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Does a Security System Lower Your Home Insurance?

Usually, yes — here's how much insurers actually discount, and what you need to qualify.

Buying security hardware pays you back twice: it protects your home, and most home insurers will cut your premium for having it. The size of that discount depends heavily on what kind of system you have — a doorbell camera and a professionally monitored alarm are treated very differently by underwriters.

Typical discount by system type

System typeTypical discountWhy
Smart locks / basic cameras (self-monitored)~2–5%Deters some break-ins, but no automatic response
Smoke/CO detectors tied to a monitoring service~5–10%Reduces fire-related claim severity
Fully monitored system (police/fire dispatch)~10–20%Fastest response, lowest claim risk for the insurer

Exact percentages vary by insurer and state/country — always confirm the current discount with your own provider before buying based on this.

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How to actually claim the discount

Insurers don't apply this automatically — you have to ask. Contact your insurance agent or use their online policy portal, and be ready to provide a monitoring certificate or proof-of-installation letter, which most monitored providers will send on request once your system is active. Some insurers also accept a photo of self-installed devices for the smaller basic-device discount.

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Frequently asked questions

How much can a security system lower my home insurance?

Discounts typically range from about 2% for basic self-monitored devices up to 15–20% for a fully monitored system with police/fire dispatch, depending on the insurer and state.

Does a self-monitored camera qualify, or do I need professional monitoring?

Most insurers give a small discount for basic devices, but the larger discounts are usually reserved for 24/7 professionally monitored systems, since that's what actually reduces claim risk.

What do I need to give my insurer to claim the discount?

Usually a monitoring certificate or proof-of-installation letter from your provider. Contact your insurance agent to confirm exactly what they require.

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