New Year, New Insurance
Your insurance is probably something that you don’t think about until you really need it. This is true for the majority of customers. However, you really should look at your insurance policy at least once or twice a year. This is also the best time to buy insurance to potentially lock in better rates to save money. Then, when you’re working on your budget, you can check insurance off the list. We’re going to outline a few important facts to consider below.
Six Reasons Why You Should Check Your Insurance Annually or Bi-Annually
Many people pick out an insurance plan once and forget it. However, you really should get in the habit of checking your insurance over once or twice a year. For most people, this is the start of the year, but it depends on when you originally signed up for your policy. Checking your insurance will do a few things for you, including:
Update Contents Insurance
Do you have enough coverage for your belongings? Maybe you don’t have enough because you added some expensive electronics, art, or jewelry this year and forgot to add it to your policy. Checking over your policy at least once a year is a perfect way to update your contents insurance to match your needs. If you’ve gotten rid of valuable items since you purchased your plan, you could even end up with lower rates.
Report Safety Improvements
Some people take on home improvement projects during the year and don’t report the information to their insurance company. However, those projects could work in your favor when it comes to your premium costs. Things like reducing risk inside or outside of your home by removing what insurance companies consider hazards can entitle you to discounts. If you don’t inform your insurance company, you can miss out and pay more than you necessarily have to for your policy.
Get a Grip on Your Finances
The new year is the perfect time to start working on your finances and set yourself up for a strong financial year. To do this, you have to know exactly how much your premium is, what you’re paying for, and important factors like your deductible. This can help you set aside enough money to meet your deductible without going over if something happens. You won’t need to scramble to come up with the money at the last minute. It can also help you budget and generally plan your finances better throughout the year.
Address Changing Rates
Did you know that insurance premiums can fluctuate in the price? Most of them will go up from year to year, and this is why so many people choose to shop around. The goal is to find enough coverage in the event that something happens without going over budget. Insurance companies often try to sweeten the deal on policy prices for new customers, and you can cash in by switching to a new company at a lower cost without sacrificing coverage. How much coverage do you need, and will your location factor in? Consider this when policy shopping.
Look for Discount Opportunities
Along with tempting new customers, your current insurance company may offer incentives for loyal members to keep them from switching to a new company. Reviewing your insurance on an annual or bi-annual basis gives you a great chance to talk to one of your company’s agents and find out if there are any discounts available to keep you with the company. Loyalty tiers are very common, and you may save more the longer you stay with a company. Make a note to call your insurance agent to see if there are other opportunities to save.
Keep Your Resolutions
The start of the year is a time when many people make resolutions to better themselves or their lives in some way or another. What better way to improve your situation than to get on more solid ground with your finances? Make sure you have an understanding of your policy, available discounts, your deductible, what is and isn’t covered, and how much you pay each month for your premium. Taking a look at your policy will allow you to get a good picture of how much you’re spending on this necessity, and you can decide if you should stay with your current company or look elsewhere.
When is the Best Time to Buy Insurance?
Now that you know six of the main reasons why you should consider looking over your insurance once or twice a year, you should also know when is the best time to do so. After all, it doesn’t make a lot of sense to do it during the middle of a policy term. Instead, you should wait for your renewal. This is once a year or every six months, depending on the company.
For many people, this period falls right around the new year at the start of January. Carefully consider if you’ve made any improvements to your home or made any other changes that could warrant a discount or a rate increase. Look for possible ways to save, and decide if you should increase or lower certain parts of your insurance.
It’s also important that you get a rough idea of your current coverage and look at the coverage tiers that your company offers. You can take this information and use it to compare to other companies that offer insurance services in your area. Doing this will help you decide quickly if you should stick with your current company or move to a new one with better rates.
Nsure Can Help You Compare Insurance Policies
If you’re ready to start comparing insurance companies and you want to do so in one centralized location, Nsure can help. All you have to do is input your information, and Nsure will pull quotes from over 50 top-rated insurance companies for you to compare. Take a look at different options, and see which one is going to help you make this year the best it can be.
