Here are some Easy Ways to Cut Insurance Costs. Insurance of any kind – car, home, health – is just one of those things that most of us would rather not have to spend our hard earned cash on but we really don’t have a choice, especially as in some cases it’s even legally mandated. Just because something is a mandatory, does not mean you shouldn’t make an effort to try and save some money.
Saving on insurance does not have to even be that hard. All you really need is a little extra time and a willingness to do some research while maybe also making a few changes in certain areas. These efforts really do pay off, as a conscious effort to reduce your insurance costs may net you, on average, about 20 percent in overall savings. And who wouldn’t like that?
Not sure just how, or where, to start looking for insurance savings? Here are some great tips and tricks to get you started.
Easy Ways to Cut Insurance Costs
No.1 Save on Car Insurance
Most of us actually shop for car insurance backwards. We buy the car and then think about how much it’s going to insure. Ideally it should work the other way around. If you have certain makes and models in mind before you go car shopping take some time to get basic quotes for all of them. This way you’ll know in advance how much of your budget is going to have to go to insurance costs, allowing you to get a better idea of just ‘how much car’ you can really afford.
You can save on insurance for any car though, even if you’ve had it for years, by making a few small changes to both the car and your own driving. Security, for example, is a big deal for insurers, so upgrading the alarm systems or changing where you park can net you bigger savings than you might imagine. And if you can prove you are a safer driver than others you’ll be rewarded as well. Yes, it might be pretty boring to give up a day to take a defensive driving course but any insurance company will reward that little completion certificate with a rate reduction that can be more significant than you expected.
Easy Ways to Cut Insurance Costs
No.2 Save on Home Insurance
Most of us don’t give too much thought to the home insurance policies we carry. They have to be purchased and usually we accept that it’s not going to be cheap and (grudgingly) pay up every month. But there are lots of savings to be had, if you take the time to look for them. Upgrading your home security, for example, can result in a 5 to 10% savings and if you bundle your car and home insurance together you can often save even more.
Easy Ways to Cut Insurance Costs
No.3 Save on Health Insurance
Most South Africans get their health coverage via a medical aid plan. And many of them miss out on savings every year because they don’t realise that every New Year gives them a chance to shop for a new plan and make a switch without penalty. So even if you are reasonably pleased with the coverage you have it won’t hurt to review it every year to both potentially save money and get ‘more bang for your buck’ in terms of coverage at the same time.
On a final note, it’s worth mentioning that shopping around is a way to potentially save on any kind of insurance. Don’t have the time to do all the research and legwork yourself? Work with an independent insurance broker. It’s their job to find the lowest rates possible, they have no company loyalties to colour their decision and it’s the insurance companies who pay their commissions, so you really have nothing to lose! Just fill in the form and one of Our Professional Consultants will call you back
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