New Year’s Resolutions for Insurance

Whether your dream is to start a business or train to run a full marathon, the New Year is a great time to set goals! And, though you may be focused on tackling your new challenges, the New Year can also be a great time to evaluate your insurance needs to make sure you’re on track for the upcoming year.

A lot can change in a year, and when you reflect on the last twelve months, you might realize that some of those changes could greatly affect your insurance needs. We’ve fashioned a list of insurance-focused New Year’s Resolutions to help you set things in motion and head into the year with confidence knowing you’re properly protected — because even though you can’t always plan for the unexpected, you can be prepared.

Get Proper Protection for the Road

When’s the last time you took a good look at your auto policy? It’s easy to renew your coverage year after year without giving much consideration, but now is the time to give your car insurance policy a solid look through — ask yourself these questions to make sure you’re getting the most out of your car insurance:

Are my coverage limits enough? One of the biggest mistakes someone makes when it comes to car insurance is being underinsured. Though most states legally require a minimum amount of liability coverage for auto insurance, many accidents may cost far more than your state’s minimum requirements. That’s why, according to the Insurance Information Institute, the insurance industry recommends a minimum of $100,000 of bodily injury protection per person and $300,000 per accident. Take a look at your insurance policy — are your limits high enough?

Do I understand my coverages? Are you confused by the different coverages listed on your cards? Make sure you hit the highway with the right coverage and coverage amounts by taking a quick look at our car insurance coverages.

Am I covered if a driver hits me and they don’t have car insurance? Look for Uninsured Motorist Coverage on your card. This type of coverage helps protect you financially in the event you’re in an accident caused by a driver who doesn’t have car insurance. It’ll even protect you if you’re the victim of a hit-and-run or if you’re hit as a pedestrian. Here's more on what to do if you're in an accident with an uninsured driver.

Update Your Home Inventory

Part of your renters or homeowners insurance is designed to cover your personal possessions if you face a covered loss — but only up to your policy limits. That’s why it’s important to maintain a current record of all your belongings. Did you receive some expensive gifts this year, such as jewelry or art? Or maybe you finally invested in that big-screen TV. You wouldn’t want something to happen to your home that leaves you paying out of pocket to replace these expensive items, right? Now is the perfect time to reassess all of your belongings and update your home inventory so your coverage limits meet your needs. Your agent will help you determine if you need additional coverage for certain high-valued items.

Evaluate Your Homeowners Insurance

Maybe your resolution last year was to renovate your kitchen, or perhaps you finally finished your basement. Either of these updates would affect how much your home is worth, so check-in with your agent to see if you should increase your coverages. A hot tub, swimming pool, trampoline — all fun additions to make, but additional liability also comes with the territory. Again, your agent can help you determine what warrants more coverage. They want to make sure you have the right coverage in place to give you peace of mind.

Invest in Life Insurance

Whether you already have life insurance or you’ve been sitting on the fence, investing in life insurance is a way of showing you care about your loved ones’ futures. If you already have a policy in place, think about how much has changed since you first bought life insurance. Maybe you got married, had your first child (congrats!) or you’re now an empty nester — all these are good times to look at your current coverage.

Don’t have life insurance yet? Investing in life insurance is a crucial element of sound financial planning, and, from income replacement to final expenses, it protects you financially in more ways than you may think. Also, the cost of life insurance largely depends on your age and health, so the younger you are when you get it, the less expensive it’ll be. Here are six reasons to buy life insurance today.

Check Your Beneficiaries

Did you know that the beneficiary listed on your life insurance policy takes precedence over anyone listed on a will? For instance, if your parents are listed as beneficiary on your life insurance policy, but you updated your will with your spouse as your life insurance beneficiary, it’ll be the name(s) listed on your life insurance policy who receives the death benefit. So if you want to add or remove anyone as a beneficiary on your life insurance policy, there’s no time like the present to call up your agent and make sure you’ve got everything properly in place.

Not sure who to list as your beneficiary? Here are some pointers to help you better understand who to choose as your life insurance beneficiary.

Consider Umbrella Insurance

Think of umbrella insurance as a super reinforced safety net for all the things that matter most to you. It’s an extra layer of protection for your home, auto, and other primary liability coverages. Imagine facing a substantial lawsuit or getting into a serious car accident that goes above and beyond your policy limit. An umbrella policy offers coverage for those unexpected instances where your primary coverage exceeds its limit. You might consider a personal liability umbrella policy if you:

  • Drive a car or participate in carpools
  • Have dogs
  • Travel
  • Own or use a boat, ATV, snowmobile, etc.
  • Have a swimming pool or trampoline
  • Own a home or rental properties
  • Coach youth sport teams

Download the MyAmFam App

It won’t take long to download the MyAmFam app, where you’ll enjoy the convenience and flexibility to pay a bill, view your insurance card, get roadside assistance and much more — right from the palm of your hand.

Ask about Discounts

Usually, your agent is on top of their game to make sure you enjoy all the discounts for which you qualify, but as your life changes, so does your discount eligibility! Ask your agent if there are any new discounts you qualify for to make sure you’re getting the best price for your protection.

Get to Know KnowYourDrive

Make this year the year you become a safer, smarter driver. KnowYourDrive is our usage-based insurance program — it helps you take control over what you pay for your car insurance, because the safer you drive, the higher a discount you can earn on your premium. Interested? We’ll give you a 5% discount just for signing up.

Schedule a Personal Insurance Review

It doesn’t have to be a time-consuming hassle to cross off all the items on your insurance resolution list. Scheduling a Personal Insurance Review (PIR) for some one-on-one time with your agent will help you take care of all the updates at once. And, because your agent cares about providing you with the best support and knowledge, they’ll help you knock off a few other insurance-related things that you may not know to ask.

At American Family Insurance, we want to help support you and the goals you’re pursuing. Connect with your agent today to schedule a Personal Insurance Review — because taking the time to evaluate your insurance needs is one of the most important things you can do for you and your family. Best of luck with all your New Year resolutions!

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Related Topics: Insurance Needs , Discounts , My Account , Insurance Terms