Life changes, such as buying a new home, a new car, having a baby or sending your last child off to college can all be exciting moments, but they also allow time for reflection.
One of these reflections can be focused on re-evaluating your insurance needs. Itâ€™s important to consider these life events and ensure you still have the best Home and Auto Insurance policy for you and your family.
Why You Need an Insurance Checkup
Oftentimes, changes in our lives translate into new needs when it comes to insurance coverage. Insurance policies need to change along with you. By conducting an insurance checkup, you can make sure that youâ€™re not left exposed by being underinsured. And you can also make sure you arenâ€™t paying too much.
Even if you havenâ€™t experienced a recent life change, itâ€™s a good habit to review your insurance policy each year â€” at a minimum. And Itâ€™s not uncommon for companies to increase, or decrease, insurance rates annually. This applies even when the policyholder hasnâ€™t filed a claim or had any changes to their driving record. In any case, shopping around and comparing different home and car insurance quotes could pay off in the long run.
Of course, it takes a little consideration. It may not be a lot of fun, but it could save you money. When it comes time to review your insurance policies, keep these items in mind.
Home and Auto Insurance: Your Deductible
Your deductible is one thing that can make a big difference when it comes to the price of your insurance policy. Remember, this is the amount that you have to pay out-of-pocket in the case that you need to file a claim.
Lower deductibles generally lead to higher premiums*, and vice versa. When you evaluate your insurance policies, take a look at your deductibles. Are you in a position where you could be comfortable paying a higher amount out-of-pocket than you were when you first purchased the policy? If so, a higher deductible could be a good way to save money on your annual insurance costs.
Home Insurance: Policy Exclusions
Nobody ever wants to submit a home insurance claim and find out that their claim has been denied. However, youâ€™ll probably never find an insurance policy that accounts for every single possible source of damage or loss. These situations â€” in which a home insurance policy will not pay out in case of damage â€” are called exclusions.
Itâ€™s important to be familiar with the exclusions in your policy, so make sure you review them. If you previously chose a lower level of coverage due to cost, it may be time to re-evaluate. And it might be a good idea to shop around. Consider getting multiple homeowners insurance quotes to make sure youâ€™re receiving the coverage you need for a price in your budget.
Home Insurance: Personal Property Coverage
If you bought your home many years ago, itâ€™s possible that the value of your house has changed. And not just the value of your home itself, but also the contents inside. Whether itâ€™s art, collectibles, furniture, or the gaming console of your dreams, you want to make sure your valuables are protected.
Many homeowners insurance policies cover a certain level of personal property loss or damage. Youâ€™ll want to make sure itâ€™s consistently updated. Itâ€™s also good practice to keep an inventory list of your valuables to help you understand how much coverage you need and make sure theyâ€™re included in covered losses. It may even help you file a claim in the future.
Auto Insurance: Sufficient Coverage Level
You might know that the minimum amount of car insurance coverage varies by state. However, your state isnâ€™t the only thing that makes a difference when it comes to auto insurance. Even your zip code plays an important role in determining your insurance rates.
So, if youâ€™ve moved â€” across state lines, or even across town â€” youâ€™ll want to make sure that your insurance policy is providing you the right type of coverage. Review your policy and take a look at insurance coverage requirements by state. And consider shopping around to get a variety of auto insurance quotes.
Auto Insurance: Insured Drivers and Cars
Do you have a new teenage driver this year? Many car insurance companies offer multi-policy discounts, so having multiple drivers in your family on the same policy could save you money. Additionally, some companies offer discounts to policyholders just for being married**.
Not only should you review the drivers who are covered under your policy, but review the cars as well. If your car would no longer be worth the cost of repairing it, you might consider dropping collision damage coverage to save a bit of money. Re-evaluating your car insurance needs with each car and driver changes will ensure your policy is current.
Choose SelectQuote to Explore Coverage Options
No matter your personal situation, SelectQuote Auto & Home can help you evaluate multiple insurance providers to find the best option for you. Our licensed sales agents shop trusted companies we represent to ensure youâ€™re getting a policy that meets all your needs.