As a home and vehicle owner, insurance is a necessity. Without proper insurance, you can be left facing an astronomical repair bill if something unexpected were to happen, like a natural disaster or an auto accident. Don't let the cost of your premiums get you down – here are five ways to save yourself a little money on your home and auto insurance plans:
Raise Your Deductibles
A great way to keep your insurance premiums down is to select the highest deductible possible. A higher deductible means having to pay more out of pocket when filing a claim than if you were to select a low deductible, but the money you save on premiums can more than pay for a deductible that you end up facing once in awhile throughout the years. If you're willing to pay $1,000 dollars or more as a deductible, you can finagle significantly lower price points for your policies – sometimes up to 25 percent lower.
Combine Your Policies
Another effective money saving option to consider is combining your car and home insurance policies into one premium. Many insurance brokers who offer several types of insurance policies are able to provide small discounts for policy bundling, and those small discounts can really add up by the end of the year. You can sometimes even combine business liability and life insurance with home and car policies if you are working with a large enough company.
Another way to save a little money on your premiums is to combine the policies for all of the vehicles in your household that your family drives. This is especially helpful if you're insuring a teenage driver because their policy prices tend to be some of the highest in the industry due to being a high accident risk. Adding your teen's vehicle to your policy will yield you quotes based on your driving history as opposed to that of your child.
Invest In Some Security
Some insurance companies are willing to offer discounts for extra security put into place at home and in your vehicle. Invest in a monitored security system for both home and car, and implement the following security measures if possible:
- Fire Protection – consider electronic a fire alarm for home and fire-retardant seat covers for the car.
- Upgraded Locks – try keyless entry options for your vehicle, and dead-bolt locks for the house.
- Lighting – install motion-sensing floodlights at home and illuminating lights on your vehicle.
It's a good idea to verify the types of security that will get you discounts before making any investments, but any additional security built into your home or vehicle lowers your risks of having to file an insurance claim throughout the years.
Pay For Policies A Year At A Time
Skip all the additional administration fees that tend to come with making monthly payments, and buy your insurance six months to a year at a time. Avoiding those administration fees can save you upwards of $100 a year, and may even get you a small discount on the overall cost of your home and auto insurance premiums. That savings can go toward a towing membership for the year or be used to pay for security monitoring fees being accumulated at home.
Choose Paperless Documents And Bills
You'll find that many companies are willing to provide a small discount for choosing to go paperless because you're saving them money on paper, ink, and mailing costs. You and your insurance provider will save plenty of time by working together electronically too. Your policy documents and premium bills can be simply emailed to you and managed through an online account.
While each of these techniques offer up a decent savings separately, they're sure to add up to a significant savings when compiled as an overall discount on your annual premiums.