Property Claims are on the rise.
Insurance companies choose pricing on policies to bring them customers they WANT to insure.
Paying your bill, and being financially reasonable is a big step towards keeping you on the WANTED list.
Pricing can be complicated and insurers tweak their offerings all the time to attract MORE of the risks they want, and LESS of the risks they don't want.
STAY ON THE WANTED LIST!
Once renewal rolls around though, that's when you'll see the additional costs.
This leads to shopping for coverage elsewhere right away, and your options are often less attractive.
PAYMENT IN FULL?!
If you decide to go elsewhere "since this is ridiculous" you're likely to have an even higher premium elsewhere since you've been removed from the WANTED list.
Tons of people end up getting cancelled for non-payment simply because they didn't know it was a big deal, or they didn't think it affected them.
I knew a guy who put a 'stop pay' on his payments after he sold his car since he didn't need it anymore.
I'm not kidding.
Rather than calling and cancelling it like most people, he just pushed his future self off an insurance rating cliff.
If you’re living paycheck to paycheck and you sometimes have to ask: "WHICH BILL IS GETTING PAID THIS MONTH?"
You can save FUTURE YOU some money by putting your insurance bill near the top of the pile.
Matt Davison is a
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