Disclaimer: The statements made in this post are the opinion of the author. They should not be viewed as financial advice. Please consult with a financial specialist before making any financial decisions.
This post may contain affiliate links, meaning I’ll receive commission at no extra cost to you for your purchase.*
Insurance premiums are probably the most frustrating expense to have each month since we are most likely never going to see that money ever again.
That’s how the statistics of insurance works. If everyone got a payout it wouldn’t be worth it.
But it is also one of the most necessary and important tools a financially savvy person uses.
In other words, please don’t try to eek by without insurance. It just isn’t worth it.
Instead, try to get your lowest rate for the coverage you need.
How To Get A Lower Insurance Rate
Once you’ve bought into a year long policy you are pretty well stuck with that rate. But remember, insurance policies only go from year to year so every year is a chance to get a better rate.
And you should.
1 Shop Around Every Year
Never in the history of insurance have premiums naturally gone down over time. Every year like clock work you get a bill for the upcoming year from your insurance company and it is always higher than last year.
There is always some business jargon reason given about why it is better for you included as well, but we all know they could give you a better deal in they wanted to.
So make them want to.
By taking the time to shop around each year for the lowest possible rate, you now have negotiating leverage with your insurer.
Call them up and tell them that XYZ Insurance has this rate. Then simply ask them to match it. Most of the time they will.
And suddenly you have a better rate.
2 Change Providers
Every year there is at least one insurance provider that has a big push to get new customers with a promotion. This year, for example, Giecko offered everyone a blanket 15% discount.
If your current insurer is unwilling to budge, then go ahead and switch to a new provider. Get the great introductory rate, and enjoy spending less on insurance each month.
Doing this every year will keep your rates at the cutting edge instead of slowly creepy up over time.
3 Pay In Advance
This is probably not a new idea for you, but let me throw it out there anyway. Most insurers will let you pay a full year (or six months) in advance for a small discount.
This ensures they get their money and it lowers your total pay out. It is a win-win.
Now a caution. Only do this is you can afford it. Don’t carry a balance on a credit card to pay in advance. It is not worth it.
4 Bundle and Ask
Since insurance companies are always hounding you to bundle, I don’t think I need to tell you that you’ll get a discount for having more than one type of insurance with the same company.
But, most insurers have other discounts ready to be applied if you just ask.
Sometimes these savings are for being part of a group, having a certain job, using a certain cell phone, or even just requesting a discount.
You’d be surprised how many places give a discount to people who just ask for one. I got 10% off at Walmart once for point out damage on a box and asking if it was discounted.
Seriously, call up your insurance provider and ask them for a list of discounts they give. Their answer may surprise you.
5 Use Non-Traditional Insurance
If you still aren’t satisfied, look at alternative ways to get insurance.
Consider a Christian Health Ministry for health insurance.
Or a discount online provider for home and auto.
If you are making some good money, consider self insuring for disability or long term care.
There are many alternatives, especially outside of home and auto insurance.
Lowering Your Insurance Costs Automatically
If you like the idea of lowering your insurance costs, but you don’t want to go through all of the effort I’ve just described to do it, you’re in luck.
There’s an app for the that…or a website rather.
It’s called Policy Genius.
They company that does basically everything I’ve mentioned above for you.
What is PolicyGenius?
PolicyGenius is a website platform that takes your information and shops for the best insurance plans for you.
You input all of your information once, then they take it from there.
You don’t have to deal with the insurance companies directly and you get three options to chose from that represent the best possible prices.
I tried three different places to get insurance on my home which is out of town and was denied by three different companies. Not even given a high estimate. Denied.
I put all my information into PolicyGenius and they got me three quotes fast.
What Does PolicyGenius Do?
PolicyGenius is an aggregator of quotes from different insurance companies, but it is also your champion against insurance companies.
I had what I thought was a drastic increase in my insurance rates. After I had already finished working with PolicyGenius I called them back and they immediately started working with me to fix the problem.
They discovered what caused the change, how much the change really was, and reshopped my rates to see if what I was being charged was still competitive.
Basically, PolicyGenius is your insurance support team.
If you can’t tell, I’ve had a very good experience working with them.
How Much Does Policy Genius Cost?
I know what your thinking, what is this costing me? Absolutely nothing.
I’ve gotten two policies through PolicyGenius now and I haven’t paid them a cent.
They get a commission from connecting you to the insurer, which is built into the cost of the insurance, because you will always go through someone to get insured.
So it literally costs you nothing.
But doesn’t that mean their advice is tainted by the comission?
Usually I’d agree, but they give you the three best plans to choose from and let you make the choice. It isn’t pushy and the rates are really good.
Enjoy Saving Money On Insurance
If you want to know a bit more about the ins and outs of PolicyGenius, you can look at the FAQ section of this post. I didn’t want to get bogged down in the detailed questions, but I’ve answers a few of them below.
Insurance is that necessary annoyance that we’ve just got to deal with. I’ve discovered that PolicyGenius made it less annoying for me, so I wanted to share that.
If you’re interested, I get a gift card if you use my PolicyGenius referral link, but you don’t have to.
I hope you enjoy spending less money on insurance no matter how you do it.
How have you lowered your insurance rates? What insurance discounts have you used? Tell me about it in the comments below.
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Is PolicyGenius safe?
Yes, PolicyGenius is safe. They act much like a broker would from any insurance office you go to, and they have very little information about you anyway.
Is PolicyGenius legitimate?
Yes, PolicyGenius is a legitimate business. I’ve used them twice now to get insurance policies and it has been a smooth process both times.
What types of insurance can I get with PolicyGenius?
If you need it, they have it. PolicyGenius can broker car insurance, homeowners insurance, life insurance, disability insurance, renters insurance, health insurance, travelers insurance, pet insurance, long-term care insurance, jewelry insurance, identity theft insurance, and more.
What are PolicyGenius’ benefits?
The main benefits of using PolicyGenius are these. First, no headache comparing different policies. Second, they reshop insurance rates for you to make sure that you are getting the best rate. And third, on going insurance support anytime you have a question. All free to you.
Beyond that PolicyGenius is more comprehensive than a regular insurance broker. You can get the insurance you need, and the advice you need to make the right decisions.
They have a financial section that helps you make good decisions on home buying, loans, retirement, investing, taxes, and more.
They also have a section on wills and trusts to help you with estate planning. In other words, PolicyGenius is a more comprehensive and easier to use service for getting insurance.