It may not seem like an exciting topic now, but hopefully, by the end of this article, you’ll be psyched to add annual insurance reviews to your to-do list! So let’s start with what exactly an annual insurance review even is. Basically, it’s just going over all of your insurance policies to make sure they still accurately reflect your life, your needs, and your financial situation.
It’s pretty simple, right? Now for the more important question: why do you need them? Many people are unaware of how much small life changes can affect an insurance policy.
Here are some of the most common ways that small changes can have a huge impact.
Small Changes With Big Consequences:
- Change in value
- Change in circumstances
- Change in who or what is covered
- Updated discounts &/or options
That’s a good start. Those cover the most common situations. Let’s get into the specifics of each.
Change In Value
Common sense dictates that insurance should be enough to cover you in a crisis, so people tend to get the coverage that most closely matches the value of what they’re trying to insure. The problems arise when the values change but your policy doesn’t. Your values and coverage should always change together!
Change In Circumstances
This one covers the big life changes. Is your marital status, number of children living with you, or income the same as it was when you got the policy? If not, you could be missing out on big savings, or worse, not covered as well as you need to be!
Change In Who Or What Is Covered
This just refers to the number of people covered to drive your car, the amount of property you own, how many cars you have, etc. Your old coverage may not include things that you’ve since added.
Updated discounts &/or options
Insurance companies are always coming out with new programs, savings methods, discounts for things like bundling, and even the things they’ll cover or how they’ll do so. If you don’t check into those things regularly, you could potentially be missing out on huge savings.
Takeaway
Insurance is important. We rely on it to keep us safe and secure from the unknown. With so much riding on them, they can’t keep being so neglected.
You need a yearly checkup to make sure you’re healthy, and so does your insurance. Much like the local doctor that you trust to do your physical, AAG Insurance is here to give your policies a once-over and make sure they too stay healthy. Contact us today to schedule your annual insurance review!