9 Easy Ways to Prevent Yourself from Becoming “Insurance Poor”
9 Easy Ways to Prevent Yourself from Becoming “Insurance Poor”
It tends to be an older expression that is as pertinent today as it was decades ago. One has to be cautious about becoming “insurance poor.” It simply means to have so much insurance that you can’t afford other things in life you want and deserve. How can you get the coverage you need without becoming insurance poor? Here are nine ways to prevent the condition.
1. Bundle your Policies.
Insurance companies often offer discounts if you carry more than one policy with them. Getting multiple policies from one provider can help you from becoming insurance poor.
2. Increase Your Deductibles.
Increasing your deductibles give you a larger share of the risk, but it is better than doing without coverage. If you feel some of your insurance premiums are getting too high, ask about the impact higher deductibles will have on lowering them
3. Buy what You Need.
Having rental car coverage might be nice on your auto insurance but it may not be as valuable as uninsured motorist coverage. Talk with your agent about getting more of what you need and less of what you don’t.
4. Compare.
Not all insurance providers provide the best rates on all loss prevention products. Compare before you buy and recheck pricing at every renewal date.
5. Drop Comprehensive and Collision Coverage on an Older Car
If you have an older car, you may be paying more for comprehensive and collision coverage than it may be worth. Check the replacement value of your car to make sure maintaining comprehensive and collision coverage is worth it.
6. Check Your Homeowners’ Insurance.
If your homeowners’ insurance premium is included in your mortgage payment it can be easy to even forget what you are paying for it or if you have sufficient coverage. Make sure you have it reviewed occasionally.
7. Pay Premiums Through Auto-Pay.
Setting up insurance payments through auto-pay can save you significantly over the course of a year. This can be a step to prevent you from becoming insurance poor.
8. Minimize Overlapping Coverage.
In some cases, coverage may overlap between policies, providing unnecessary double-protection in some areas.
9. Schedule a Complete Insurance Review.
It can be invaluable to have a complete insurance review with a trusted independent insurance agency so you know what you have and you have what you need.
We would be happy to help you sort through your policies to help you from becoming insurance poor. Contact us to schedule a no-obligation review of your policies.
Do you have questions about your insurance? Find an insurance agent near you with our Agent Finder
Search All Blogs
Read More Insurance Blogs
Why Life Insurance for a Child (or Grandchild) Is a Good Idea
Why is the purchase of a life insurance policy on a child a good decision? There are multiple reasons, including helping to ensure their financial future. Learn more in our blog.
Pet Peeves: Dogs and Liability Insurance
Are you covered from a liability claim should your dog bite a friend, neighbor, relative or stranger? Most renters’ and homeowners’ policies offer some protection, but is it enough? Find out more.
6 Reasons to Choose an Independent Insurance Agency
Once you understand the difference between a “captive” insurance agency and an independent one, you begin to understand the value of independence.
Your Smartphone and Insurance
Your smartphone can be an important tool to document what happened in an automobile accident and to document your personal belongings in a homeowners’ insurance claim.
What Would You Pay for a Genie in a Bottle?
What if it was possible for you to buy a Genie in a bottle? Would you be interested and what would it be worth? Read how we can potentially make this possible for you and your family.
Is Buying Insurance Gambling?
Is buying insurance gambling? While there are some similarities, one could argue that NOT having insurance is more of a gamble that not having insurance.
Water isn’t always just water. Sometimes it’s a Flood. There’s a Difference!
What is and isn’t covered under flooding insurance? Is flooding even covered under your insurance policy? Get the answers to your questions about water, flooding and your home.
Employee Practice Coverage
What is Employee Practice Coverage
9 Easy Ways to Prevent Yourself from Becoming “Insurance Poor”
What is “insurance poor” and how can you prevent yourself from getting there? Here are nine quick suggestions to help you stay in control of insurance costs.
Pitch: Insurance? Nah…My Landlord’s Got Me Covered.
Renting can be a smart move financially, but not if you are putting your personal possessions at risk. Learn how affordable renter’s insurance can protect your stuff and cover you from a liability claim.