Can Your Smart Home Devices Lower Your Insurance Premium?
If you’ve recently added a video doorbell, a smart thermostat, or a water leak sensor to your home, you might be sitting on a “hidden” insurance discount. Many homeowners in Mapleton, Sioux City, and across Western Iowa are upgrading their homes with modern technology for convenience, but they often forget to call their insurance agent to reap the financial rewards.
At The Hoffman Agency, we’ve noticed that as smart home technology becomes the standard, insurance carriers are increasingly offering premium credits to homeowners who take proactive steps to protect their property. In 2026, insurance is no longer just about having a policy—it’s about demonstrating to underwriters that your home is a lower risk.
The Smart Home Discount Checklist: What Qualifies?
Not every gadget will lower your bill, but those that prevent major claims like fire, theft, and water damage are high on the list for insurance providers. Here is a checklist of the most common smart devices that can earn you a discount on your Homeowners Insurance.
Water Leak Detectors and Automatic Shut-off Valves
Water damage is one of the costliest and most frequent claims in Iowa. A small leak under a kitchen sink or a burst pipe in the basement can cause thousands in damage before you even notice. Smart leak sensors placed near water heaters, sump pumps, and appliances can alert your phone the second moisture is detected. Some systems even include an automatic shut-off valve that kills the water supply to the entire house, turning a potential disaster into a minor repair.
Monitored Security Systems and Video Doorbells
While a standard “local” alarm might scare off an intruder, insurance companies prioritize centrally monitored systems. These systems notify a dispatch center that can call the police or fire department on your behalf. Video doorbells and smart outdoor cameras also act as deterrents and provide crucial evidence if a claim does occur. In many cases, having a professionally monitored security system can save you up to 10% to 15% on your annual premium.
Smart Smoke and Carbon Monoxide Detectors
Standard smoke detectors are great when you’re home, but they are useless if a fire starts while you’re at work or away for the weekend. Smart detectors send an immediate alert to your smartphone, allowing you to call emergency services even when you aren’t there. Because fire is a total-loss risk, insurance carriers view these “always-on” alerts very favorably.
Smart Thermostats and Low-Temperature Sensors
Iowa winters are famous for sub-zero temperatures that lead to frozen and burst pipes. A smart thermostat allows you to monitor your home’s temperature remotely. If your furnace fails while you’re out of town, you’ll receive an alert before the house reaches the freezing point, giving you time to act before your pipes give way.
How to Claim Your Savings
It is important to remember that these discounts are rarely automatic. To ensure you are getting the savings you deserve, we recommend the following steps:
- Keep Your Receipts: Maintain a record of the devices you’ve purchased and installed.
- Provide a Monitoring Certificate: If you have a professionally monitored security or fire system, your provider (like ADT, Ring, or SimpliSafe) can issue a certificate that we can submit directly to your insurance company.
- Bundle for Maximum Savings: Often, the best way to lower your overall cost is by combining your home and Automobile Insurance. Adding smart home discounts on top of a multi-policy discount can lead to significant annual savings.
Partner with an Independent Agent to Find the Best Rates
Every insurance carrier evaluates smart home technology differently. While one company might offer a 5% discount for a video doorbell, another might only offer a credit for whole-home water shut-off systems.
As an independent agency, The Hoffman Agency works with multiple carriers. This allows us to “shop” your policy to find the insurer that offers the most aggressive discounts for the specific technology you’ve installed. We’ve been helping Western Iowa families protect their peace of mind for over 60 years, combining old-fashioned service with today’s technology.
If you’ve upgraded your home recently, don’t leave money on the table. Contact us today for a full review of your Personal Insurance and let’s see how much your smart home can save you.