The Importance of Reviewing Your Car Insurance Policy Regularly
What if you could save hundreds of dollars a year with just a few minutes of reading?
Almost all drivers protect their rides with auto insurance. However, far too many simply roll the same policy over year after year without ever reviewing if it meets their current needs. And without regular auto insurance reviews, drivers may be stuck paying too much for certain kinds of coverage they no longer need.
If you know what to look for, you will know what life changes may require a coverage change and the best time to drop your old carrier and find a new one. Ready to learn what you need to know to start saving right away? Keep reading to discover the importance of reviewing your car insurance policy regularly.
Advantages of Regular Insurance Checkups
The chief advantage of an annual car insurance review is that it can save you money. For example, you might have once purchased a full coverage policy on your brand-new automobile. But now that it has been many years, you may be better off removing the comprehensive coverage and reducing the limits of your collision policy.
Regular auto insurance reviews ensure you are not missing some kind of protection your vehicle actually needs. Not having underinsured/uninsured motorist protection may be a dangerous choice, for instance, after you move to a new state. Knowing how to read and understand your policy can help you review the life changes you have experienced and always get the right amount of protection.
Evaluating Changes in Your Life and Their Impact on Insurance
If you have never thought about the need to review car insurance, you are probably wondering why someone would do that at all, much less every year. The short answer is that your life is constantly changing, and the exact type of financial protection you needed last year may not be what you need this year.
As an example, after you move to a new state, the minimum level of required coverage may be different, requiring you to tweak your existing policy. And adding a teen driver can make policies much more expensive, so you may want to adjust your current one or shop for a new carrier altogether to save on your premium (always a good option if your car insurance rates go up). Even switching to a work-from-home job is a great time to speak to your carrier about your existing policy — you may be able to get a newer, more affordable one better suited to how little you will now be driving.
Personal Milestones That Demand Coverage Updates
Reviewing your car insurance policy regularly is a great way to save money and protect yourself against unknown future threats. But how regular is “regularly?” As a rule, you should schedule an annual car insurance review around a major milestone such as your birthday or New Year’s Day. Doing so will make it easier for you to remember to complete this annual checkup.
Understanding Market Dynamics and Legal Updates
Even if you carry more than your auto insurance state minimums, you should review your policy each year because the requirements may change there, and you do not want to be caught unaware of a sudden update.
Reviewing your car insurance policy regularly is important because of market dynamics that dictate the price of your premium. For example, married couples get in fewer automobile accidents, and some areas have fewer claims each year than others. By checking with your carrier each year and updating them to your status changes, you may discover you are eligible for savings you might have otherwise missed.
Strategies for Reviewing and Updating Your Policy
When you are getting ready to review your own policy, there are certain strategies you should employ. First, take stock of any major life changes in your recent past, including getting married, moving to a new state, and buying a home. Do not forget to include having a new child or adding a teen driver to your existing policy. If one or more of these situations apply to you, then contact your current carrier to ask about adjusting your policy.
If you like what they have to say, then make this kind of check-in an annual event. And if you are unimpressed with what they offer, remember that getting quotes from other carriers is completely free and may be the key to superior savings.
Start Comparing Your Current Auto Insurance Policy with a Free Quote
Now, you know more about the importance of reviewing your car insurance policy regularly. This includes the benefits of reviewing and the major life events that make doing so necessary. But do you know who can help you save even more through every single life change? At InsureOne, we are devoted to offering affordable coverage perfectly customized to your own needs.
Ready to finally have a carrier who listens to your needs and is fully devoted to helping you save? Then, it is time to come get a quote online. You can also pick up the phone and give us a quick call at 800-836-2240. Finally, you are always welcome to come find an InsureOne office near you.