When you have children and you’re trying to juggle a job and make sure your bills are getting paid every month, you start to stress about money. One of the first places that many people look to cut their finances is with medical, auto, or home insurance policies. These are important to have, however, as foregoing any could end up disastrous for you down the road. Instead, try these tips to lower your monthly premiums.
Ask About Discounts
Some agencies offer discounts for meeting certain criteria. If you are a student, you may qualify for a discount if you get good grades, for example. If you stick with the same insurer for several years, they may reduce your premium. You might save if you go with paperless billing. There are discounts that may range from your age to the way you drive your car. Not all discounts or reductions are obvious, so don’t be afraid to ask your agent about what’s available.
Consider a Higher Deductible
The lower your deductible is, the higher your monthly premium becomes. While this can seem comforting, low deductibles may not be necessary for every policy you own. You can reduce your monthly insurance cost by selecting a higher deductible. Just remember that if you end up having to use your policy, that deductible must be met before the policy kicks in. It’s probably better to select a higher deductible for policies you are less likely to use.
If you need to purchase auto, home, life, or any other type of insurance, try to get as many policies from the same company as you can. Most companies offer significant discounts if you have more than one policy with them, so this could save you a ton of money in the long run through bundling.
Take Care of Your Assets
If you take the time to care for your home, your car, your body, and all of your other assets, your insurance agency may see you as less of a risk. Some companies may even have lists of actions you can perform on a regular basis to help reduce your monthly premium. Something as simple as getting a yearly physical with your doctor or installing a security system around your home could save you money because you are demonstrating that you’re doing what you can to keep your assets safe.
Take Care of Your Credit
Part of applying for a policy involves a credit check. You may qualify for a better premium if you have better credit. Be sure to make payments for your bills on time and take advantage of free yearly credit reports to ensure there are no mistakes on your report. This will help give you an idea of where your credit stands, as well as alert you in case of any identity fraud.
Don’t Forget to Shop Around
While all of these tips are great for lowering your insurance costs, don’t forget to shop around—especially if it has been a while since you reviewed your coverage options. Even when you qualify for discounts from one agency, another might be able to offer you more affordable coverage. Explore your options, and don’t be afraid to ask your agency directly about how you can save more money on your policies.
Photo: Pictures of Money/Flickr
2 thoughts on “Insurance Lowering Tips for the Money-Conscious Family”
I agree that you should consider a higher deductible. I think that in the long run, this will lead to lower insurance rates. I also think that this is something a lot of people are not aware of.
some great tips thanks for sharing 🙂