How to reduce your overall insurance costs on
Make sure you have both your Auto & Homeowners Policies are with one company. Most companies will give you “Multi-Line Discounts”. You could see reductions of 5% on your Auto premiums and up to 15% on your Homeowners policy. If the homeowners are non-smokers, they could qualify for another 5% reduction in premiums.
Increase your Deductibles The typical deductible on both your Auto & Homeowners policies is $500. What is the point of reporting a claim of say, $1000 in which case the company would pay only $500 and then take away your “Claims Free” discount which could have been up to 15% of your total homeowners premium. With most companies, you must be claims free for 3 years before they offer the discount.
If you have a credit line and have it Life Insured, your beneficiaries could be in for a shock should you die. Most of the lending institutions use an averaging formula to calculate the death benefit. If in a particular month if you have increased your loan and then die, the full amount of your credit line may not be covered. The cost of a renewable term policy with your Life Insurance provider will cost less and provide you with superior coverage.
Again, should you have your Mortgage Insurance with your lending institution, you are probably paying too much. Most Banks or Trust Companies use a “group” life insurance policy. The premiums are usually blended for smokers and non-smokers. Non-smokers are subsidizing the smokers. They rarely offer discounts for women and healthy lifestyles.
In addition, most of these plans are underwritten after the insured has died. Should there be a health problem (even minor) that was not disclosed on the application, the company has the right to deny the claim.
Life Insurance companies can provide lower premiums for non-smokers, women and healthy lifestyles. It is not unusual to see a 50% reduction in premiums compared to the banks. Unlike the banks, your life insurance provider underwrites at time of application and rarely contests a claim.
Next time you travel, do not simply accept the plan that your Travel company tries to sell you. Particularly, when you purchase both Health and Cancellation / Interruption coverage. Several reputable companies can provide superior coverage for less premium.
Unlike most other insurance products, the premiums on Life Insurance continue to fall. In 1996 a 45-year-old male, non-smoker, paid $595 annually for $250,000 Ten year renewable and convertible term insurance. The cost today would be approximately $380. If you have a renewable term plan with any company and you are approaching the next renewal anniversary, it will definitely be in your best interest to compare the rates. Click here to go to our instant LIFE QUOTE.
© Copyright 2001 Clarke-Slighte Insurance Brokers Ltd. All rights reserved.