the policy details to see if you can finesse the price down; look at the excess, and the name of the policy holder (if a joint policy) as the age of each person can affect your quote (see extra tricks article). This tool by Find* allows you to check the coverage of two different buildings* and contents* policies side by side.

Screenscraper and broker differences

Brokers and screenscrapers may seem like they're doing a similar job, as each search a number of different insurers; yet they're radically different beasts. Compare it to searching for the cheapest loaf of bread... (bear with us!).

Individual insurers are like bakers, your choice is simply to buy its cheapest loaf that suits. Brokers are like supermarkets; they stock a range of bakers' loaves and the price charged depends on their relationships with suppliers. Screenscrapers are like sending someone round supermarkets and bakers to note all their prices.

What if my insurer goes bust?

Comparison sites include many providers, the vast majority of which are regulated. A small number aren't, for example Markerstudy which is regulated in Gibraltar (meaning you'll need to claim from there if it's your insurer and it goes bust), so it's always worth checking yourself if you're concerned.

In the unlikely event a regulated insurer goes bust, the FSCS will try and find another provider to take over or issue a substitute policy. However, if you've ongoing claims, or need to claim before a new insurer is found, the FSCS should ensure you're covered. For more see the Insurance section of the Savings Safety guide.

Further tricks to find a cheaper price

If the comparison sites haven't saved you money or given the cover you need there are some alternatives:

• Get quotes up to 3 months before renewal

  
  A number of insurers will hold the price of the quotation for 90 days. This means that if you obtain a quotation 2 or 3 months before your renewal is due, you've locked in a price in case they rise in the near future.
  
  Aviva*, Barclays*, Churchill*, Direct Line* & Natwest* quotes are valid for up to 90 days, John Lewis Insurance* is valid for up to 60 days. Remember, the quotations are subject to your details not changing. Set up a Tart Alert to remind you when it's going to expire.

• Mid to high value possessions

  If you have several mid to high value possessions, Hiscox* may be worth a check. Others are Home & Legacy, who provide 3 types of contracts to hopefully meet your needs, and John Lewis Specialist Home Insurance*.

• Guarantee to beat your renewal

  Several providers have price guarantees if you've not beaten your renewal quote but make sure you are getting the same level of cover, excess, courtesy car and the add-ons as your current policy:

  Quoteline Direct: Broker Quoteline Direct* promises to beat your price by at least 10% with similar cover.

  uSwitch: uSwitch* also offers to beat your renewal (via insurer Brit), for cover on a like for like basis, by at least 10%, providing your annual premium is over £100. If its online comparison doesn't give you a cheaper price call 0800 051 5891.

  The others: Morethan* and Post Office* make promises to beat your renewal so it may be worth a go. If you are a Natwest* or RBS customer, they also promise to beat your existing renewal, by £25.

• If you've not got 'normal' circumstances

  Some groups, eg, those in areas prone to flooding, subsidence or who's house is left unoccupied for long periods, can find it incredibly difficult to find cheap insurance cover as they are considered too high a risk. Those with a chequered financial past eg, bankruptcy or CCJs may struggle too.
  
  In these situations, insurer homeprotect* may be able to help or see the Home Insurance Tricks guide for further ways to reduce your risk. Anothre option is to try speaking to a local broker (search on the British Insurance Brokers' Association website) about your individual circumstances.

Step 3: Grab Hidden Cashback and Haggle

By now you'll know the cheapest available provider, yet you may be able to cut the cost even further.

The top cashback deals

Once you know who your cheapest provider is... then you need to check there aren't any hidden cashback deals, which can be as high as £120. If your second or third cheapest quotes weren't much more expensive then see if cashback is available for them too, and find the overall winner.

The step-by-step list below takes you through a variety of options to improve your deal.

Haggle

The home insurance market is very competitive and companies are desperate to retain business. Therefore once you've got your overall cheapest price get on the phone and try to haggle. There's often massive price flexibility, but be fully armed with the screenscraper's cheapest quotes and any available cashback first.

The first port of call should be your existing insurer, after all if it can beat or even match the best quote it saves the hassle of switching policy. If that doesn't work and you're still in the mood, take it to a broker. For more haggling hints and tips read the full Haggle On The High Street guide.

Step 4: Remember next year

Apply for cover from your existing insurer as a new customer and it's likely you'll be given a cheaper price. This is because home insurers like any company will happily profit from apathy if they can. I

nsurers must send out renewal notifications at least 28 days before renewal, though this doesn't leave much time and you can end up rushing to try and find a cheaper price.

To avoid being forced to decide quickly, diarise a warning up to 3 months before your renewal date, so there's plenty of time to sort out a new provider. Alternatively use the free Tart Alert which sends a reminder text or email.

Get paid to be a mystery shopper

You could also sign up to Consumer Intelligence, a consumer research company, who pays several hundred people a month near renewal, up to £50 to carry out comparisons and importantly you do not need to buy insurance from any of the companies you've contacted. See the It's a Mystery forum thread for full details.

The current record result - £67 PROFIT!

This technique's so powerful, some people get more cashback than policy's costs, effectively meaning they were paid to take out the cover! The current record is held by MoneySaver Saving4Jesus.

The Record... £67.50 PROFIT for a year's cover

• Quote of £52.50. By using the comparison services he found a quote for £52.50.

• Cashback of £120. That same insurer was paying a mammoth £120 cashback. The important thing is, the cashback tends to be fixed whether your quote is for £77 or £864 as it's all about insurer's marking budgets not price.

• Thus he was £67.50 up. Therefore for a years home insurance he actually made £67.50.

Prices have risen, but 2011 record was still...

• £9 PROFIT for a year's cover! The cashback avalanche ain't over - MoneySaver ronrose had a £62 contents quote, £70.70 cashback - a PROFIT of £8.70 when buying a year's contents insurance.
• Tell us your cashback success story for 2012! We love to hear when you guys get cracking deals, please report super cheap deals so we can share it with other MoneySavers.

Cut Car Insurance costs too

The Car Insurance cost cutting article works in exactly the same way and could save you another wedge of cash. Don't forget to check that out too.