Home and Auto Insurance: Get the Right Coverage at the Right Price
The single annual call that often saves hundreds — plus the coverages most people set wrong.
Raise your deductibles
Raising deductibles from $500 to $1,000 (or $1,000 to $2,500) typically lowers premium 10–20%. Only do this if you can comfortably pay the higher deductible from an emergency fund.
Match liability to net worth
Most policies default to minimum liability limits. If you have meaningful assets, your liability coverage should at least equal your net worth. Otherwise a single serious accident can wipe you out.
Umbrella policy for cheap protection
A personal umbrella policy adds $1M+ of liability coverage on top of home and auto for typically $200–$400 a year. For anyone with assets to protect, this is one of the highest-value insurance dollars available.
Bundle, then verify
Bundling home and auto often saves 10–25%. But always compare bundled vs separate quotes — sometimes a different insurer for each is still cheaper.
Shop every 2 years
Insurance rates drift. Get fresh quotes every 18–24 months. Loyalty rarely pays in insurance — switching is often the cheapest path to lower premiums.
Watch the coverage limits
'Replacement cost' vs 'actual cash value' on home contents is a huge difference. Verify your dwelling coverage reflects current rebuild costs, which have risen substantially in recent years.
Frequently asked questions
What about credit and insurance rates?
In most states, insurers use credit-based scores. Improving credit often reduces auto and home premiums.
Should I drop comprehensive on old cars?
Once a car is worth less than ~10× the comprehensive premium, dropping comprehensive often makes sense.
Is renters insurance worth it?
Almost always — typically $10–$20 a month for coverage that protects your belongings and liability. Easily worth it.