Consumers need to understand the differences between a “safer” home insurance policy and one that is not, and the cost of insuring against the unexpected, a new study suggests.

The Insurance Information Institute says consumers should also consider how they pay for the premiums and deductibles.

They should also compare home insurance policies on different websites, the report says.

Insurers typically charge higher premiums for a “safe” policy than for one that has been deemed as less risk.

Insurance companies are also starting to look at their riskier policies, which may have more deductibles and a higher premium, said Ian Gannon, senior director of research at the institute.

“I don’t think consumers should be fooled by that kind of messaging, because it’s not true,” Gannon said.

“It’s misleading.

It’s not accurate.

It doesn’t make any sense.

You can’t get an answer out of them.

They have to tell you what they’re paying for.”

While the average consumer may be willing to pay up to $1,000 more per year for a safe policy, the institute said it is still unlikely to make that difference.

In a report released this month, the National Association of Insurance Commissioners said premiums on the most popular policies would go up in the next few years as insurers adjust to the new insurance landscape.

For example, the cheapest policy would likely see premiums increase by about 8.5 per cent over the next two years, compared to a 3.8 per cent increase in the most expensive.

Insurer and company leaders have repeatedly said the average premium would remain relatively stable, even as the costs of insulating against the weather increased.

The report says consumers may be paying a higher price for a policy that is deemed less risky.

The institute said that is largely because the insurer is making more investments in technology and other technology to better monitor its risk.

The National Association for Insurance Commissioners released a report in February estimating that average home insurance premiums will increase by 6 per cent annually from 2021 to 2024.

The new report says that while consumers would be better off with a safe home insurance product, the cost will be higher than the average of other home insurance products.

The group also said that while home insurance companies would be able to sell insurance products that have fewer risks, consumers would still need to pay for them, since their policies would be higher in cost.

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