At different stages of your life you’re going to need different insurance protection. That’s why an annual insurance review is essential. Checking on your insurance annually may not seem like a priority, but it could yield some big savings. That’s particularly true if you have too much coverage or if you have policies with multiple companies that could be bundled for a reduced rate. If you are underinsured, it could cost you if the unthinkable should happen. Here’s a look at five reasons to contact your agent for an insurance review.
Take Advantage of Rate Changes
One of the most important reasons why you want to check-up on your insurance is the potential for savings. Rates can change more often than you think, due to a variety of reasons. Shopping around is the only way you will know if lower rates are available.
Your Circumstances Have Changed
You may have signed up for your policy when your credit score had taken a hit, but now you’re in a better financial position. Or it may be that you had points on your driver’s license that have now fallen off. The timing of your insurance purchase can have a significant impact on your rates and is another reason that you may want to shop around fairly often.
Your Insured Items Got an Upgrade
Whether you own a home, car or fine jewelry, what you pay for insurance will be based on the perceived risk. The more that risk is mitigated, the less you will pay in insurance. If you just bought a security system for your home or bought a car with security features, is will lower your risk and thus your premiums. If you don’t shop around or at the very least let your insurance company know about your upgrades, you won’t be able to save.
Whether it’s on purpose or by mistake, often people end up with too much insurance coverage. Insurance is supposed to give you peace of mind, but that doesn’t mean that you have to overpay for it. Checking up on your insurance yearly will ensure that you have the proper coverage and that you’re paying the best rate.
You’re Missing Out On Discounts
Insurance companies are in a competitive industry; they want to keep your business and they will go to great lengths to attract and retain you as a customer. Translation: Discounts, discounts, discounts. There are a number of discounts for your age, risk, how many products you have with the company, whether you are a member of a particular groups and so on. If you don’t shop around, you could be leaving money on the table in discounts and deals.