Year-end is a great time to review and plan for the future. One of the best ways to do this is through an insurance review. You may wonder why you should bother when you can just renew.
Here are a few insurance policies that deserve an annual review and why.
Homeowners, Condo, or Renters Insurance
If you own your home or condo, the value has probably increased over the years. If you automatically renew your policy, you may be missing out.
For instance, you may have bought your condo for $200k and now’s it’s worth $250k. That creates an insurance gap of $50k and if you experienced a total loss your insurance probably wouldn’t cover the costs necessary to rebuild.
Whether you own or rent, most of us underestimate what we own. We buy new things or upgrade, yet expect insurance to magically cover us for losses. Your insurance agent will probably ask you for an updated home inventory to tailor your policy to cover the items you own.
Some items such as antiques, musical instruments, artwork, jewelry, sports equipment, or high-end audio or computer equipment may require coverage beyond what a standard policy provides. If you automatically renew, you won’t have appropriate coverage.
Reviewing your insurance with an independent insurance agency like outs can also reveal information that reduces insurer risk and lowers insurance premiums. For instance, safety measures such as installing a security or sprinkler system or a hail or wind-resistant roof may save you money.
Equally, a move, life change, or bundling policies could present additional savings. Your agent could also reveal unknown policy benefits you’re already paying for, but never use. Of course, you won’t enjoy any of these if you automatically renew.
Life insurance needs change too. You may owe more or less on mortgages and loans, need more or less income to live comfortably, or your family may have changed size. The question is whether it makes sense to stick with the same coverage if it doesn’t suit your life.
Of course, your health has a direct bearing on your coverage too. Perhaps you have fewer ailments or quit smoking which could qualify you for a better rate. Conversely, you may have developed serious health issues preventing you from buying a new policy.
Your agent can explore whether an existing term life policy can be converted to permanent coverage without health-related questions, tests, or exams. Automatically renewing life insurance doesn’t guarantee proper protection and health insurance is something you definitely want to know you can rely on when you need it the most.
Have you married or driven without an accident for many years? This could lead to lower insurance premiums and not all insurers treat these events equally. Your agent will look for a policy that serves you well and offers the best premiums.
If you’re a parent and want to add a teen to your policy, an insurance review is a must. They can help you find ways to save and have access to far more products than you could ever find on your own.
Other changes that could impact your auto insurance premiums include driving fewer miles or driving for pleasure rather than work. If you can now access a secure parking area, you may also pay less, but your agent will only find these discounts if they review your auto insurance policy.
Reviews Help Serve You Better
An annual insurance review helps your insurance agent keep information current to serve you better. Remember, we work for you, not the insurance companies.
We can explore insurance options, suggest the best coverages, and explain everything to you in simple language. By using one agent for all your insurance needs you simplify the process, tap into savings, and have a single point of contact should you have questions, need to change your coverage, or want to file a claim.
Pick up the phone and schedule an annual insurance review today.