When Should You Review Your Automobile Policy?

Insurance Blog

You can let your automobile policy automatically renew itself. However, it might not be the best idea. Your life is constantly changing. That means you might start driving your car in different ways that should affect your insurance. Knowing the best times to review your automobile policy ensures you'll always have appropriate coverage without wasting time and energy. 

Review Once a Year

Generally, you can expect to receive a renewal notice for your auto insurance policy about a month before it expires. That's a good time to review your auto insurance policy to see if you can find something better before you agree. Sometimes, that means looking for less expensive insurance with similar coverage. Shopping around can give you better deals by giving you more options. Insurance is no exception to this rule. Other times, better means checking with an insurance agent to see if you've experienced changes in your life that have changed your optimal coverage. If you can't find anything better, you'll still have the option to renew.

Review Whenever Driving Patterns Change

Premiums are based on perceived risk. Insurance companies set profitable prices in the context of the chance they'll have to pay out. However, they can only raise their premiums so high before losing customers. You can get lower premiums if you convince your insurance company that you're low-risk. Naturally, your driving patterns play a critical role in these calculations.

Review your auto insurance policy whenever your driving patterns change significantly to see if you can take advantage. For example, you might have a new automobile that's considered safer. Alternatively, you might be driving less because you have a new commute. Please note that you aren't just concerned about reducing your premiums. Your driving patterns might've changed enough you should adjust your coverage to account for those differences.

Review Whenever Other Circumstances Change

Driving patterns aren't the only things constantly changing. Many other changes in your life should prompt you to look for a better auto insurance policy. If you have to insure a new driver, you should check to see if there's any way for you to reduce costs because doing so is bound to be expensive. Similarly, you should look up new options if you've moved because the rates can differ from place to place. On top of these things, it can pay to keep a watchful eye on your credit report. All but four states allow insurance companies to check your credit score when setting your premiums because people with higher credit scores are less car accident-prone and vice versa. That means your automobile policy could be another example of how getting a better credit score can help you save. Regardless, significant changes in your life are some of the best times to review your coverage.

Contact a local insurance company to learn more about your auto insurance policy


31 August 2023

Health Insurance Haze: Clarifying The Policy Information

When I lost my job, I also lost my health insurance. I've never had to buy health insurance on my own before, so when I went to my insurance agent, I had no idea where to start. The coverage options, deductibles, co-pays, and premiums were confusing. I wasn't sure how to make sense of all of the tiers and doctor's networks. I created this site to help others who've never purchased health insurance before. The posts here are full of resources for insurance coverage, and I hope that it will help you to find the policy that's right for you.