Secrets to Saving Money on Insurance

I look away from the road for a few seconds to see what was being built along the highway. Was it going to be a new shopping center or maybe a restaurant? 

Crunch. Smash. Bang.

Suddenly my eyes were focused fully in front of me and specifically on the truck of the vehicle I had just rear ended!

Ugh!! It was my first accident and thankfully it was only minor damage to both cars.

Then began the dealing with insurance part. 

Insurance is just one of those bills you pay each month, grudgingly sometimes, but when you need it you are very, very grateful. 

But the truth is you can be paying for excessive coverage without realizing it. 

Several years after the bumper bash incident I was looking into our car insurance policy and made a few calls.

Which resulted in a savings of $600!! 

1.Know the requirements. Each state in our union requires different standards for insurance. Take Virginia for example. You can legally drive without insurance if you pay a $500 fee to the state! Crazy, right! The state also has the minimum amount of coverage you need listed on their website. Knowing this allows you to decide wisely, how much coverage you need for your situation. When we first moved here I just told my insurance company we were moving and gave them my address to update the policy. Turns out VA requirements are lower than were we lived before and I was paying more than I needed. 

2.Deductible Most companies default to $250 deductible. By raising this amount to $500 or $1000 you can save on your premiums. Sometimes by quite a significant amount. { My word to the wise is just make sure that your emergency fund/savings account has more than enough to cover the higher deductible. Otherwise you could create another crisis for yourself in the event of an accident.}

3. Window Coverage if you were to have a window broken and needed to have it replaced what would it cost? One phone call will give you the answer. Just call an auto glass replacement company and ask them about your make and model. On one of our cars it was about $120. But on a different vehicle it was $400. Quite a difference! Now find out how much you are paying for auto glass replacement through your insurance. Also figure out what that would be over 3, 5 or 10 years. Ecentually As long as you plan on keeping that vehicle.It might be worth it, it might not be worth keeping that on your policy. In the 20+ years I have been driving I’ve only replaced 3 windows.

4. Update every two years I go through my policy with my insurance company and check to see if things are correct and if they need to be updated. Then I take that exact same coverage information and compare my coverage with three other companies. { If you do an online comparison site be ready to have your email box jammed full and your phone ringing off the hook. I just choose three and deal with them personally. } If another company can do better see if your company will match the price. If not , then switch. It might save you hundreds of dollars!! 

After adjusting our amounts and coverage I was able to save us $600 and still have good coverage. I didn’t go with the bare minimum but I didn’t need the “Gold Coverage ” as my insurance called it. 

I hope these practical tips help you save money today!

Would you help me out? 

If you have found these tips to be helpful please share them, I’m a new blog and I want to get this info out to help others be Savvy Savers too. In one click, you can use the social tab on the left to share and I would be very, very grateful!

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