I Saved Over $500 a Year on Insurance

Things happen in life where you realize you need to cut back on expenses.  This happened to me last summer.  Long story short, my monthly expenses were going to increase by about $150 a month.  Although $150 a month doesn’t seem like a whole lot, times that by 12 months in a year and you have a yearly increase of $1800.  Once the increase of $1800 per year really sunk in, I realized I needed to do something to lower my other expenses.

Looking to squeeze extra funds out of your budget? Check out how I saved $500 a year on insurance!

My first and best attempt at cutting back on my expenses was tackling my auto insurance.  Despite my clean credit report and driving record, my monthly policy was $135.  I immediately got to work to try to lower the bill.

 

Action

First, I called my existing insurance company provider to see if they had any additional discounts.  I explained my financial situation was changing and was looking to cut costs any way I could.  After searching and searching, the representative claimed that I had the best deal possible.

My next step was to contact a friend who recently opened up an insurance agency in my area.  Once I told him my current monthly rate, he immediately said that his agency would do whatever possible to get me a better deal.  After a 20 minute phone call, my car insurance was lowered to $93 per month for comparable coverage.

Conclusion

Moral of the story, it is always important to shop around for deals.  Just one phone called saved me $504 annually.  I was able to get a bundled package with my renters insurance and auto insurance which saved me an additional $2 per month on my renters insurance.  After a couple phone calls, I successfully saved $528 per year on my auto and renters insurance.  Not bad for a Monday afternoon.

I ended up calling 6 different companies and negotiated other months bills.  Check out the 6 companies I called as well as the steps I take when negotiating monthly bills.

 

Looking to squeeze extra funds out of your budget? Check out how I saved $500 a year on insurance!

I challenge you to contact your current insurance policy holder(s) to see if there is a discount out there for you.  Have you tried this in the past?  What type of discount were you able to receive?

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15 comments

  1. I’m actually in the process of shopping for homeowners insurance. It is a tedious task, but definitely worth the time. Thanks for sharing!

    1. So glad that the information is helpful. I just shopped around for homeowners insurance! It is def tedious if someone else isn’t doing the shopping for you but saving the additional money is always worth it.

  2. I need to this so bad!! Great tips sometimes it only takes a phone call and with that said I’m doing this today

  3. Great reminder! You’re right, it’s so easy to go along and keep the same old service and agents – it’s time to shop. I might be able to save a little something too.

  4. Yes! When it is time for me to renew I shop around to make sure I’m still getting the biggest bang for my buck.

  5. This is great advice. I planned to do this with my cell phone service as well. Shopping around is always a great idea. Happy you were able to lower your expenses.

  6. This is so inspiring I’ve been meaning to shop around for home and auto insurance for months now thanks for motivating me.

  7. Yea as a licensed insurance agent, I learned that you should regularly shop insurance as long as they are rated well it does not matter who you go with and because its based on variables outside of your control, things change even if they were the cheapest at one point dont mean that stays the case.

  8. Its time for me to make my annual phone calls to see if I can get some lower premiums or make some adjustments to my providers. Thanks for the reminder.

    Did your reduction come with any alterations to your plans or were you able to maintain the same coverage at a lower rate?

  9. I just recently did this same thing and saved 70 dollars monthly. Its sooo worth taking the time to shop around.

  10. SO true! Shopping around can really help you. I had been with the same guy for over 15 years. Turns out he was robbing us blind.

  11. This is awesome! Insurance is definitely pricey. We just switched companies so we’re saving a little bit as well.

    LiveLifeWell,
    Allison

  12. This a great post. I need to call my insurance provider and see if they have any discounts available. Thanks for the great idea.

  13. Wait! I did not know this was even possible. I am going to have to call my insurance to see if I can receive a discount.

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