Today, I want to talk to you about another way you can reduce your insurance premiums. And this would apply whether it’s automobile insurance, homeowner’s, or whatever.
The Insurance Companies’ Business Model
As you know, insurance companies have a very clear business model. Basically, the premiums that they charge you are based on the amount of risk that they’re going to undertake.
So it’s a good idea for you to be proactive and let your insurance company know what steps you’ve taken to reduce their risk, which will thereby reduce your premiums.
How To Reduce Your Car Insurance Premium
Let’s talk about your car. Does it have any particular safety features? These days, some cars will automatically hit the brakes if they sense a collision. Your insurance company won’t always ask you whether you have that feature. You need to be proactive and let them know if you do.
The same is true if you have any kind of special computerized features on your car that can help avoid accidents. Always be sure to let them know.
Lower Your Homeowner’s Insurance Premium
On the homeowner’s side, your rates can be affected by whether or not you have a security system, whether or not you have security cameras, and whether or not they’re monitored.
They are also affected by whether or not you have electronic door locks or something they call bump proof keys, where people can’t just use those little tools and pick your locks.
The biggest thing I want to let you know about, especially if you live in the New Orleans area, is this. I’m sure you’ve seen those little lights on top of the poles around town that flash red and blue. Those are crime cameras and they are run by what’s called the Real Crime — I mean, the Real-Time Crime Center.
The Real-Time Crime Center’s Program
I’ve been fortunate enough to visit that Center and find out about the program they have, and it’s incredible. They don’t have enough cameras around town. And so they’re trying to get people that do have security cameras on their system.
This allows those people to be monitored by the police and get faster police response times. And it also gives the city a free way of jumping onto their camera systems to monitor more areas of the city.
I think you can do it for free. Either that, or there may be a very minimal cost just for the setup of it to get you hooked into their system. But if you do that, and I’m in the process of doing it right now myself, make sure you let your insurance company know that you’re being monitored by the New Orleans Police Real Time Crime Center. That may also bring your premiums down.
So you can see from just a few examples that if you comb through the security features that you have in your life, make sure to let your insurance companies know about them. Don’t rely on them to ask you. I hope this is helpful.