Is Your Car Or House Insurance Due For Renewal?

03 Mar Is Your Car Or House Insurance Due For Renewal?

Most car insurance and house insurance policies need to be renewed every year. It’s at this time that your insurance provider sets your insurance premium and insurance cover in advance for the year ahead. Along with checking any changes to your policy premium, insurance renewal time is a chance to ensure you have the right level of cover to fit your needs for the year ahead. It’s also a good time to compare how your insurance stacks up against what’s available in the market and make changes that benefit you.

Is your car insurance or house insurance due for renewal soon? Read on to find out what you need to know.

How do I know when to renew my insurance policy?

When you set up an insurance policy, your insurance provider agrees to provide cover for house insurance or car insurance for a one year term. At the end of that term, insurance providers recalculate the cost of the insurance premium and make any changes to the insurance cover that are required. But before your insurance policy renews, you have a chance to review your policy and let your insurance provider know about any changes to your circumstances that could impact your insurance. Those changes are then applied to your insurance policy for the year ahead.

Most insurance providers send out a notification at insurance renewal time – either a letter in the post or an email – confirming your new policy details along with any changes to your premium. It’s important you carefully review these and contact your insurance provider or Insurance Adviser if you’re unsure about anything or would like to make any further changes.

What do I do at policy renewal time?

When your insurance provider lets you know that your car insurance or house insurance is due for renewal, here are some questions to ask yourself:

• Are there any changes my insurance provider needs to know about?
  Check that all details in your insurance policy are correct and up to date. If your circumstances have changed and the changes may impact your insurance cover, let your insurance company know about these. For example, if you have recently completed a home renovation project, check that your sum insured is still sufficient to cover the costs to rebuild your house. Or, if you have made certain modifications to your car that could affect its value, let your car insurance provider know about these.
• Do I have the right level of cover?
  Check the inclusions and exclusions listed in your policy document so you know what’s covered. Let your insurance provider know about any extra inclusions or things you want to remove from your policy. For example, if someone new is driving your car, or you’re using your home for business, these changes could impact your insurance policy and cover.
• Has the premium gone up or down?
  There are a few reasons why an insurance premium can increase or decrease. For example, if you made a claim during the year before, or you installed a new alarm system in your home, your insurance premiums may be affected.

If you’re unsure about the impact that changes to your circumstances may have on your insurance premium or cover, get in touch with the team at Max Insurances to go over your insurance policy with you and ensure you have the right level of cover to fit your needs.

Can I save money by switching insurance providers?

Insurance renewal time is not only a time for reviewing your existing insurance policies and ensuring they’re fit for purpose. It’s also a good time to assess how your existing insurance compares to others in the market. But it’s important not to focus on price alone. Here are some of the other things to look out for when comparing insurance quotes:

• Level of cover. Even if all policies are on the same tier – for example, comprehensive car insurance – the level of cover may differ between providers.
• Payment schedule. Some insurers offer a fortnightly or monthly payment option instead of an up-front annual payment, making budgeting easier. Others offer a discount for an annual payment.
• Service offerings. Being able to manage your policy online or use an online claims process could be a deal-breaker, making the insurance process much simpler.
• Discounts. Some insurance providers offer a discount if you already have another form of insurance cover with them.

If you do go ahead and switch providers, remember not to cancel your existing insurance until you have your new cover in place.

Get help at insurance renewal time

When it comes to choosing the right insurance cover, there are many factors to consider. If you’re unsure what to look out for, get in touch with an Insurance Adviser from Max Insurances. Our team of experienced advisers specialise in helping Kiwis arrange insurance NZ wide, and can help you compare policies and premium quotes to help you choose the right insurance, with inclusions and features that best meet your needs.

Find this article helpful? Don’t forget to like it or share it on Facebook.