Are your insurance policies collecting dust? If you can’t remember the last time you’ve seen them, then you should keep review your insurance policies. By not examining your insurance, you’re risking the chance of over-paying, or being under-protected. Many would say, “My broker handles that for me!” While your insurance broker has your best interest in mind, it’s less than likely you notify your broker of every changing circumstance in your life.
That’s why it’s important that you locate and review your insurance policies once a year – let’s discuss a few reasons you might want to put in a call to your broker.
1. YOU HAVE RENOVATED OR REMODELED YOUR HOME
If you’ve recently upgraded or extended your home – you should definitely speak to your broker about reviewing your coverage. The coverage on your home may not be adequate now that you’ve increased the cost to rebuild. Most brokers can assist in generating replacement cost evaluations, or send an inspector from the carrier to perform a formal inspection of your home. Taking these steps could help protect you from a risky gap in coverage.
2. YOU HAVE HAD CHANGES IN YOUR LIFESTYLE
You have new drivers in your household, you were recently married, or maybe you’ve inherited family heirlooms. Most people don’t think to notify their broker, but why risk not being fully protected? These are lifestyle changes that warrant a call to your agent to make sure you have the right coverage!
3. YOU MAY BE ELIGIBLE FOR DISCOUNTS
When you receive your renewal in the mail, there is typically a section of your policies that show the discounts you are currently receiving as well as the discounts you were previously ineligible for. If you’ve beefed up your home security, installed a permanent generator or even water leak detection systems, you could be eligible for big savings!
4. YOU MAY BE OVER INSURED
After years of mindlessly renewing your homeowner’s insurance, you may notice that your coverage has been steadily increasing due to inflation. Discuss your limits with your broker – he/she is able to work with your carrier on your behalf to guarantee the replacement cost is adequate to avoid over spending on coverage.
5. YOU FEEL YOU ARE PAYING TOO MUCH
Many people get in the habit of just paying the bill when their insurance renewals come in. Carriers are changing their rates constantly, that’s why you should speak with your agent once a year to ensure you are receiving the most comprehensive and competitive package. Conducting a review has the potential to help save you hundreds of dollars during the year.
6. YOU MAY CATCH MISTAKES
You probably have more than one insurance policy – and you may find that there is an error or two on one or more of these policies. For example, if you’ve paid off your mortgage but never notified your broker – in the event of a claim, the check will be made out to you and your mortgage company. That doesn’t work now, does it? Be sure to check the little details on your policies, catching these errors could save you time and money!
If you haven’t taken the time to review your insurance policies in a couple of years, it’s time to pull them out. If you don’t have a copy at home, most carriers allow you to access them online. Otherwise, a quick call to your broker can put a copy in your hands today. Should you need assistance in reviewing your policies, let’s talk!
Opinions expressed in this article are solely the author’s opinion, not intended to provide the reader with legal or any other professional advice. Should you need advice or opinion, consult with a qualified professional to address your specific needs.