More Ways to Save on Auto, Home and Health Insurance
December 17, 2008 – 12:23 amWelcome back!
Despite the fact that auto, home and health insurance rates are on the rise, there are always ways to save money on these necessities with a little ingenuity. In our free enterprise economic system, you can always find a better deal on anything by comparison shopping. The trick is to know, down to the last detail, the insurance coverage you are comparing.
Auto Insurance
Your agent will determine your auto insurance rates by assessing your risk and comparing it in an insurance tier system which considers your age, gender, profession, type of automobile, credit rating, driving record, and other factors. Now, some of these factors, like age and gender are not subject to manipulation, while some of the others are.
Credit scores are used by insurers to predict how responsible a person you are. If you have a habit of being late on your credit card payments, insurers can raise your rates. Improve your credit report by repairing any errors and stay on time paying your bills. Everyone knows blemishes on your driving record can cause your insurance rates to go up, but you can also do something about that. Aside from criminal offenses, minor traffic violations can be erased by completing a Driver Education Course.
By raising your deductible, you can also lower your rate. By installing theft deterrents like the LoJack Theft Recovery System, some insurers will discount your rates by up to 35%. Buying a previously owned vehicle instead of a new car is another big money saver.
Home Insurance
Homeowners are acutely aware of the importance of keeping within a budget and saving here and there. Start off with the no-brainers first, like comparison shopping and improving your credit score. Raising your deductible by $500 can save you 12% on your premiums. Bundle your home and car insurance for a discount. Install dead bolt locks, smoke detectors, and burglar alarms. Make payments electronically to save a $5 per payment handling fee. Check your home insurance policy yearly to change your coverage if you add or remove valuable assets from your home.
Health Insurance
Those of us with an active health insurance policy, either from our employers, or purchased outright, can save money on health insurance rates by raising the deductible and also asking for generic rather than brand name prescriptions. During the open enrollment period which occurs once a year, insurers allow members to make changes to their coverage. This is the only time you can remove a dependent who is no longer using your policy or remove other coverage that can save you on your premium
As more employers are cutting back on benefits they offer new hires, group health insurance is no longer something that can be counted on. If you do not receive health insurance benefits, one way to obtain cheap health insurance is through membership in an association or club which has procured health insurance at a reduced rate for its members. AARP (American Association of Retired Persons) offers health insurance discounts for its members. If you are a member of a trade association, such as National Association for the Self-Employed you can sign up for coverage through them.
Saving money on auto, home, and health insurance takes time and effort, but when it’s your money, it is time and effort well spent.
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6 Responses to “More Ways to Save on Auto, Home and Health Insurance”
Thank you for your post. It is advantage for me.
By
Alex (Who am I?) on Dec 17, 2008
Good tips to try to lower costs. I didn’t realize you could try to manipulate things to get better auto insurance. Seems like tips everyone can use.
By
Craig (Who am I?) on Dec 17, 2008
Agreed. It is easy to renew insurances, but you can save some serious money by shopping around to get better rates.
By
Andy (Who am I?) on Dec 18, 2008