An important part of our job as your Atlanta independent insurance agent is to educate you on why insurance matters and why it is worth the money you are paying…no matter how frustrating it may be when you feel there is nothing you are receiving in return. We have an entire article on this feeling here!
A natural reaction to premium rate increases is to complain and look for ways to cut insurance wherever possible. We get it because we all like to save money, too! But, we’re here to tell you that insurance is probably the primary expense in your life that could actually hurt you when you reduce it (unless you are moving to better coverage!). Your neighbor may be “saving 15% or more on their car insurance” with one company, but we can almost guarantee their contract and claim philosophy are not going to be the same at the time of a loss. To be clear, we always want you to have the most cost-effective program, but not at the expense of coverage or partnerships you actually need.
With this in mind, here are 10 unnecessary expenses you can cut in your life in order to save for the ones that matter most – such as your insurance!
- Your daily coffeeshop ritual. Buying one $3 coffee each day on your commute to work will cost you about $800 each year. If you switch to K-cups (an average $0.75 each) at home instead, you’ll save $600. And it’s faster! This one is a no-brainer.
- Eating out. It’s convenient, but it also costs quite a lot more than cooking at home yourself. For lunch, consider cooking meals in bulk and freezing them to take to work. Find a recipe your family would like and make it an activity to cook it together one night! And if you must eat out, switch to ordering water. A family of four that orders drinks at a restaurant will pay $14.40 each meal. If you eat out four a month together, that’s $691 per year on drinks alone.
- Ladies (and some men now too!), do you realize that you’re paying upwards of $400 per year if you get one $30 manicure each month? Maybe have your husband give you a scheduled foot rub every other month instead! ($180)
- Low deductibles. This is something a call or email to us can help you with! Higher deductibles equal lower premiums. Maybe your vehicle is fifteen years old now and doesn’t need physical damage coverage anymore. Or, perhaps it’s been a while since you’ve reviewed your home coverage and you now can afford a $2,500 deductible over a $1,000 one. This is something we are happy to discuss with you. ($250)
- Going to the movies. Going to the movies is getting more and more expensive at an average rate of $9 per ticket nowadays.1 And of course you’re going to stop at concessions. A night at the movie theater can cost your family anywhere from $50-$100. You’ll pay about $2 to rent a movie at Redbox. A basic Netflix account is only $7.99 a month. ($350)
- Heating and cooling. According to gov, you can save up to 10% each year by simply turning your thermostat back 7o-10o for 8 hours a day from its normal setting.2 In the winter, you can save by setting the thermostat at 68o while you’re awake and setting it lower while you’re asleep or away from home. Follow the same strategy in the summer by bumping up to 78o. The smaller the difference between the indoor and outdoor temperatures, the lower your overall cooling bill will be. Smart thermostats are something to consider, as well. ($360)
- Recurring Software subscriptions. A recent study showed that people estimated their monthly cost on these “only $9.99 per month” subscriptions to be $79.74 per month. However, the ACTUAL cost after reviewing each category was $237.33! If you could just drop half of these subscriptions you likely never use it would save $1,416 annually! ($1,416)
- Outsourced housekeeping and lawn care. If you hire cleaning help in Atlanta, you’re paying $22 per hour on average.3 Insource household tasks wherever possible. Give your kids a sense of responsibility and accomplishment – while also saving money – by assigning household duties to them. Teach Junior how to cut the grass or Susie how to run the vacuum. Or, carve out time each week to do it yourself. There’s nothing like a self-cleaned and maintained home to be proud of and enjoy! ($572)
- Buying name brands. Buy generic when you can. Look carefully at the ingredients and see how similar they are. If they’re fairly close, consider buying the generic brand from now on and notice the savings! ($600)
- Cell phone/cable bill. Reevaluate your plans and ask yourself if you absolutely need the package you’re paying for. The average American is now paying $216 per month on these and cutting out just 15% a month will save you $388 a year. ($388)
If you cut out each of the above-mentioned items, you can save $5,407 over the course of one year! That’s money back in your pocket without risking the protection of your family. We know you can’t touch insurance but trust us, it will make a life-changing impact when the unexpected occurs.