Save On Insurance

Insurance is one of yet another expense that can really add up to some big payments every month.  Here are a few ideas to help save on insurance plans.

Ask your insurance agent how much you can save by raising the deductible on your auto collision insurance.  Often, raising the deductible from $200 to $500 can save you 10%-30%.  If you have a good driving record, you could really benefit from this.

Always be sure to notify your insurance company of all the safety features that may be overlooked, but could qualify you for discounts on auto or homeowner’s insurance, such as automatic seat belts, air bags, or smoke detectors in your home.

Tell the insurance company if you are a non-smoker or non-drinker, which can result in some additional discounts.

Shop around for insurance.  If you’re getting good service from your company and are happy with the rates, you may want to stay with them.  But, if not, shop around to see how much you can save, then decide if the savings are worth the switch.

Consider combining you auto and homeowner’s insurance under one policy.  Many insurers give discounts for multiple policies. 

If you have a high school or college student under 25-years old in your household, ask about the ‘good student’ discount for auto insurance.  If your student qualifies, you could save 25%.

Avoid speeding tickets or moving violations.  Many insurance companies give a discount of up to 20% if you have not had an accident or ticket for three years or more.

Before buying a new car, ask your insurance agent whether the model you are considering will require a surcharge due to higher theft, damage or repair costs.

Finally, if you drive an older car, consider dropping collision and comprehensive coverage (not liability coverage).  Collision coverage is required if you have a car loan, but for older cars that you own, weight the car’s book value against your collision premiums.  If your car is over five years old or is worth less than $1000, keeping this coverage may not be worth what you’re paying in insurance premiums.