How You Can Lower Your Insurance Payments
Burdensome bills are the bane of our existence. In our current economy, we are all looking for ways to spend less money. Americans are using more coupons, waiting for deals, and spending less overall. An expense that every American has to deal with is insurance. Insurance comes in a variety of types to help preserve your hard earned ways of life- with auto insurance, health insurance, homeowners insurance, and life insurance. The average American family spends about $3500 per year on all types of insurance. How can you lower your insurance expenditures? Below we’ve listed some tips to try and help you control your insurance bills.
Combine
Try and combine multiple insurance policies into one insurance company. Many companies give discounts when you select their auto and homeowner insurances policies. Some give as much as a 10% discount! Take advantage of special deals and promotions. If you are a recent college graduate, a teacher, or someone in active military service- all of things may be eligible for rate deductions and changes to your auto insurance policy.
Compare
Make sure to shop around and get the best rates. Online companies like Geico and Progressive let you easily compare rates across the board. You should always make sure you are getting the best deal, and if someone else can give you the type of coverage you need for less- then there is no shame in switching your policy.
Consolidate
Get rid of unnecessary additions to your insurance. On your auto policy, try eradicating things like curb side pickup and towing services if you haven’t used them in over a year. Consolidate your payments. Paying for you policy in one payment, rather than stretching it out over the course of a few months or a year can easily save you up to 10% of the total policy cost. You also will not have to worry about a monthly bill.
Be Clever
Creativity goes a long way when thinking about ways to save. Take a defensive driving course (average of $30) to lower your auto insurance rates. Think about term life insurance rates and whether or not you need it. If you do not have any dependents, you could save anywhere from $400 to $900 per year. We suggest buying your policy directly through the company and not through an agent. Going through an agent will raise fees, and if you want to save money- buy directly! Avoid insurance that is specifically for one type of risk (cancer, credit life, flight) as you may have an existing policy that covers these risks. For auto insurance, consider canceling your collision insurance if your car is very old and worth less than your deductible. Most auto insurance policies are determined by your credit score. If you raise your credit score, you are more likely to get a better deal on your insurance policies.
Crunch the Numbers
Ultimately, you want to make sure you are getting the best deal anywhere. Take the time to compare, combine, and consolidate and your hard work will pay off in lower insurance costs.
