Save Money on Insurance

Insurance is a necessary household expense.  We must protect ourselves and our family against unfortunate events.  It can be expensive to do this.  I hope that the following suggestions help you prepare for the unexpected.

Life insurance protects those who depend on your paycheck.  It is
devastating enough when a loved one dies, but to be left without resources to support oneself and dependents has repercussions for years to come.  If you depend on your earnings to pay the bills, it is essential to carry disability insurance as well.  Disability insurance is protection for your future income in case you are unable to work due to an illness or accident.
Because it is more common for a claim to be made for disability than death, the premiums are higher.  Once you have enough coverage for life and disability insurance, don't be intimidated into purchasing:

1. mortgage life insurance
2. insurance on outstanding credit card balances
3. flight insurance.
These policies are not competitively-priced.

If you work for a company, or the government, that offer group insurance than you're lucky to have the greatest savings for your insurance needs.

Are you a member of an organization, such as American Association of Retired Persons (AARP) or Canadian Association of Retired Persons (CARP)?  You can get insurance coverage from them and the premiums are usually lower.

Check to see if any insurance benefits are  included with your credit card before travelling.  Auto, medical, accidental death or trip cancellation insurance for your vacation might  be covered if you use that credit card to pay for your trip.

Do an annual insurance review.  Have your circumstances changed during the past year?  Review your policies to determine if they are meeting your present needs.

Pay annual premiums.  Paying annually can give you a discount over monthly or quarterly payments.

Do your research.  Get all the facts about insurance on the internet.  Visit insurance company websites for comprehensive information.  Educate yourself to avoid losing money from shady practices. Contact the Better Business Bureau to ask if there are any complaints on an insurance company.

Comparison shop on the internet.  Free online quotes are available at many insurance-related websites.

If you purchase multiple insurance policies from the same insurance company, you could get a better deal.

D'ont smoke.  Smokers pay a much higher premium than non-smokers.

Take care of your health.  Insurance companies consider various health factors when calculating the amount of life insurance premiums.  High blood pressure and obesity are unhealthy conditions which affects the cost of your insurance premiums.

Avoid risky behavior.  Participating in high-risk sports such as auto
racing, sky diving and mountain climbing will raise your premium
significantly.

D'ont buy a flashy car.  Auto insurance for red cars and sports models are more costly.  Also, the more expensive the car, the higher the premium will be.

Keep your driver's record clean.  People who have been automobile
accident-free and have not had any moving violation tickets are eligible for a discount.

Let the insurance company know the approximate mileage you'll be doing for the year.  If the mileage is low, it can result in a lower premium.

Inform the insurance company of safety features in your car or home to reduce the cost of automobile or homeowner's insurance.  You will get a discount if you have an alarm in your car or home, air bags in your car or a smoke detector at home.

Raise the deductible on your automobile insurance.  If the deductible is $250, find out what the savings would be to raise it to $500 or more.

Drop collision and comprehensive insurance coverage for your car.  Are you driving an older car that you own free and clear?  Check the car's book value.  This is a dollar amount that the insurance company pays out when there is a total loss of your car. It might not be worth the price of the premium, if the car is worth very little.  However, never cancel liability coverage.

Inquire about renewal discounts.  This discount is offered to people who have been with the same insurance company for a lengthy period of time and have not made any claims.