Given the impact the COVID-19 crisis has had on people in the United States and around the world, many are looking for ways to save money wherever they can. With over 22 million jobless claims as a result of the crisis and more on temporary layoff from work, the impact of the crisis is wide reaching.
From an insurance perspective, many insurance providers are offering some insurance relief during these challenging times. When it comes to auto insurance, carriers are distributing refunds on premiums for the simple fact that people are driving much less than normal. In addition, many are offering extensions on grace periods and other special payment plan options.
Each provider is different, and the support being offered varies. While any support can help, the reality is that there are additional strategies for home and auto policy holders to save. While there is no guarantee you’ll be able to find savings, here are some strategies that are at least worth looking into further.
Bundle Multiple Policies
One of the most common benefits for any insurance policy is bundling multiple coverages into one policy. Bringing all of your insurance needs under one roof will certainly lower your overall insurance costs. Again, each provider is different and the amount you can save by bundling will vary.
Shop for Better Rates
Another common strategy for lowering your insurance costs is to shop additional providers to see if there are other carriers that offer better rates without sacrificing coverage. Getting quotes from other providers is free and is a great idea just to see if you could save on your insurance. Remember, a lower rate isn’t necessarily the best thing for you. Keep in mind your specific situation and make sure you are getting quotes on the coverages you need.
Take Advantage of Discounts
It is critical to make sure that your insurance policies are taking advantage of all the potential discounts available to you. Everything from setting up automatic payments to recent appliance updates to your home, each insurance company offers a variety of discounts. The important thing here is to ask your agent about them. If your agent isn’t aware of any changes to your situation, you might be missing out on potential savings.
Auto Insurance Saving Tips
- While right now you might be driving less, when you do drive, be safe! Tickets and accidents are going to drastically impact your auto insurance rates.
- In addition to that, make sure you’re coverage matches your needs. What we mean by that is, if you’re driving a clunker, it might be time to drop certain aspects of your coverage for that vehicle. This isn’t always the case, but it is worth looking at and discussing with your agent.
- Additionally, the car that you drive will have an impact on your rate. The more expensive the car, typically the more expensive it is to insure.
- Other factors that can impact your auto insurance include your deductible, your credit score, and the amount you drive. Talk to your agent to discuss your situation.
Home Insurance Saving Tips
- Insurance companies look at many things when determining your home insurance rate. Ultimately, they examine your home’s potential for things like weather damage and storms, fires and burglary. This will partly be a function of where you live, however, by improving plumbing, electrical and other systems you can make your house safer in the eyes of insurance companies.
- Some structural improvements to your home can also improve your rate. Storm shutters, roofing and door and window locks can help lower your rate as well.
- Depending on the insurance company, there are other incentives that you might be able to take advantage of. For instance, new home buyers, non-smokers, and those who set up automatic payments might be able to save.
- Also, if you’ve recently sold some antiques or collectibles, you might want to cancel scheduled property endorsements for these items.
- Finally, like auto, increasing your deductible and improving your credit score will also help you take advantage of the lowest possible rate for you.
Ultimately, the important takeaway here is to make sure that you have the right coverage for your needs, at the lowest cost possible. This will take some effort on your end, but given these challenging times, it is worth it. We recommend doing the following:
- Get familiar with your current policies
- Analyze what you have compared to what you absolutely need.
- Speak with your existing agent about cost-saving opportunities.
- Get quotes from other providers using your existing policy as a guide.
- If you switch insurance providers, make sure to work with a proactive agent that will keep you informed of potential savings.
- Once you’ve selected the insurance company you’ll work with, keep your insurance agent aware of your evolving needs.
Good luck and feel free to contact us if you have any questions.