It is hard to predict when you might face an unexpected emergency, but if and when it does happen, having the right insurance is necessary. Obviously you want to purchase the best insurance plan, but how do you find one that won’t break the bank? The key is to do your research and make an educated choice. To get you started, here are some ways to save on insurance costs:

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Home Insurance Savings

Raise your deductible: When you increase your deductible, your yearly premium costs decline. With this strategy you save money throughout the life of your policy. Make certain you don’t raise your deductible too high in case you need to make a claim.

Ask for discounts: When you negotiate your policy, know what discounts might apply to you. Living next to a fire station, having an impact-resistant roof, making home renovations (i.e. new wiring), installing sensors that pick up on gas and other leaks, and nonsmoking status will lower your home insurance costs.

Invest in home security measures: Installing smoke detectors, burglar alarms or deadbolt locks will likely lower insurance costs. Consider protecting your loved ones and saving on premiums by implementing security cameras from Lorex. By keeping cameras around the perimeter of your home and other points of entry helps prevent a burglary. Hesitant to sign a long term contract? Unlike other companies, with Lorex you have the option of purchasing a camera without a monthly subscription.

Pay off your mortgage: In the position to pay off your entire mortgage? Great news! Insurance premiums decrease significantly since companies assume you will take better care of a home you own outright.

Review your policy once a year: Shop around every year to determine if you are getting the best rate for your policy. Things might have changed since you initially purchased your policy and try to capitalize on any potential discounts.

Lower Auto Insurance Costs

Buy what you need: If your car is paid off and older, drop the collision and comprehensive coverage on your vehicle. But first, assess your financial health — are you in the position to replace or repair your vehicle if you are in accident? If not, invest in the appropriate coverage.

Maintain a clean driving record: Did you get another speeding ticket? Consider slowing down because a good driving record influences your insurance rates. Insurers use this information as well as prior accidents to gauge risk.

Pay attention to your credit: Do you know your credit score? Pull your credit report and survey if there are any mistakes. An adverse credit record will likely drive up rates.

Remove towing from your policy: Paying attention to maintenance and planning will avoid those uh-oh moments of locking your keys in the car or running out of gas. If you are in accident, towing is usually covered by your collision insurance — it makes sense to eliminate extra coverage.

Shop insurance before you buy your new car: Certain cars carry higher rates for insurance — SUV’s, luxury cars or vehicles with special upgrades. Know insurance costs before you buy your car. Depending on the type of damage your car may inflict, the rates might go up. Also, when you settle on a policy, have a high deductible. Like your home insurance it is an easy way to drop costs.

Decrease Health Insurance Premiums

Open a health savings account: Want a tax free account to pay for health care costs? A health savings account has other bonuses, the amount rolls over year to year, you are able to continue it even with an employer change and after 65 you may use the money for any use. With this account, you are able to have a higher deductible on your health insurance and save costs on premiums.

Join a professional association: You don’t necessarily need to purchase health insurance through your employer. If you belong to a professional group, you are able to get group rates on insurance. It allows more flexibility to shop around for a lower rate.

Keep records of your healthcare expenses: Keep your health care record expenses handy during tax time. It might lead to a deduction!

Bundle your insurance: Many companies will offer a bundled incentive program if you purchase your car, home and health insurance from one company.

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