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What tips do you have for the best homeowners/ auto insurance tips besides increasing deductibles?
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All insurance companies work with one of the large re-insurers. In the past the various companies increased profits by investing in CDs, Savings programs, Bonds and low risk investment instruments. With interest rates hovering around 1% that income stream became a trickle. The accident rate and weather related damage has increased payout but all their expenses are increasing and their stock holders expect profit. The AIG debacle didn't help either.
One possibility is to use an independent insurance agent who shops your specific details to all the re-insurers to see who gives the best rates for the coverage you want. A lot of cost depends on details like age, driving record, vehicle type & value, who all drives the vehicle, mileage per year, accidents/payouts in your specific community and credit score multiplied by the liability & comprehensive sums etc. Compare that with what the brand name companies offer. The agent/salesmen get commission from your annual rate, cost, renewal. -
As snafu stated, shop around. I'm almost ashamed to admit it in this crowd ("What were you thinking?!?"), but I have consistently been with the same auto insurer for the last 8 years or so, and never even considered looking around at other insurers. Honestly, I've been so happy with their customer service in the past that I really didn't care to go anywhere else.
When I returned to the states about 6 months ago from 2 years overseas, I went back to my same old insurer, and while the car insurance bill felt high, I didn't think much about it at the time. Finally, last week I actually took the time to get some quotes from a different, well-rated/recommended company. Turns out for identical coverage, the second company quoted me a policy for less than half the cost of my current insurer. It took me a few days to finally decide to make the switch, but having done so, I'm effectively saving myself about $650/yr, which isn't earth-shattering, but still enough to DEFINITELY make a difference. While I was at it, I also checked around for my home insurance policy (which is also held by that "same old insurer"). Turns out the "old guys" are still very competitive for my home insurance, so I decided to keep that policy as it is.
So shop around. Auto, home, renter, and other insurance policies can all be quoted online from a wide variety of companies. Take an hour or two and look around at your options, and see what money you can save. Two recommendations for doing this comparison, however:
1) Make sure you are comparing apples to apples. Write up a list of your current coverages and the coverage amounts, and for every quote you get, use the same figures. That way you get an accurate look at which insurer will actually be best for you.
2) Establish (or use, if you already have one) a second "throw-away" email account that you don't use or normally monitor while you're shopping around for your rate quotes. Especially for online quotes, the companies will add you to their advertising list, so you probably don't want to continually get advertisement emails from a dozen different insurance companies delivered to your personal email account every day.Comment
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Shop around every few years.
Don't use your insurance if you don't need to.
Drive safely and avoid tickets.
Raise your deductables.BrianComment
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I personally suggest to go for local insurance companies and agents. They can prove to be the best ones to understand your best needs and cannot do fraud, because for them market is small and a bad reputation will blow them off.Comment
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Shop online and you can save a lot.Comment
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