Mind the Gaps – Conduct an Insurance Review!

When was the last time you looked over all of your insurance policies? If it’s been a few years, there’s a chance that you’re not as covered as you should be – or you’re paying needless premiums.

Whether your goal is to fill the gaps or save money, it never hurts to conduct a review of your insurance. Here are some steps you can take.

Step 1: Prep

Prepare for your insurance review by gathering the most recent copies of all your policies in one spot. If it took you a while to gather all your information, take this time to get organized! It doesn’t matter exactly how you organize your policies – the important thing is that you can quickly find that information when you need it.

Once you have all the pieces together, review what you currently have. Take a look at deductibles and premiums and what’s actually covered and make notes if that helps you.

Step 2: Ask Questions

The goal of this step is to figure out what’s working for your lifestyle and what has become insufficient coverage. Don’t worry, we’ve compiled some questions to get you started for each major insurance category.

Health Insurance

- Does your plan cover your prescriptions?

- How old are you? If you’re approaching age 65, it may be time to start looking into Medicare.

- How much are you paying out of pocket for expenses? Are your current costs acceptable for your income?

- If you have a high deductible, do you qualify for an HSA (Health Savings Account)?

- What does your network look like? Are your preferred clinics or doctors considered out of network?

Auto Insurance

- Is your auto insurance bundled with your homeowners/renters insurance? Many insurance companies offer discounts for bundles.

- Are there primary drivers you need to add or remove? Are there drivers that could be classified as “occasional”?

- Have you been driving a lot more or a lot less?

- How does the medical coverage compare to your health insurance? If you’ve recently updated your health insurance, you may be able to scale back your auto insurance’s medical coverage.

Homeowners/Renters Insurance

- Has your property value changed?

- Have you made significant changes to your home, such as adding a pool or renovating the kitchen?

- Are all your belongings covered? Have you updated your insurance since you’ve made purchases of significant value, such as expensive jewelry or electronics?

- If you have a second home or rental properties, are they adequately covered?

Life Insurance

- Has your family size changed recently? (e.g. a birth or death in the family; a divorce or marriage)

- Has your income changed significantly since you last reviewed your policy?

- Has your health or lifestyle changed significantly in recent years?

- Are your beneficiaries up to date?

- How is the interest rate environment? Does this affect your policy?

- What’s the overall status of your insurance carrier? Can a competitor offer a better deal?

- Have any new policy options been introduced since you took out your life insurance?

Other Insurance Options

- Have you added a new pet to the family? Determine if you want to get pet insurance, too.

- Are there any extra discounts you can take advantage of?

- Would umbrella insurance provide coverage that your other policies don’t? Umbrella insurance provides additional protection on top of your other policies. It’s a good option for those who want to cover additional assets or protect against lawsuits or liabilities.

- Have you considered disability insurance or long-term care insurance?

Step 3: Take Action

If you can’t answer some of the above questions, aren’t sure what your current policies actually cover or have more general insurance questions, don’t be afraid to contact your insurance agent or provider. They’ll be able to help you fully understand your policies and your options.

If you discover gaps or redundancies in your coverage, take action right away. Contact your insurance carrier to adjust your terms or bundle policies. Don’t be afraid to switch carriers if another one offers a better deal or better coverage.

Remember: Honda FCU members can also take advantage of discounts on life, auto and AD&D insurance through TruStage™. It’s just one of the many ways we show we care.

Don’t wait to conduct your insurance review. The sooner you’re covered, the sooner you can rest easy!

Links:

https://www.hondafcu.org/investment-retirement/insurance