Insurance premiums can feel like an ever-growing expense, and the continual climb of premium costs strains Florida residents trying to balance their budgets. However, insurance is necessary, or even legally required, for many areas of life. What’s the best way to minimize Florida insurance costs without sacrificing coverage? This article will address the problem of high insurance premiums – and offer some solutions.
Reducing Your Monthly Auto Insurance Payment
One of the payments many Floridians dread the most is their monthly car insurance payment. Florida has minimum car insurance requirements that must be met before you even register your vehicle. Depending on your car’s value and driving habits, monthly car insurance can be a significant investment without much upside.
A clean driving record is one of the simplest ways to qualify for Florida discounts. Insurers often reward safe drivers with lower rates due to the lower risk of payouts. Similarly, the safety of your vehicle matters, as cars with high safety ratings or lower theft risks typically cost less to insure. Whatever you can do to prove to the insurance company that your risk is lower will likely yield results in the form of lower monthly payments.
If you’re insuring an older vehicle, another way to reduce payments is by reducing the protection on your own vehicle. Florida’s insurance laws only require PIP insurance to cover medical bills and PDL insurance to cover damage to other’s property. If you are less concerned about overall protection for an old, cheap vehicle, dropping additional coverage may be worth it.
Trimming Premium Costs Off Your Health Insurance
Overall satisfaction with healthcare quality, price, and coverage is declining in America, but a good way to feel better about your health insurance is by gaining savings on your premium.
The type of health insurance plan you choose affects your premium more than most other factors. High-deductible health plans, for example, often have lower premiums to compensate for the higher out-of-pocket costs. Healthy individuals who want access to a Health Savings Account for tax benefits might consider these plans if they don’t routinely need health care.
Eliminating unnecessary extras can help trim your premium without sacrificing core health coverage. You should assess whether you’re paying for unused benefits, like maternity coverage, if it’s not relevant to your needs. Maternity coverage might only be a requirement for a few years, but some people might forget to update their coverage after their life plans change.
Saving On Home Insurance Premiums
Everyone needs home insurance, and it’s critical to not cheap out on protections for your most significant asset. However, that doesn’t mean you should dump money into an insurance plan that doesn’t provide you benefits.
Florida homeownership has many perils, unfortunately. Living in hurricane-prone areas or flood zones often means higher rates, and the choice is out of your control. Opting for a higher home insurance deductible can reduce your premium, but recent hurricanes have shown that hoping to dodge massive storms isn’t always a viable plan. A low deductible plan might save you tons of money if damage to your house is high.
That being said, reassessing your home’s replacement value can prevent over-insurance. Home insurance usually protects assets and personal property inside the home, but that property can change over time. Every year, review your plan and see what protections are no longer needed to save on your monthly bill.
Always Compare Premiums and Evaluate Your Insurance Options
Reducing your insurance premiums doesn’t have to mean sacrificing quality coverage. In fact, you should never sacrifice vital protections just to save a bit of money each month, as it vastly increases risk and hardships should something go wrong. The best way to lower premiums is by working with experienced insurance agents and finding out which new plan covers you entirely for a lower, more agreeable price. If you need assistance finding the best plans for your budget and lifestyle, contact Anderson & Associates Insurance Group today.
