Everyone wants to have more money in their pockets each month. One of the quickest and easiest ways to save is to find reduced rates on auto, home, and health insurance. Since situations change frequently, there are several factors you can adjust to see if you can get better rates. It doesn’t take a side job to get more money. Sometimes it just means you need to get creative about how to spend less as well. You may even be able to find up to $100 or more in savings that you can put toward other important — or fun — expenses.
Check Your Policies for Redundant Coverages
Does your car insurance policy cover the same things as your AAA or other roadside assistance membership? See if roadside assistance can be removed from the policy to help you get a lower cost. You could also consider canceling your roadside assistance membership if it saves you more and you get a better rate through the insurance company. Other redundant coverages to look out for are health coverage for accidents, car rental insurance, and personal property insurance. Sometimes homeowner’s policies cover them as well as auto insurance companies. If you don’t need the coverage from multiple companies, then when you cancel that part of your policy, it saves you money.
Make Sure You Don’t Have Cars/Property Covered You No Longer Own
Did you sell a car last month and forget to take it off your policy? It’s time to give the insurance company a call and let them know you don’t own that vehicle anymore. Additionally, if you sold a house or other rental property, make sure you get them off the policy ASAP. Keeping them just means you are throwing money down the drain. Take time to review all your policies so that everything they have you down for, you still need insurance for. Additionally, check your health insurance policies if your adult children no longer need it. If they are out of college and on their own, you may be able to remove them from the policy.
Ask About Discounts
You never know what discounts are available. Did you recently graduate from college, get married, or have kids? These life events may qualify you for a discount. Other things like membership in professional organizations, your job, and even clubs you belong to could get you an insurance discount. Some memberships like Costco, BJ’s, and some gyms have the option to help you get insurance discounts. Your best option? Ask about discounts. You never know what they’ll give you a bit of a break for. Also, if you combine your insurance policies from multiple companies into the same one, they usually offer a multi-policy discount.
Increase Your Deductible Amount
This works great for those who have little in savings and can handle higher deductibles in the event of an emergency. A deductible is an amount you pay for a claim before the insurance company pays their portion. Car insurance companies may have deductibles of $500, $1000, $1500, or more. Health insurance deductibles for high deductible plans start at $3000 or more. Some homeowners’ policies cover certain incidents up to 100%. Although some plans have a lower deductible, they may have higher co-pays and co-insurance options. It’s up to you to assess the most cost-effective plans for your needs.
Change Your Insurance Carrier
If you can’t get the rates down with your current insurers, you can always switch. This goes for health, auto, and homeowners’ insurances. Many companies have open enrollment deadlines for health insurance, but a lot of them will let you get health insurance quotes online so you don’t need to wait until you talk to an agent.
Most places let you switch auto or home insurance any time of year, if you’ve already paid several months in advance, you’ll want to check if they prorate it if you cancel your policy before the next payment is due. You’ll also want to learn what catastrophic events are covered and how to file in the event of an emergency like a hurricane.
Getting a boost in your budget by saving money on insurance can yield big results. With the right changes, some people save hundreds a month on their auto, home, and health insurance plans. Don’t be afraid to shop around to look for better deals, and ask questions.
