10 Ways to Negotiate Lower Insurance Premiums
Insurance is one of those financial products that we all need to have regardless of where we live, how much money we make, or what kind of car we drive. No matter how valuable our assets are, we need insurance to protect us (and our wallets) in case of an unforeseen event. However, buying several insurance policies can be very costly.
Here are ten tips to help lower your insurance premiums:
1. Ask for discounts for no particular reason
Have you ever heard the expression, "The worst they can say is no"? That's true for insurance premiums. If you want a lower insurance rate on your car, home, life or travel insurance all you need to do is ask. Consumers don't always know which discounts are available, so just simply ask your insurance provider.
2. Brag about your profession
If you're a professional that belongs to an order such as a lawyer, doctor or accountant your insurance company may offer a discount based on your profession or the professional order you belong to. This is especially true when it comes to life insurance because some professions are considered less risky than others and therefore offer lower insurance premiums.
3. Show your membership and association cards
If you belong to an association such as a union or are a member of an association such as CAA you may also be eligible for discounts on your insurance rates. Very often popular associations negotiate discounted group rates for their members.
4. Tell them you're a college graduate
If you're a recent college graduate, you may be eligible for a discount on your insurance premiums. This is especially true for car insurance. As an alumnus, your college or university may also have special rates with insurance companies. It never hurts to ask.
5. Authorize a credit check
It's no secret that those who are financially responsible receive greater financial benefits. Authorizing your insurance provider to perform a credit check can lead to discounts on your insurance premiums - but only if you have a good credit history.
6. Pay in full for the year
When trying to lower your insurance premiums ask the provider if you get a discount for paying in full upfront. You have the option to pay monthly, but paying for the entire year could save you big bucks.
7. Remind them about your past
If your insurance contract is up for renewal or if you're shopping around for a new insurance provider be upfront about any claims in the past. If you have no prior claims on your home or car insurance, you may be looking at lower premiums.
8. Bundle your products
Insurance companies like loyal clients. If you've been a long time client, ask if there's a discount for your loyalty. If you have several insurance policies with the same provider, ask if there's a discount for having multiple products. The odds are the answer is yes.
9. Increase your deductible
This is one sure-fire way to lower your insurance premiums. If you want to pay lower premiums, increasing your deductable is the way to do so. However, realize that if you do file a claim you'll have higher out of pocket expenses.
10. Compare costs between providers
Don't assume you're getting the lowest insurance rates. Compare the costs between different providers to ensure you're getting the best rate. When shopping around remember to compare apples to apples (the same amount of coverage and the same deductible).
Use these easy comparison tools online to get great quotes. Sometimes, the best way to negotiate your rate is to have multiple quotes to choose from.