If your insurance premiums seem high, you may be able to lower them. Changing your deductible level, making a few small improvements around the home, or even simply asking for a lower rate, could mean more savings for you.
Review your policy coverage
Look over your policies annually, because prices can change from year to year. If your premiums increase to an amount you can no longer afford to pay, it’s probably time to shop around for another provider. When looking, be sure to compare apples to apples. You don’t want to switch only to find out that your new lower premium comes without the same or better benefits.
Sometimes a personal relationship with an agent could outweigh a price increase. Be sure to weigh all factors before deciding to switch.
Check your deductibles
If your budget allows, consider paying higher out-of-pocket costs instead of carrying lower deductibles with higher premiums. Insurance companies typically reduce the premiums if you’re willing to assume more risk. But be careful. If disaster strikes and you don’t have the money available to cover the higher deductible, you’ll be sorry. So keep that emergency fund ready and stocked with more than enough to cover the deductible.
Make home improvements
Improvements to your home can mean better rates on homeowners insurance. Check with your insurance provider to see if improvements such as installing smoke detectors, or security alarms will reduce your premiums. You may have made these improvements for convenience, but never thought to mention it to your agent.
Discontinue extra coverage
For older cars, you might consider dropping collision insurance. Often certain insurance costs don’t make sense once your vehicle has significantly depreciated. The replacement costs may be less than or equal to the cost of repair.
Ask for discounts
Discounts are common when you bundle both home and auto insurance from the same carrier. But there are also some less obvious discounts that could save you money.
Some companies give discounts on homeowner’s premiums if you live near a fire station or near a fire hydrant. If you pay auto insurance for dependents, ask about student discounts or discounts for excellent grades. Don’t forget to ask if there are discounts available for airbags or other safety features, too.
Keep your insurance agent up-to-date. Don’t just call when you’ve bought a new car. Inform him of any status changes such as dropping points from your driver’s license, the ages of your children or if they will no longer be driving your vehicles.
And when you’re ready, contact us to help you find the right level of home or auto coverage to meet your needs.