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Understanding which factors are considered and what goes in to calculating insurance premiums can be tremendously useful information to the average homeowners when it comes to choosing a home insurance policy that is right for them.  At MBS Insurance Brokers, our team deals with premiums and insurance policies on a daily basis. We’re used to sorting through the fine print and advising our clients on making informed choices.  You don’t need to stress out over hunting down the appropriate information! Contact one of our insurance brokers to get started and read our blog about the key factors you need to be aware of that can influence your premiums.

Replacement costs

The higher the value of your property, the more you’ll pay for premiums. This is due to the fact that the cost of replacing your home and the objects within is a determining factor in calculating insurance rates. It’s a simple concept, but it’s an important one to keep in mind. For this reason, insurers typically require a complete inspection of your home.


Substantial renovations can alter the value of your property, which means your premiums may need to be raised. In fact, there are many myths surrounding the impact of renovations on your homeowners insurance, although certain upgrades can help you cut costs in the long run.


Insurers keep track of the number, types and costs of claims in a given neighbourhood. This allows them to evaluate the likelihood that you’ll file a claim. Similarly, proximity to fire stations and hydrants is taken into account when evaluating the potential cost of a house fire.

Electricity and plumbing

Older electrical systems pose a higher risk of house fires, which is why insurers will pay attention to your house’s wiring. Old aluminum wiring may need to be replaced entirely. The same goes for plumbing: lead piping is more likely to crack or leak than newer copper or plastic pipes.

Wood stoves

Wood stoves can add a rustic touch to your home, but they’re also a common cause of house fires and carbon monoxide poisoning. Insurers are likely to want to inspect them to make sure they’re installed properly. For the same reason, a house with a wood-burning stove costs more to insure.


Roofs have finite lifespans. Many insurers will only pay a small fraction of the replacement cost of your roof if it’s over a certain age. Insurers usually prefer roofs that have been updated within the last 20 years.

Rentals and pools

Your premiums will probably go up if you decide to rent out part of your house or install a pool. This is because both of these carry an increased risk for injury and property damage.

Security and claims history

Security systems and fire alarms, especially if they’re monitored by an outside service, are a good way to reduce risk and potentially lower your premiums. That said, don’t forget that insurers will take your claims history into account: if you seem likely to make a claim, your premiums could increase.

Connect With One of Our Brokers – We’re Committed to Protecting You Every Step of the Way

If you’re looking for knowledgeable brokers to help you find home insurance in Edmonton, give us a call at MBS insurance Brokers Ltd. Our team is dedicated to helping you find the right policy. Call us today to set up an appointment.

How an Insurance Broker Saves You Time and Money

Do you know the benefits of an insurance broker?

Suppose you’re looking for the best insurance coverage at the best rates in Edmonton. In that case, you’ll first want to understand the benefits of an insurance broker and how they can help protect you in all sorts of different situations – whether it be saving you money, time or giving you simple peace of mind.

What Are the Benefits of an Insurance Broker?

Here are some of the many benefits of an insurance broker.


1. Saves Time

An insurance broker does all the work for you, so you don’t have to spend your valuable time shopping around for insurance. Instead, you simply provide your broker with information about your needs, and they shop the markets on your behalf.


2. Saves Money

Insurance brokers work with many different partners to find the best deals on the insurance that works for you. They take all your needs into account and make recommendations that are in your best interest. They have relationships with many insurance partners and can negotiate competitive rates and discounts, saving you money in the long run.

3. Expert Knowledge and Advice

An insurance broker provides you with the support and expertise you need to find coverage that suits your needs. They work with various products and services to find the coverage that best suits you. In addition, they can draw from an extensive knowledge base and experience to advise you on the best options. 

Insurance Brokers provide expert and unbiased advice. A wealth of knowledge about coverage and market rates combined with expert risk assessment ensures your possessions and business are adequately protected. Whether you are looking into auto insurance rates, tenant insurance, or home insurance rates, your insurance broker can help you every step of the way.

You can utilize their expertise to quickly identify your options and rely on their unbiased advice to help you make the best-informed decision for your situation.


4. Working For Your Best Interests

Since insurance brokers do not work with one particular company, they have nothing to gain from recommending a specific product. The insurance company also pays them a standard commission. Thus, there is no financial incentive to choose one insurer over another.

Insurance brokers have your best interests in mind. You can count on them to find you the best rate possible, which can give you the peace of mind you need. You can rest assured knowing that if you ever need to file a claim, one of our brokers will be there by your side to guide you every step of the way. They act as an advisor on insurance-related matters. They will shop the market for the best coverage and rates for you. Since fulfilling your needs is their only priority, they will provide independent, unbiased advice on the right coverage for your situation.

5. Privileged access and rates

Insurance Brokers have access to a wide selection of the best insurance companies in the country. These insurance companies are only accessible by Insurance Brokers. They do not deal with the public directly or with Direct Writers. Brokers enjoy long-standing relationships with these insurance companies. Still, they do not have an affiliation with any specific insurer, enabling brokers to provide you with a broader range of options at competitive rates.


6. Transparency

Insurance brokers must give full disclosure about their compensation and its effect on your insurance premium.  They are also required to declare any financial links with specific companies that may be a conflict of interest, enabling you to make the best-informed decision.


7. Risk and Advocacy Experience

Extensive experience dealing with different clients and claim situations equips insurance brokers with a broader perspective on how to reduce your risk. Also, in the event of a claim, you can count on your broker to act as your advocate with the insurance company and handle your claim fairly and promptly.

Speak to MBS Insurance in Edmonton about your Coverage

Reach out to MBS Insurance today to determine your home, auto, and commercial coverage options. Over the past 45 years, our experienced team of insurance brokers in Edmonton has earned the trust and loyalty of our clients by delivering superior products and services. We understand your needs and provide you with the best protection and rates.

There are many benefits of an insurance broker. We can help you understand the intricacies of your insurance plan while saving you money at the same time. We are a trusted insurance provider in Edmonton and provide personal and commercial insurance policies to people living in Alberta. We offer the best rates on recreational, auto, property, commercial, and group insurance policies. 

Contact us online for a free quote or by phone at 780-436-7880.

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This article was originally published on October 7, 2016, and updated for 2021.