Shumway Insurance Agency

Auto Insurance Tips

1. One Insurer, Multiple Policies -Almost every insurance company that sells auto insurance wants its policyholders to also buy homeowners or renters insurance from that company.
These insurers offer so-called multi-policy discounts. Usually, these discounts are at least 10%, and some insurers apply the discounts to both the auto and the homeowners/renters policy.

* Tip. Talk to us about multi-policy discounts.

2. Don't Over Insure Older Cars-Older cars with Comprehensive and Collision coverage could be bleeding you dry. Multiply the price you are paying for comprehensive and collision coverage by 10, then look up the value of your car with a site like kbb.com. If your car is worth less that that remove the coverage and watch your savings add up.

3. Get the Right coverage-Too much coverage may have you paying a lot in insurance premiums each month, but too little coverage could have you writing much bigger checks in the event of an accident. Check with us to see what coverage amounts may be best for you.

4. Save 50% or more by avoiding Tickets-They will cost you not only in surcharges, but with the loss of preferred driver discounts.  The cost of a single ticket can increase your premium 50-60% and the cost of a DUI can triple the amount you pay for auto insurance. Slow down, save More.

5. Keep Covered -Letting your policy lapse can be a costly mistake that keeps you from getting a prior insurance discount in the best case and has you paying out of pocket in the worst. Remember Murphy's Law and keep your coverage in force.

6. Drop Unnecessary Coverage -Are you paying for coverage you already have elsewhere, like towing services or roadside assistance? If so, eliminate unnecessary costs and save money.

7. Raise Your Deductible -Save Up to 40% - Increasing your deductible from $250 to $1,000 could save you up to 40% on your comprehensive/collision premium

8. Purchase a 12 month policy -Eliminate six-month price increases and reviews with an annual policy.

9. Install anti-theft systems -Protecting your vehicle from theft with alarms and tracking systems such as LoJack can save you 5-10%

Tips to Save on Home Insurance

1. New Is Better -Insurers really like newer homes. That's because it's less likely something will go wrong with the electrical, heating and plumbing systems. In addition, the structure itself is in better shape. Insurers offer discounts of as much as 8% to 15% if your residence is new.

2. What is your home constructed of?-It's better from an insurance perspective to have a brick or masonry residence because such a structure has a greater resistance to wind and fire damage.  Also, metal or tile roofs have less risk of wind or fire damage and thus have a lower premium rating.

3. Insure the House, Not the Land -Nobody is going to steal your land. Fire and high winds won't "destroy" it. As such, when deciding how much homeowner's coverage to have, don't include the value of the land, only the construction replacement cost of the house and any other buildings on the property. If you include the value of the land, you're paying too much.

4. Better Safe(r) Than Sorry -Smoke detectors, burglar alarms and deadbolt locks are usually worth discounts of at least 5%. You can get even bigger discounts, 15% to 20%, if you install a sophisticated sprinkler system or an alarm system that rings at the police station or a security company.

5. Don't Insure What You Don't Have -Each year you should review your policy to see what coverage you have for your possessions. If you have made a major purchase, you will want to increase your limits of coverage, but what if you sell something or some things? You don't need as much coverage. Pay particular attention to items that are covered by endorsements or "floaters" to your policy, items such as jewelry and computer equipment.

6. Raise Your Deductible -The deductible is the amount you pay before insurance kicks in if you have a claim. For example, if you have a $250 deductible and you file a claim for $1,000 in damage to your home, you pay the first $250 and your insurer pays the balance, $750. The higher the deductible you choose, the more you pay. Also, though, the higher deductible, the less you have to pay for your policy. Depending on the insurance company, you can save between 12% and 37% if you have a deductible of $500 to $5,000.

7. One Insurer, Multiple Policies -Do you have an automobile insurance policy? If so, is it with the same insurance company that provides your homeowners insurance? If the answer's no, you're paying too much -- for both policies. Almost every insurance company that sells homeowners insurance wants its policyholders to also buy auto insurance from that company. These insurers offer so-called multi-policy discounts. Usually, these discounts are at least 10% -- and some insurers apply the discounts to both the auto and the homeowners/renters policy.

8. Don't Jump Around - If you've been with an insurer for a while and you like that insurer, stay put. Some insurance companies automatically have discounts for policyholders who have been with the companies for a certain number of years. For example, 5% for at least three years, 10% for at least five years.

9. Where There's Smoke . . . There's fire- Smoking (unattended cigarette butts, etc.) produces more than 23,000 residential fires in this country each year. Shumway Insurance Agency is committed to providing you with the best coverage out there. We are honest professionals that work to get you what you need when you need it.