14 tips to get the most value from your insurance

DEC 13, 2017 AT 01:52 AM

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Insurance intelligence is getting much more important today than it was years ago. A whole range of items and things are being insured: cars, homes, health, travelling overseas, life and even parts of the body. However, you aren’t likely going to get the full benefits of your insurance if you don’t know how to monitor insurance policies correctly.

Here are some tips on how you can get maximum benefits from your insurance.

 

1. Watch out for deductibles

It’s possible to lower the insurance amount you pay yearly by looking carefully at the deductible options. Deductibles mean that you’ll have to part with some amount of money in case the insured accident occurs. It’s gainful in such situations when the insurance is obligatory and you’d like to pay less for it.

It is essential to pay attention to the deductible amount. It shouldn’t be too huge to ensure you can comfortably cover it.

 

2. Consider extras

Nearly all companies in the insurance industry propose extras to be included in the contract. You normally insure your car or house with a certain amount of payouts but you can double these figures by paying just an additional 15% of the policy price.

However, don’t be furious about extras though – people sometimes pay even more for contract extensions.

 

3. Do you really need that annual policy?

It’s yet another example of how insurance companies earn money by confusing clients. Agents will suggest to you that these days annual propositions are highly gainful. However, you’ll need to check if you really need an annual policy. A good example is when buying travel insurance. Maybe you only need it for 10 days of vacation but if you’re not careful, you are likely to pay for the whole year, thereby giving away more than 10 times the amount of money you could have paid for it.

Sometimes annual insurance is necessary but only if you intend to cover things you do or use regularly so as to justify the huge expenditure.

 

4. Buy online

Most offices and insurance agents in your city or town are policy resellers. But you can save quite a lot of money by applying for products online. On website of big insurance companies, there are rewarding propositions, and also discounts and programs for loyal clients. Additionally, comparing propositions from different companies may be worth it.

 

5. Stay away from cheap policies

Buying very cheap insurance policies may not be a good idea. There are loads of ways these insurance companies can swindle you and avoid to pay out the money. Fraud is common with cheap services. Even if you are a client of a big company, purchasing their cheapest policies wouldn’t be a great idea.

When it concerns your safety and confidence, it’s always better to watch out. Make sure you pay your money for an existing service featuring optimal benefits.

 

6. Keep all receipts

Whenever you pay money for something that can be covered by insurance, keep the receipts. Such documents can help whenever there are disputes concerning payments. Even if you won’t take the company to court, the receipts will help to prove your rights or change the payout amount.

Small tip: in case you lost the receipts from shops, car service or house renovation service, just ask the company to make you another copy. Usually it’s free of charge and takes only a few minutes.

 

7. Don’t forget that you’re insured

Sometimes people just forget to apply for insurance payment. For example, if a person got a cold and needed to take some days off. His insurance covers such cases and he is entitled to some payout. The only problem is that this person forgot to apply for it. Don’t expect an insurance company manager to follow you around to inform you that you are entitled to some payout.

 

 

8. Always call the insurance company

Nowadays clients usually file their applications through the internet and wait for some feedback. However, it’s better to call the company’s hotline and let them know that you have had an accident. If the managers don’t call you back to enquire details, ensure you call them yourself.

And in case you have questions about policies, you are free to contact the company’s support team and get all information quickly rather than waiting to be contacted.

 

9. Know WHAT exactly you are insuring

If you never read the full contracts you sign with companies, you probably won’t have success in the financial sphere. There are companies that try to play around with insurance details by adding some extras in the contract. As a result, you’ll find yourself signing an agreement with absolutely awful conditions.

Read the object of the insurance carefully and pay attention to the company’ procedure of paying out money in case of an accident.

 

10. Compare conditions in different companies

Sometimes we automatically buy insurance policies and even extend them in the same companies. But the insurance market is growing rapidly and wonderful new services keep on popping up. It’s worth looking through new propositions from young companies which are trying to draw clients’ attention.

Before buying a policy, you will need to look at the company’s rating. It’s highly important you buy an insurance policy with a reliable company.

 

11. Evaluate exceptions  

Some companies include a lot of exceptions in their contracts, which allow them to deny clients payouts after insured accidents occur. Exceptions may be about alcohol and drugs influence, high-risk situations, medical conditions of the insured person, among others. Only sign the papers after having read the exceptions, otherwise you might get yourself into trouble.

 

12. Don’t use automatic renewal

Companies propose you activate automatic policy renewal citing convenience purposes. However, this is not the best idea for your insurance. Review the insurance contract annually and probably add extra details. The world tends to change, we get or lose property, and our wishes and lifestyles may transform. It is therefore essential that your insurance policy should keep up with all those changes.

 

13. Change your policy whenever needed

It may be that a baby was born, you got married, you sold your car, you moved house, etc. There are hundreds of events you should pay attention to before signing up the next insurance contract. You should outline all relevant factors and include them in the new contract.

Some people assume that it’s impossible to change current policy. Truth is: it’s more than possible. You only need to contact your agent to sort out all details about this.

 

14. Keep up with changes

To be on the safe side, always make sure you deal with the best insurer in the specific field. It is important you also pay attention to major changes on insurance policies in the market. The problem is that a company that was good 5 years ago isn’t necessarily a good company today. So, it would do you good to check the company’s rating every year, before signing another contract.