Get the protection you need

From time to time we all find ourselves looking to buy Insurance, whether by personal choice – as with Life Insurance – or as a legal obligation – in the case of Auto Insurance.

But buying insurance can be complicated and confusing.

Do you sometimes get the feeling that some Advisors might have a vested interest in a particular product? Or is it that they simply don’t take the time to understand your particular circumstances?

Well WE want to give YOU the INFORMATION you need to -

• MAKE THE RIGHT CHOICE – what you need and what you don’t
• GET THE BEST DEAL – the right kind of cover for your needs
• SAVE MONEY – pay only for what you need

Start making SMART, INFORMED CHOICES now.

Get auto insurance quotes

The premium is the fee which keeps the insurance policy alive. Each company collects the premium on a regular basis. The policy holder is expected to pay the premium on time. Delayed payments may lead to consequences such a fine or even termination of the policy. If a lapse in your payments does take place, this will render the earlier premiums paid by the policy holder useless. So, in order to reinstate oneself, the policy holder might even have to renew the entire policy.

There has also been a recent trend of policies being sold at inflated prices by a few agencies. Some of these companies that claim to be consulting organizations fail to ask important questions such as salary and mortgage details that are essential to assess the appropriate cover. So, an ideal solution to this problem would to make selling of insurance more transparent. But like all practical solutions, it is not in everyone’s interest to do so. As a result, insurance companies have lobbied congress men and women very heavily to ensure that despite the benefits of transparency, obscurity remains the law.

Another problem with insurance that is often never disclosed by sellers, is that the insurance premium is also very unstable. The rates may even change between consecutive billing cycles. For example, a driver with a recent accident history will have a pay a much higher premium than a regular driver. Such a driver will be left with no other option but to pay a high premium, since insurance has been made mandatory for driver in many states.

Insurance premiums are also very relative. They are based on extensive research and statistics. For instance, a policy holder who smokes might have to pay as much as twice the amount paid by a non-smoker. Some companies also have a provision wherein the premiums are reduced if the policy holder changes his habits. However, evidence based on medical tests will have to supplement this argument. Premiums may also fluctuate according to market trends.

As stated previously, it is not always in the best interest of the insurer to be up front with you regarding the many pitfalls which surround the purchase of insurance. However, by understanding not only some of the omissions as well as grasping the underlying motivations of insurers customers can be must better situated to make good decisions regarding their insurance needs

Rule 1: Buy Insurance Only for Financial Risks You Can’t Afford to Bear on Your Own

The purpose of insurance is to cover catastrophes that would devastate you or your family. Don’t treat insurance as a chance to cover all your losses no matter how small or insignificant, because if you do you’ll fritter away money on insurance you really don’t need. For example, if your house caught fire and burned down, you would be glad you had homeowner’s insurance. Homeowner’s insurance is worth having, because you likely can’t—and you certainly don’t want to—cover the cost of rebuilding a house. On the other hand, insuring an old clunker is a waste of money if the car is only worth $800. You would be throwing away money for something you could cover yourself if you had to.

Rule 2: Buy from Insurers Rated A or Better by A.M. Best

Insurance companies go bust, they are bought and sold, and they suffer the same economic travails that all companies do. Between 1989 and 1993, 143 insurance companies declared bankruptcy. You want to pick a reliable company with a good track record.
A.M. Best is an insurance company monitoring service that rates insurance companies on reliability. Look for insurers rated A or better by A.M. Best, and periodically check to see whether your insurer is maintaining its high rating. If your insurer goes down a notch, consider finding a new insurance company. You can probably get A.M. Best’s directory of insurance companies at your local public library, and you can find A.M. Best on the Web at www.ambest.com.

Rule 3: Shop Around

There are many, many, many kinds of insurance policies, and insurers don’t advertise by price. You need to do some legwork to match your needs with the cheapest possible policy. Talk to at least two brokers to start with. Look for no-load insurance companies—companies that sell policies directly to the public without a broker taking a commission—since they usually offer cheaper prices.

Rule 4: Never Lie on a Policy Application

If you fib and get caught, the company can cancel your policy. If you lie on an application for life insurance and die during the first three years you hold the policy, the company will cancel your policy, and your beneficiaries will receive nothing. Health, life, and disability insurers run background checks on applicants through the Medical Information Bureau, so you can get caught lying. The medical examination you take for life insurance can also turn up a lie. For example, if you smoked tobacco in the previous year, it will come up in the test.

Rule 5: Don’t Buy Specific-Risk Policies—Buy General Policies Instead

When it comes to insurance, you want the broadest coverage you can get. Buying insurance against cancer or an uninsured motorist defeats the purpose of having an insurance policy. If you have ulcers, your cancer insurance will not help you. Get comprehensive medical coverage instead.

Uninsured motorist insurance is supposed to protect you if you get hit by someone who doesn’t have car insurance or doesn’t have adequate car insurance. But, in my opinion, you don’t need it if you have adequate car insurance yourself, as well as health, disability, and life insurance. I should point out that some attorneys advise you to carry uninsured motorist insurance because, by doing so, you may be able to recover damages for “pain and suffering.”

Rule 6: Never Cancel One Policy until You Have a Replacement Policy in Place

If you cancel a policy without getting a replacement, you will be uninsured for however long it takes to get a new policy. And if disaster strikes during this period, you could be financially devastated. This rule goes for everyone, but especially for people getting on in years, since older folks sometimes have trouble getting health and life insurance.

Rule 7: Get a High Deductible

You save money by having insurance policies with high deductibles. The premium for high-deductible policies is always lower. Not only that, but you save yourself all the trouble of filing a claim and needing to haggle with insurance company representatives if you have a high deductible and you don’t need to make as many claims.

People who buy low-deductible policies usually do so because they want to be covered under all circumstances. But the cost, for example, of a $400 fender-bender is usually worth paying out of your own pocket when compared to the overall cost of being insured for $400 accidents. Statistics show that most people have a fender-bender once every ten years. The $400 hurts to pay, but the cost of insuring yourself for such accidents over a ten-year period comes to far more than $400.

One other thing: If you have a low deductible, you will make more claims. That means you become an expensive headache for the insurance company. That means your rates will go up, and you don’t want that to happen.

Rule 8: Use the Money You Save on Insurance Payments to Beef Up Your Rainy Day Account

While you can save money on your insurance premiums by following the rules mentioned earlier, it’s probably a big mistake to use that money for, say, a trip to Hawaii. Instead, use any savings to build a nice-sized rainy day fund that you can draw on to pay deductibles. A big enough rainy day fund can cover both periods of unemployment and your insurance deductibles.

Most insurers know that when it comes to renewal time, around 70% of their customers will accept the quote, without even seeing if they could get it cheaper elsewhere. This could be because the customers feel don’t have the time or the inclination to bother or genuinely believe they are being offered the best deal there is.

However, this complacency could cost the consumer tens – even hundreds – of pounds every year. Insurers are running a business after all and most will not reward their customers with cheaper premiums for loyally sticking by them.

By shopping around – either by going online or by using an independent broker – you could save yourself a hefty wad of cash and it doesn’t have to be a time consuming exercise.

And while the average consumer is probably sick of being told that “you must shop around” even the Financial Services Authority (FSA – which is the independent regulator set up by Government to look after the financial services industry and protect consumers – advocate it!

Do note however that when looking for a cheaper deal, whilst price is important, you should never, ever compromise on cover. No doubt, there will always be an attractive home or motor insurance deal available, but the cover may not be adequate for your needs. The sum insured may not be enough or the policy may not have the same features and benefits.

Therefore, always compare any new quote on a like for like basis with your existing cover and not forgetting to look at the small print and any exclusions.

It doesn’t take long to get alternative quotes and in most cases, you’ll be quids in!

First off, did you know that most companies have a discount for new customers? They entice you to stay by lowering that discount each year, in hopes of gaining loyalty in the meantime. Isn’t this backwards? Shouldn’t they be lowering the rate each year for being loyal and staying with them?

Then there are all the really old customers out there with low deductibles. Once again the agent didn’t have time to review deductibles and educate how much money could be saved by raising them even a few hundred dollars. Think of your policy. When was the last time your agent called to make sure you were happy with your coverage?

What about credit and your auto insurance policy. This topic has raised more controversy than any when it comes to auto insurance. If you have been with the same company for a long time, this area is far too often costing the customer hundreds of dollars. I have even seen where up to date Insurance scores have saved thousands per year!

The list could go on and on forever why you will save by being a new customer. Let me sum it all up for you in simplified terms. Insurance companies are literally fighting for your business now days. Competition does one simple thing, saves you money. The same companies have become far too comfortable with there loyal customers. Wake them up. Comparison shop to get better prices.

Take advantage of the competition. Get quotes from multiple companies and let them start competing for your business. If your interested in an excellent source to get quotes from multiple companies with one simple process, then click on the highlighted text. Otherwise shop around wherever you feel comfortable. Take my advice though, and your going to be surprised how much you can save.

For those who have doubts then consider how you would manage if the worst should happen and your contents were stolen or destroyed? How would you make repairs or replace items that were destroyed?
The majority of people simply don’t have unlimited funds which would enable them to replace their possessions and make repairs. So before you think of skimping on home insurance just ask yourself that question.

While no one likes to think that they could be a victim of fire or theft or similar, the unexpected does happen and while buying insurance won`t change the future, it can at least help you in your time of need. There are many types of policy and levels of cover which you can take out and if you shop around online you can get the best deal possible, with the cheapest premiums.

Buildings insurance covers the main structure of the home and any fittings and fixtures which are permanent in your home such as your fitted kitchen. Contents insurance covers the rest, protecting your possessions against loss, fire or damage.

Both of these insurance policies can be taken out separately or you can make savings by taking out a combined building and contents insurance policy. If you are considering taking out both then this is by far the best way to buy them.

Shop around online or get a specialist broker to do the hard work for you and get quotes from a wide range of insurer, as the premiums will vary from company to company, often by a couple of hundred pounds for the equivalent cover.

As with all policies you should always read the small print and make sure you understand what is and is not covered by your policy. Always make sure you understand what the exclusions are so you can ensure that you are adequately protected.

Cheap Life Insurance

- Purchase multiple policies. Instead of buying one large policy, save money by buying two, or even three, and staggering the terms. Have one run until the kids are out of the house, for example, and the other until your retirement fund kicks in.

- Investigate the company. Visit www.naic.org/cis, the National Association of Insurance Commissioners site. It has links to check out companies, including their financial condition, and the complaints filed against them.

- Ask about rebates. Some states allow agents to rebate a portion of their commission to you. Check online or by phone. You don’t have to be from the state to buy insurance there.

Cheap Auto Insurance

Get several quotes, of course. You probably know that having as high a deductible as you can afford will also reduce the rate. Here are some money-saving tips you may not have known.

- Get the legal minimum for liability coverage if you have few or no assets. Many companies try to sell their “company-recommended minimums” on liability, and even pass them off as the legal minimums. Just get the legal minimums. If you have no assets, you’re not a target for a lawsuit.

- Once a year, review your policies. Have a policy review and get new quotes every year or so. If the ticket you had is past the three year mark (or whatever the company thinks is important) they will drop the rate, but not automatically, so ask.

- Remove your kids from your policy. If your kids are at a college that’s more than 100 miles away, you can have them taken off the insurance policy and save a lot of money. You can’t let them drive the car when they come home to visit though.

Other Cheap Insurance Secrets

– Health insurance tip: Find a group to join. If you don’t have health insurance through your employer, join a group that enables you to get a better policy rate. A fraternal organization or the chamber of commerce sometimes have arranged for group policies.

- Home owners insurance tip: Consider higher deductibles. Insurance is for disasters, not small stuff. Plan to pay the first $1000 someday when something happens. In the meantime you’ll save money every year on your policy.

- Credit life insurance tip: Just say no. These policies pay the balance of your auto, home or other loan if you die. If you feel you need it, regular life insurance for the same amount is much cheaper.

Whatever type of insurance you are buying, be sure to get several quotes. Ask questions about every part of the policy, and don’t pay for things you don’t need. Ask about any special discounts you might be eligible for. Asking many questions and really understanding the policy is the key to getting cheap insurance.