Auto Insurance Premium Tips

Are you facing high premiums and struggling to pay your monthly minimum due for your auto insurance? If yes, then here are some helpful suggestions for you to discuss with your agent.

1. Check into higher deductibles for you comprehensive and collision coverage’s.

2. Check into different forms of collision coverage; there are 3 – Broad, Standard, & Limited.

3. Ask to make sure all discounts are on your policy, such as: Multi-Policy Discount, Group Discounts, Safety Discounts, Insurance Score Discounts, Multi-Car Discount, etc.

However, always remember when making changes to your policy never cut yourself short. Always make sure you have the coverage you NEED for you personally. Never trade value for price.

-Joshua M. Phillips, CISR

How Is My Replacement Cost On My Home Created?

It starts with a few questions : such as, square footage of the house, type of siding, how many stories, attached or detached garage, and so on.

We then take that information and input it into our MSB software which then comes back with how much it would cost to rebuild the house from the ground up, including debris removal, as if it was a total loss.

Sadly, the cost of building materials increase each year so that’s why you might see your Replacement Cost (aka RC) higher than what you might expect.

A popular misconception is that the market value of your home plays a part in the homes Replacement Cost. The market value only says how much the house is WORTH, where as Replacement Cost states how much it costs to REBUILD.

If you look at your policy you will see your Replacement Cost Coverage Amount under Coverage A.

Collision Coverage On Older Cars?

There are several considerations to help you decide the answer.

Is collision coverage on an older vehicle necessary? This aspect affects the premium of your auto policy more than any other coverage. You need to ask yourself: “If you end up getting involved in a collision that ends up in a total loss for you vehicle, will you be able to afford to replace it with something of comparable worth?”

Before looking into removing collision coverage off you policy, discuss with your agent other forms of collision coverage options, such as the following:

1. Broad Form Collision : the most expensive form of collision coverage, but it allows your deductible to be waived in the event of a NOT at-fault accident.

2. Standard Collision : the second least expensive option. You pay the deductible no matter who is at fault. All of these have higher and lower deductibles.

3. Limited Collision : the least expensive collision coverage option. It generally has a zero dollar deductible, but there’s a catch. If you are not at fault in an accident, your vehicle damages are covered with no deductible. However, if you are deemed at fault, you have absolutely no vehicle damage coverage. I like to call this the ’50/50 gamble’


1. Use Kelly Blue Book to discover the value of your automobile.

2. Analyze your personal finances to see if you can afford to replace it.

3. Call your insurance agent and discuss other collision options to help lower your auto premium.

Homeowner E & F Coverages

This is the liability section of your homeowners policy.

Coverage E : is your Personal Liability. So lets say someone comes over and slips on some ice and breaks their back, they could sue you. This is where your Personal Liability comes into play. How much liability should you purchase with your policy you ask? As much as you can afford.

Coverage F : is for Medical Payments. So with the same scenario as up top this coverage would also come into play. So if the individual slips and falls you can make a claim to have your insurance pay the first $1,000, $5,000, or whatever you coverage limit is of the individuals medical bills as a good faith gesture to prevent him from wanting to file a law suit against you.

*All above are subject to deductible.

If you have any questions please feel free to post a comment and ask away.