Insurance is one of those things in life that you have to have – it’s something you hopefully won’t ever need to use, something you don’t want to have to use so that your costs will stay down but ultimately, something you can’t be without. So with cars, houses, life, and travel all to insure, how are the best ways to save money on it?
First of all, you need to shop around as prices vary from company to company, so get at least three price quotes. You could either call companies directly or use one of the comparison sites.
If you can, buy your different types of insurance homeowners and auto coverage from the same insurer and make sure you maintain a good credit record.
When it comes to insuring your car, if you are buying a new one then check the insurance costs before you buy. Also, take advantage of any low mileage discounts. Make sure you use the right job title, and by this, it doesn’t necessarily mean the job title on your business card. According to GoCompare.com, if you describe yourself as a “chef” your average quote is £98 higher than if you use the title “kitchen staff” and using the job title “Music teacher” will mean you pay £86 more than just a “teacher.” You could also look into investing in a dash cam some insurers reward as they provide valuable evidence if you get into an accident, check out this BBMC dash cam guide to find out more.
When looking at life insurance, the key thing to keeping costs down here is buying your life insurance earlier as prices go up as you get older because the longer your insurance company expects you to live, the lower the chances there are of them paying out. Also, look at your lifestyle, as if you are a smoker you will be charged more to take out a life insurance policy than someone who is not.
Pay annually on home insurance as this will work out cheaper in the long run than paying monthly. Also, make sure you fit smoke alarms as insulate your pipes.
Finally, when it comes to your holidays and trips, if you travel abroad more than twice a year then an annual multi-trip policy could be the most cost-effective option. How far are you traveling? Do you need world-wide insurance or just a policy to cover one continent? Look carefully at the different options as it is easy to overspend and take an unnecessary plan. Consider who’s going on the trip, as combining cover for couples or families could work out cheaper than insuring each individual separately.
It’s also possible that you could already have travel insurance so don’t go buying it unnecessarily. If you have a product such as a paid-for bank account or premium credit card, then you could have already been given travel insurance with it.