Whether you’re renewing your car policy or considering new coverage for your home, certain insurance decisions, or negligence, can end up costing you more in the long run. Many people unknowingly overlook key aspects of their policies, shop around too frequently, or make late payments. Staples and Associates has insight on the bad insurance habits you should kick in 2025. 

Common Pitfalls That Could Raise Your Insurance Premiums

Putting Price Over Coverage

Price is important, but inadequate coverage can cost more in the long run if you’re underinsured. You need to HAVE insurance before you NEED it.

Not Reviewing Your Policy

Meet with an agent annually to check your policy, avoiding outdated coverage and ensuring you are receiving all possible discounts.

Forgetting to Update Your Policy When Major Changes Occur

Marriage, having kids, buying a home, major home repairs, or starting a business should trigger a policy review.

Late Premium Payments

Whether it’s monthly or paid-in-full, late payments can result in additional fees, affect your insurance score, or in some cases trigger policy cancellation.

Not Taking Advantage of Bundling

Often some of the largest discounts a carrier can offer is the home/auto discount and depending on the carrier could result in your eligibility for an umbrella policy

Ignoring Policy Exclusions

Some people assume all damages are covered, but exclusions can leave them vulnerable. It’s important to read the insurance documentation you are either signing or already have in place.

Shopping Insurance Frequently

Every client has an “insurance score” that can be affected by your payment frequency, renewal history with a carrier, and sometimes even your credit. Some carriers rely on this score to determine if they want to accept the risk. Changing insurance companies frequently can affect your insurance score negatively. Learn more about insurance scores. 

Filing Too Many Small Claims

Before filing a claim, it’s important to consider the potential impact, as some claims may become chargeable. This doesn’t mean you shouldn’t use the insurance you pay for, but rather, it’s worth evaluating whether the situation is significant enough to warrant a claim. Insurance is designed to provide financial protection in times of true need, rather than for minor incidents.

It’s important to speak to a licensed insurance agent to make sure you have the appropriate coverage. Get your questions answered by scheduling an appointment with a Staples and Associates agent today.