I tend to consider myself a safe driver. I’ve had one small accident 15 years ago, never had a close call since (knock on wood), and have been able to avoid speeding tickets or other things that insurance companies hate. That being said, I still think my premium is high and I was wondering about ways to take it down.
Option #1 – Shop Around
This is certainly the best option and one that we should all be doing once in a while. It can be done through an insurance broker, by shopping on the internet or even just by asking your insurance company if they can improve their offering a bit to keep you happy.
Option #2-Modify Coverage
In some circumstances this can certainly make sense. We do tend to take a certain coverage to start off and then not adjust it over time so it’s certainly possible that you are paying for more than what you really need. I don’t think this would result in significant savings for most of us though.
Option #3-Increase Deductibles
This is one option that I’ve used. For example, I mainly buy car insurance to protect myself against major accidents. Would I care if I had a windshield issue or a scratch? Yes of course.. but I probably would not make a claim on smaller amounts anyway. So I called up my insurance company and asked what kind of difference it would make to take my deductible from $500 to $1000. It wasn’t major but it did make enough of a difference for me to change.
It Depends On The Insurance Type
For health insurance or house insurance, it might not be worth it but I think it’s almost always worth asking about. Many clients would not hesitate to make $600 claim but if you generally don’t do smaller ones