Do you find insurance bills creeping up, even when nothing has changed in your personal circumstances? Insurance can be a tricky problem, with many hidden costs and facets. If you want to save money, you need to know how to get the cost of expensive policies down.
There are a number of easy ways to do this. Read on for our need-to-know guide on saving insurance money.
1. Change Your Payment
The way you pay your insurance makes a huge impact on the price. Companies will reward you for making their job easier. Paying in larger chunks means less administration for them and provides one way to save money on insurance.
If you can, pay your annual insurance cost in full. You will see that it often offers a sizable discount. If you don’t do this, then pay in advance or set up automatic payments and see if you can save.
2. Bundle Insurance
You probably have a lot of different types of insurance in your home. These could be auto insurance, possibly for multiple drivers, home contents insurance, and other types. By getting them all from the same company, you can often get huge discounts.
When you bundle home and auto insurance with the same company, you, as a customer, suddenly become quite lucrative to the company. You will find they are prepared to offer incentives, such as lowering the price on both.
3. Saving Insurance Costs by Increasing Deductibles
The deductible is the amount you pay before the insurance company policy starts. For example, if you had a car accident that cost $2000 and your deductible was $500, then you pay the $500 and the insurance company would payout on the other $1500.
Increasing the deductible will save money on insurance. You are limiting the financial burden on the provider. In return, they will offer you a lower cost premium.
4. Cut Coverage
One of the benefits of looking for insurance in advance is that you can really analyze the policies. Doing this, you should be able to identify things you don’t need, have them removed, and bring the policy down.
For example, you may not need certain content insurance if items in your home are old and easily replaced. You should also be wary of add ons that insurance salesmen may add to bring up the total premium.
5. Utilize Discounts
There are many discounts to help you save money on insurance. However, you may often have to try and find them yourself.
If you are wondering how to save on car insurance then let your provider known if you have low mileage or are a safe driver. You may even get affiliation discounts if you are a student or have been in the military.
Start Saving Today
Now that you know these tips about saving insurance costs, research providers. Different providers will value various elements and produce quite different quotes. Make sure you get the one that is right for you in terms of coverage, not just price.
Our handy articles on finance are just one of many to help you get the best from your cash. Visit the rest of our blog for information on how to maximize your money starting today!