For businesses, insurance can pay normal operating expenses, including utility bills and rent payment, in cases of an interruption due to fire or other disaster. Flood insurance is sold separately, and many in the Baltimore area might not think they need it. However, Schwab noted that flood insurance would also cover damage from a water main break, which is not so uncommon.
The best way to save money on insurance is to purchase several policies through a single agent, experts note. Also, review policies annually to reflect changing circumstances.
Boyle said homeowners that sadly lose their property to foreclosure often don’t think to cancel their policies and wind up paying for coverage until it expires. Likewise, households that downsize from three cars to two must cancel the extra policy to receive credit for less coverage.
Reviewing life insurance policies can also yield savings, said Schwab. To save the most money, be healthy. Smokers and those with diseases such as high blood pressure are penalized with higher premiums.
A good credit history often leads to reduced rates in home and auto insurance, the Insurance Information Institute points out.
Taking steps such as installing security systems in houses or cars can cut costs.
“Insurance is a big part of everybody’s budget,” Schwab said. Getting the right coverage at the right price is worth the extra time and effort.
(c) 2009 Dolan Media
