If your auto or home insurance premiums seem high, you may be able to lower them. Changing your deductible level, making a few small improvements around the home, or 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 on your home and auto. Insurance companies may 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. Consider small upgrades such as a security system, better lighting or landscaping to help reduce your homeowner’s premiums. If you’ve already made these improvements for convenience, be sure to mention it to your agent.
Discontinue extra coverage
For older cars, consider dropping collision insurance. Often certain insurance costs may not 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 advanced car safety features, too.
Keep your insurance agent up to date. Inform your agent 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. Of course, the same applies to upgrades you make to your home.
And when you’re ready, contact us to help you find the right level of home or auto coverage to meet your needs.
