When I first started out in the insurance business a fellow agent came up to me and questioned why I was telling people to increase their home or auto deductible to save money, she felt I was putting people in a difficult position if there was a loss.
Well, 26 years later I still have the same philosophy–that people should not insure the small losses that they can take care of themselves at the expense of not having enough coverage for a truly catastrophic loss. The only difference now is the deductibles are not $250, I advocate for $1000 deductibles. No one wants to part with a large deductible, however, if the philosophy is to only worry about the loss you cannot afford then you should insure yourself that way by paying out of pocket for the loss you can afford.
Putting the philosophy aside, the premium saved in many cases will more than make up the difference over time. For example, if there are two cars and the savings are $110.00 each six months by switching your collision deductible from $500 to $1000 it would take two and a half years of reduced premium payments to save the difference between the two deductibles. I think that is a risk worth taking, especially if you are a careful driver. The same holds true for your home insurance.
When you are ready to review your insurance protection plan, just contact me. We’ll design an insurance plan that meets your protection needs at the lowest possible cost.