A number of states in the US require that you have an insurance plan in place. This creates an open market for insurance companies from auto, health to life insurance. People obviously go to these companies to figure out their expenses.
However, because of this need, some people can end up paying more than what they should be for what they own. You can easily fall into the trap due to the technicalities, jargon and seemingly complex processes that follow insurance plans.
We want you to feel the opposite and help in ways you can save hundreds on insurance plans.
When you’re looking for companies to try getting quotes from at least 3-5 companies about their policy, deductibles and insurance premiums. It can be surprising how two companies with the exact same policy can have a 50% difference. You can make the process easier by looking up these companies online.
Renew your insurance coverage every so often. If you have the same insurance company for 4-5 years, they are likely to increase the discounts you get as years keep adding up. Insurers drop their rates by 6% after each year of insurance coverage. Thus, the discounts keep improving over time.
TDo keep a look out for loyalty rewards you become eligible to after being affiliated with a certain insurance company over a long period of time.
This is perhaps one of the most common advices you will find to help save you hundreds on insurance. Combining your auto, life or health insurance policies with one carrier is a good strategy to have. It is quite easy to do, and your insurer is happy with your interest and trust in their company.
There are added benefits to combining your policies; you get discounts, exclusive benefits and companies might also reduce your overall insurance rate.
It is widely known that insurance companies factor in your credit history when they set your premium. The history reflects how you manage your finances, how much of your credit you are able to pay monthly and whether you pay your bills on time.
Thus, this score represents your creditworthiness to the company. Try to limit your credit card applications, pay the bills every so often within the month, don’t let it collect as a lump sum at the end of the year. This will improve the premium the company offers to you and puts you in a good position to negotiate.
When you’re venturing into the world of insurance policies, you have to see what fits best for the lifestyle you lead. If you have an older car, your deductible should be less than what it would be for a newer vehicle.
If you tend to have a stronger immune system or very rarely get severely sick, the policy should take this factor into account. Thus, as an individual, you need to consider your expenses, how much you can give and what benefits it will give you. This way you will surely save hundreds on insurance every year.