If your vehicle is old, you may want to remove collision and comprehensive coverage.
(PRWEB) January 08, 2013
Saving money can be difficult at times; whether it’s adjusting a lifestyle or that there simply isn’t any room in the budget to save. It is important to look at all expenses and identify how to save money on each expense. Car insurance for example, is an expense that every driver must have by law; but that does not mean that drivers should overpay for insurance. InsuranceHotline.com provides Canadians with a few ways to save money on their car and home insurance.
Car Insurance Savings
- Shop your rate. The rates charged by insurance companies can vary by hundreds and even thousands of dollars; as each provider uses their own claims experience to determine premiums charged. It’s important to shop around for multiple car insurance quotes to compare your insurance rate.
- Review your policy. It’s important to review your car insurance policy periodically and make sure it’s up to date. Research any discounts that your insurance provider may offer and see if any apply to your policy. Also, has your commute distance changed since you purchased car insurance? Or has a ticket or accident been removed from your driving record? (Note: tickets are on your driving record for three years and accidents stay on your record for six years.) You should notify your insurance provider if any of these circumstances have changed as they will have an impact on your car insurance rate.
- Re-evaluate your coverage. Liability insurance coverage is mandatory for all drivers; however, comprehensive and collision are not. If your vehicle is old, you may want to remove collision and comprehensive coverage – as the car may not be worth repairing in the event of a car accident.
Also, you should evaluate your deductible amount – the money that you’re required to pay out for a claim. Lower deductibles typically cost more on your insurance premium than higher deductibles.
Home Insurance Savings
- Remove unnecessary coverage. If you’ve purchased coverage that will not likely affect you, such as earthquake coverage, you may want to remove the coverage and lower your insurance premium – especially if you live in an area where the natural disaster typically does not occur.
- Increase your deductible. By increasing your deductible, it will decrease your home insurance rate – as you’re assuming more of the risk if you were to make a claim. An important thing is to make sure you have the deductible amount available to pay out should you need to make a claim.
- Research discounts. Taking the time to research any discounts could save you money on your home insurance rates. For example, if you’re a senior citizen or if you have a burglary alarm installed in your home, discounts may be offered. Be sure to ask for discounts when obtaining home insurance quotes.
Another savings tip: Most insurance providers offer discounts if you combine your auto and home insurance policies. Don’t forget to call your provider and find out how much you can save if you combine both of these policies.
InsuranceHotline.com is a free online insurance rate comparison service that directs consumers to its large network of more than 30 insurance companies and licensed insurance professionals and provides quotes based on the lowest rates available through its network. In business since 1994, InsuranceHotline.com does not sell insurance, is not a licensed broker, and is not owned in whole or in part by an insurance company, agent or brokerage; ensuring consumers get a truly unbiased quote.