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Do These 14 Things To Save Money On Insurance!

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Hello all!  Property insurance is a required monthly expense for people with cars, motorcycles, homes, businesses, boats, and even apartments among many other things.  Unfortunately, there is no way around it!  No matter what, you should have insurance for items you own and their contents to protect their value and your investment!

How Do You Know When It Is Time To Check For New Rates?

I realized today that my insurance is coming up for renewal shortly and figured it has been a long time since I checked prices to make sure I’m getting the best rates!  It is recommended to price shop your insurance every six month to a year, after your birthday (so you receive a better price because of your age).  You also don’t have to wait (like me) until the end of the end of your policy.  Most insurance companies will issue the policy holder a refund for the unused portion of their policy if you decide to switch insurance companies.

I have located a company that makes shopping for insurance EASY!  TheZebra is an insurance comparison company that works with over 200 trusted providers and helps you locate the best price for insurance on your car, boat, home, R.V, renters or for any property you may need coverage.  This is a one stop shop that will show you the options, prices, and help you make the best decision about deciding on an insurance company that will meet your needs.  Best part is this company doesn’t contact you by phone.  Their website displays all pricing right on the screen and allows you to pick the provider that best fits you! Quick and EASY!

Check Out These 14 Suggestions When Shopping For Insurance!

• Bundle your policies with the same company– Most insurance companies offer discounts to policy holders that have multiple policies with their insurance company. (multiple cars, car and house, i.e.)
• Raising your deductible: Raising you deductible will offer a discount off the premium price.  Usually the agent can do this with no difficulty and give you pricing on the different deductibles allowing you to see if it is worth the cost savings.
• Credit: Credit can play a role in the amount of your insurance costs.  Customers with lower credit will have higher premiums.  Get your credit score here!  Credit worthiness is a factor for insurance pricing.  Need to raise your credit?  Read my post on raising your credit score!
• Accidents and tickets:  Accidents and tickets affect insurance rates for 3-5 years.  Changing insurance companies after this time period can save the policy holder a significant amount of money.
• Age: Insurance rates drop yearly from age 20 to 60.  It is important to check rates during the recommended time frame to see if they are dropping with your age through rate comparison.
• Moving: This is a great time to check coverage and policy premiums.  Where you live also has an effect on insurance rates.
• Rates and coverage: Make sure all coverage amounts are the same between the policies which you are comparing.  It’s hard to compare prices when you aren’t comparing the same coverage.  Make sure all coverage on the policy is necessary and at the correct replacement amount.
• Don’t let coverage lapse: Insurance companies look at individuals without insurance coverage or not switching coverage as “high risk”. If you let your coverage lapse then it usually takes 6 months of insurance coverage to unlock some addition discounts.
• Best time to shop for coverage: There is no best time to shop for car insurance to get the best rates.  The easier way is before renewal with your current company.  This is easier because you receive a declaration page for your current policy 30 to 45 days before the policy ending date.  This page makes it easy to know your current coverage.  Also, you won’t be out any additional money because canceling your current policy will have a wait to receive the refund from that policy.
• Life changes: Changes like birthday, address, marriage, and graduation are life changes that can have cost savings on insurance prices.
• New customers get better rates: New customers usually receive better rates to get them as a customer.
• Depreciation: If you buy a new vehicle, depreciation happens more rapidly compared to a used car.  Depreciation on a new car can be as much as 40% over the first year of ownership.  Research shows that vehicles older than 5 years will pay 20% less for insurance than customers with new cars.
• Payment: If you make payments monthly, most insurance companies will charge you a fee.  Making a payment every 6 months can eliminate the added fee.
• Small Companies: Small companies often offer better pricing than the larger companies because they have lower overhead.  Small companies can also be easier to work with.

Following this list of recommended ways of receiving the best price on insurance is sure to help you receive a cheaper price for the same coverage.  I do not recommend deciding on the cheapest company without doing your research on that company to make sure they are reliable and are sure to cover an incident fully.

Pay Per Mile Insurance

Do you drive less than 250 miles a week?  You may be interested in the new type of insurance which is pay per mile insurance.  This insurance only charges you when you drive your vehicle.  How does it know how many miles a drive you ask?  When you have this type of insurance, the insurance companies request that you place a small wireless device in the vehicles OBD II port.  This device only measures how many miles you drive and nothing else.

This insurance works by the customer paying a flat monthly rate plus a per mile rate.  The rate is figured out the same as other insurance companies.  They take into account credit history, type of vehicle, driver history, and length of prior insurance to come up with a rate for a driver.  All of this information and the pay per mile charge can create a more affordable rate than the standard insurance companies.

I hope this helped you get a better understanding of insurance and ways to get better premiums.  thezebra.com that will make it easy to get quotes from over 200 companies, compare the rates, and get ready to put the money you can save back in your pocket!  Thank you for reading my post and if you have any other information, please share it in the comments!  Like us on Facebook, Subscribe to my page to get updates, and as always Stay Frugal My Friends!