Yes — in most cases, installing a home alarm system can lower your homeowners insurance rates. Insurance companies often provide discounts because a monitored alarm system reduces the risk of burglary, fire, and property damage, making your home less costly to insure. The exact savings vary, but many homeowners see a reduction of 5%–20% depending on their provider and the type of system installed.
Why Do Insurance Companies Offer Discounts for Alarm Systems?
Insurance providers calculate risk when setting your premium. Homes with monitored alarm systems are less likely to experience break-ins or major losses. Since the system adds an extra layer of protection, your insurer has less risk of paying out a large claim — and they pass some of those savings on to you.
How Much Can You Save?
The discount amount depends on:
- Type of Alarm System – Monitored alarms generally earn bigger savings than unmonitored systems.
- Added Features – Smoke detectors, CO alarms, and water leak sensors may increase your discount.
- Insurance Company Policies – Some insurers cap discounts at around 5%, while others go up to 20%.
Do All Alarm Systems Qualify?
Not every alarm setup will guarantee a discount. Insurance companies typically prefer systems that:
- Are professionally monitored 24/7.
- Include fire and environmental monitoring in addition to intrusion detection.
- Are installed by a licensed provider.
How to Maximize Your Savings
If you already have a system, call your insurance provider and ask what documentation they need. Usually, proof of professional installation or a certificate of monitoring is required. If you’re considering an upgrade, choose a system that integrates with fire and life safety monitoring to get the highest discount possible.
The Bigger Picture: More Than Just Savings
While lower insurance premiums are a great benefit, the real value of a home alarm system is peace of mind. Knowing that your family, home, and belongings are protected 24/7 is something money can’t replace — and the insurance discount is simply an added bonus.
Ready to protect your home and save money at the same time? A professionally installed alarm system doesn’t just give you peace of mind — it can also reduce your insurance costs year after year. Contact GuardMe Security today to learn more about smart alarm solutions designed to keep your family safe and your premiums lower.
Frequently Asked Questions About Alarm Systems and Insurance
Do all insurance companies give discounts for alarm systems?
No. While many insurers do, discounts vary by provider. Always check with your insurance company to confirm.
How much can I save on home insurance with an alarm system?
On average, homeowners save between 5% and 20%, depending on the type of system and their insurer’s policies.
Does a DIY alarm system qualify for a discount?
Some insurers accept DIY systems, but most prefer professionally installed and monitored alarms for maximum savings.
What proof do I need to get the discount?
Insurance companies usually require a certificate of monitoring or proof of professional installation.
