Do you ever find yourself wishing there were more zeros at the end of your bank balance? It doesn’t seem to matter what our household incomes are, most of us still stretch ourselves pretty thinly every month. In light of this, most of us are also trying to find places to save and reduce costs, and I am a huge proponent of this in our home. We take advantage of coupons, rewards programs and frequent customer perks from groceries to hotels. One place where it just does not benefit you to “cut corners” as they say, is in your family’s insurance plan. Cut rate companies are often willing to equip you with the “bare minimum”- because when it comes down to it, if a catastrophe strikes and you’re undercovered, they’re not the ones who suffer…you do!
This is an area where it is essential that you trust the motivations and reputation of your agent and/or company. Full-form insurance policy language is definitely NOT Saturday evening reading for most people. Make sure that your agent lays out the important specifics to you in language that is easy to understand. When dealing with homeowner’s insurance, for example, there are many different categories of personal property that have standard limits on them. Things like art, memorabilia, computers, cash, sports equipment, weapons, and more are only covered to a certain (often low) limit. Be sure that your agent is inquiring about and accurately covering these items.
It is important to understand fully what the different categories of coverage mean and what your family needs to be well protected. Once you are armed with this knowledge, you can compare different reputable companies to make sure you’re getting the best price for that coverage. Especially important areas here are your liability coverage, and life insurance coverage (especially if you have dependents). Trust us, the worst time to find out you don’t have the right plan in place is while you’re experiencing a claim! Remember- find out what you need FIRST, then shop your needs for the best price.