Life insurance. It's not something anyone really wants to think about, because no one wants to consider the possibility of dying earlier then expected. Having said this, Life Insurance is one of the more important insurance types anyone can buy. Be aware that there are a lot of companies out there that will rip you off on policy terms. Because of this I have created a short, but important list of things you can do to save money on your Life insurance policy:
#1 Look for "No Load" Policies
Although they are rare, "No-load" policies are a smart move. This means that you are not paying any of your monthly premium for expenses to the agents, thus more money will go immediately to work for you. The best way to get a No-Load policy is to seek out financial advisers which charge a flat one time fee.
#2 Improve Your Health
There is no questioning why a Life Insurer would charge a lower rate to someone who is healthy. Concentrate on quitting smoking, losing weight, and decreasing your blood pressure and cholesterol levels. Note that you usually have to stop smoking several years prior to getting a policy in order to get the "non-smokers" rate.
#3 Pay Entire Insurance Bill Yearly.
Do not opt for the monthly payments. This will only increase your rate and interest payments. If you pay the policy free and clear at the start of each billing year, you will walk away with much more cash at the end of the year.
#4 If You Are Healthy, Do Not Buy A Guaranteed Issue Policy
Guaranteed issue policies are policies which require no medical exam, and are guaranteed to you. The problem is, that if you are healthy, you want the insurer to know. Guaranteed issue policies are riskier to the insurer, thus they cost more for you.
Remember as with every financial decision, do your research, online and offline to make the best decision possible for you.
Showing posts with label homeowners insurance. Show all posts
Showing posts with label homeowners insurance. Show all posts
Wednesday, July 8, 2009
Wednesday, July 1, 2009
Save Money on Homeowners Insurance
As you know I have a series of blog posts related to saving money in various industries. Today I will look at a few ways to save money on your Homeowners insurance policy. If you own a home, than Homeowners insurance is a must, however, it can often drive someone crazy trying to figure out what types of coverage they need and want. Below are 4 tips to save some money on your Homeowners insurance policy:
#1 Shop Around
There are so many different insurance companies out there, and so many different types of insurance available. Do your homework before simply signing on to a policy. Check out the National Association of Insurance Commissioners website at: naic.org to get a list of insurers in your area as well as complaints and praises about each.
#2 If Possible, Buy Your House and Automobile Insurance From the Same Company
Today, more and more insurance companies offer all types of insurance, from flood, to homeowners, to auto, to life. If you can buy a couple policies from one company, you will likely save anywhere from 5-10% off your premium. Like I said though, make sure you do your homework first.
#3 Raise Your Deductible
Homeowners insurance should be in place in case of a disaster. If you are paying an insurance company to cover the minor problems you may face with home damage, you are likely losing money. Remember, an Insurance company is making a profit. This means they are charging you more than the average person needs to spend to fix their damaged home. By raising your deductible, you will save a ton of money on your premiums, and still be covered for those major problems you may face with damage to your home. Raising your deductible from $500 to $1000, can save as much as 25% on your premiums.
#4 Stay with the same Insurer.
Unless you find an amazing deal with another company, it is usually best to stay with the same company. Not only are you familiar with the policy terms, but many insurers will decrease your rates by 5-10% after 3-5 years with them.
#1 Shop Around
There are so many different insurance companies out there, and so many different types of insurance available. Do your homework before simply signing on to a policy. Check out the National Association of Insurance Commissioners website at: naic.org to get a list of insurers in your area as well as complaints and praises about each.
#2 If Possible, Buy Your House and Automobile Insurance From the Same Company
Today, more and more insurance companies offer all types of insurance, from flood, to homeowners, to auto, to life. If you can buy a couple policies from one company, you will likely save anywhere from 5-10% off your premium. Like I said though, make sure you do your homework first.
#3 Raise Your Deductible
Homeowners insurance should be in place in case of a disaster. If you are paying an insurance company to cover the minor problems you may face with home damage, you are likely losing money. Remember, an Insurance company is making a profit. This means they are charging you more than the average person needs to spend to fix their damaged home. By raising your deductible, you will save a ton of money on your premiums, and still be covered for those major problems you may face with damage to your home. Raising your deductible from $500 to $1000, can save as much as 25% on your premiums.
#4 Stay with the same Insurer.
Unless you find an amazing deal with another company, it is usually best to stay with the same company. Not only are you familiar with the policy terms, but many insurers will decrease your rates by 5-10% after 3-5 years with them.
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