A lot of people take a dim view of things like prenuptial agreements because they think it saps the romance out of a marriage. It makes sense—a marriage is supposed to be a romantic union, not a business proposition. But who said that you can’t have both romance and thrift? Consider this: combining auto insurance policies as soon as you’re married can be an incredibly romantic and financially sound move. And if you doubt what we’re saying, here are just a few examples of how doing so could amp up your love life.
• Combining auto insurance saves you so much money that you can afford to buy your significant other flowers on a whim without worrying the debit transaction will bounce. Bonus!
• You can funnel the money you would have been paying into individual policies into a vacation fund. Trips to the Caribbean aren’t that expensive, you know.
• Take those monthly savings and splurge on a romantic dinner for two. After all, everyone knows that a meal that pays for itself tastes far better than one you’re going into debt to pay for.
You’re probably thinking “Great ideas, but can combining auto insurance really save me that much money?” Heck yes, it can. To find out how auto insurance rates compare for single people as opposed to married couples, you don’t have to make any appointments to visit an agent or wait on hold for hours on end. Just punch your information into an online auto insurance price comparison engine and compare the digits. You might be surprised at what you find.
We’re not here to preach to you about the health dangers of smoking. And you can rest assured that nobody’s going to pass judgment on whatever vices you have. We do, however, want to pass along a bit of information about how being a smoker just might cost you more than you expected in both home and auto insurance premiums. If you decide you’re still unconvinced, simply compare home insurance prices and car insurance prices, alternating your status as “smoker” with “non-smoker” to see for yourself.
Fact #1: Smokers pay more for home insurance. Statistically, the instance of fires in the homes of smokers is much higher than that of non-smokers, who don’t bring with them the increased danger of smoldering ashtrays and still-lit cigarette butts. It makes sense. And as a result, if you smoke you’re going to be quoted a much higher price for coverage when you compare home insurance prices.
Fact #2: Smokers pay more for auto insurance. While this one seems to make a bit less sense than the increased rates for homeowners coverage, it’s one that’s based purely on stats that show smokers tend to be involved in more car accidents that non-smokers. There are two factors that figure into this. First, smokers are inherently higher risk takers than non-smokers, both in and out of their vehicles. Second, those who smoke cigarettes while driving have an added distraction that can lead to more accidents.
If you’re looking for additional ways to save money on home and auto insurance, quitting smoking just might make a significant impact. Remember to review your insurance policies on a yearly basis, and if you’ve quit smoking in the last year be sure to report that fact to your insurance agent. There might be some discounts awaiting you.
Homeowner’s insurance is a wonderful thing to have, and can be a lifesaver. But its effectiveness and affordability rests greatly on your ability to know exactly when to use it, and when not. Many homeowner insurance companies view your claim history and the frequency with which you file claims as a benchmark to determine what your monthly premiums will be. Sometimes, filing a claim when it’s not necessary could only serve to increase the amount you pay. Here are a few tips to help you know when filing an insurance claim is in your best interest, when it’s not, and how it can affect you in the eyes of most home insurance companies.
When should I file an insurance claim?
Deciding on whether or not to file an insurance claim may sound like tricky business, but it’s actually not. It’s just a matter of common sense. You should consider filing an insurance claim if you find yourself in any of the following scenarios.
- If the damages aren’t your fault and you know they’ll be covered. For this reason, it’s important to always have a copy of your homeowner’s insurance policy that you can reference at a moment’s notice.
- If you haven’t filed an insurance claim in several years. The facts are, homeowners who file frequent insurance claims are considered greater risks and are therefore charged more for their insurance premiums.
- If the damages are substantial. Determining this might not be as simple as it sounds and often requires a professional estimate. If the dollar amount of the necessary repairs far exceeds your deductible, file an insurance claim.
When should I not file an insurance claim?
There’s a time to file, and a time to pay out of pocket. Knowing the difference may cost you a bit more now, but could save you a lot of money in the long run. You should consider not filing an insurance claim if your circumstance meets any of the following criteria.
- If you know the damages won’t be covered by your insurance policy. For instance, if your roof springs a leak as a result of some poking around in the attic that you shouldn’t have been doing, don’t bother filing a claim. Keep a copy of your insurance policy handy nonetheless to determine what will and won’t be covered.
- If the estimated damages are less than your deductible. This means that if your deductible is $1000 and the cost of repair is $500, there’s no sense in filing a claim.
- If the estimated damages are equal to or close to your deductible limit. Think it over. If your deductible is $1000 and the total cost to pay for repairs on your own are going to run $1500, you might be better off handling it yourself and not filing a claim. Filing a claim could save you $500, but will cause your monthly payments to increase significantly.
Multi car insurance policies can be one of the most effective ways of lowering your auto insurance premiums. Insurers offer multi car discounts as incentive, since the added business brings the insurance company more revenue. But while signing up for multiple car insurance saves the average person about 25 percent, it’s not always the most economical option. Here are a few facts about multi car insurance policies that you might not know.
- People who share the same household can take advantage of multi car discounts even if they’re not family. In other words, you don’t have to be married to someone or directly related in order to take advantage of the discounts.
- Bad driving habits can cancel out good driving habits. If you have a stellar driving record, sharing a policy with someone who has a less-than desirable record might actually increase the amount you pay. Likewise if you have a history of accidents or tickets, going into multi car policy with someone without a blemish on theirs won’t save you money. In this case, it makes more sense to have separate policies.
- Some insurance providers require that all cars under a shared policy have the same level of coverage. But the older a vehicle is, the less sense it makes to carry full coverage—whereas someone with a brand new car may want comprehensive insurance.
- You can continue to carry your children on your family insurance policy until they’re 25, as long as they still live with you.
- If you own more than one car and live alone, you can still take advantage of multi car discounts.