Regularly adjust the rates and coverage of your insurance

Insurance contracts represent a substantial item in the household budget: around 4,000 euros per year per family. This average obviously hides strong disparities. But, in any case, in general, these assurances are anything but superfluous. Seek to save money is therefore a double-edged sword, because, in the event of a claim, you risk not being covered, poorly compensated or not at all

Paradoxically, “insurance, the more we have the means, the more we have the possibility of doing without it. Conversely, the more we are in need, the more the consequences of a disaster are dramatic”, observes Patrick Cauwert, CEO of Feprabel (Federation of insurance brokers and financial intermediaries of Belgium). Last summer’s floods dramatically illustrated the repercussions of underinsurance or the absence of insurance.

Regularly analyze your contracts

What matters above all is “know if the protection available to you corresponds to your needs, your lifestyle and your current requirements“, summarizes Nevert Degirmenci, spokesperson for Assuralia. You must therefore start by regularly keeping an eye on the coverage and prices of your contracts.

Firstly because the policyholder is required to spontaneously declare changes (first job, marriage, purchase of a house, child, new professional status, death) which are likely to have an impact on his contracts.

In general, “it is by making a regular scanning of his contracts and by taking the time to discuss with his broker, every two to three years, that we can save money by flushing out a contract become uselessa possible duplicate (e.g.: 2 family insurance policies when getting back together) or a more attractive competing offer“, confirms Nevert Demirgenci. “It’s the best way, if not to save money, at least to feel comfortable with the covers that we have chosen and to better understand them”, confirms Patrick Cauwert.

When you make comparisons, keep in mind that insurers grant a loyalty bonus if you take out several policies, that some contracts provide for exclusions, while others do not… “It is essential to carefully read the general conditions, and in particular the exclusions. Because if 99% of the guarantees in a contract suit you, the one that is excluded could have the strongest impact in your case”, warns the spokesperson for Assuralia.

“It is essential to read the exclusions. Because if 99% of the guarantees are suitable for you, the one that is excluded could have the strongest impact in your case.”

Nevert Demirgenci

Assuralia Spokesperson

“Competition is fierce. Nothing prevents you from shopping regularly”, confirms Patrick Cauwert. You still need to know what you are comparing. “It’s not just the price. Loyalty to a company and a broker can change a lot of things in the event of a problem or claim..” On the other hand, go to the essentials. “Insurance is used to cover the big loss. Compensating the tablet that falls into the aquarium is not the essential vocation of fire insurance”, he declares, inviting not to fall into the trap.

Brokers have the digital tool (paid) WikiTree, which scans in detail the general conditions of insurance contracts and provides an objective qualitative comparison. An exercise that can be useful before a price competition…

The main difficulty with insurance is that we don’t all have the same perception of what is at stake. “A broker can easily identify a person’s insurance needs based on their personal circumstances, but ultimately everything will depend on the customer’s expectations and their perception. Whatever the price of the insurance, in the event of a claim, it will be profitable. But we are in the pure hazard”, summarizes Patrick Cauwert.

Duplicates, numerous… but inexpensive

It often happens that we take out contracts that (partially) cover the same risks. The insurance juridic protection, assistance or travel, included in a series of fonts, are typical examples. These duplicates are not not necessarily avoidable, and their financial impact is enough limit. “It is not possible to remove them. Tracking them will therefore not be profitable and could even prove to be counterproductive” warns Patrick Cauwert. A double insurance can indeed be useful in some cases. For example, “if the compensation limit of an insurance is reached following hospitalization abroad, you can apply for your other contract”.

“Duplicates are not necessarily avoidable, and their financial impact is quite limited. In some cases, double insurance can even be useful.”

Patrick Cauwert

CEO of Feprabel

Finally, it happens that by giving up insurance, you lose additional coverage without being aware of it. “You suspend car insurance while buying a car and, suddenly, you are no longer covered for assistance for your holidays”, for example.

These small insurances as expensive as superfluous

There are insurances that you can certainly save on. Because if the premiums of a few (tens of) euros seem at first glance insignificant, the rate is prohibitive. The price of these insurances is therefore exorbitant.

Avoid contracting
travel insurance at your travel agency. “As soon as you make more than one trip, it is more interesting to opt for a year-round contract which also covers you regardless of your known or unknown previous state of health”, recommends Patrick Cauwert.
– an insurance fuel price increase.
– the insurance smart phone or PC. The price is exorbitant for a non-existent service and never any reimbursement (according to the report of the Insurance Ombudsman).
– them appliance warranty extensions.
“Unless that reassures you, because let’s repeat it, it all depends on what you expect from insurance and your priorities”, insists Patrick Cauwert.

Increase the deductible to lower the premium?

Companies rarely offer/agree to increase the deductible to lower the premium. It’s not up to date. The legal deductible is currently 250 euros. However, raising it to 1,000 euros should not be a problem for most middle-class people,” said Patrick Cauwert. The problem, he continues, is that “when people pay a low premium , the day there is a disaster, they forget the savings they have made for months or years. They then focus on the more salty franchise and are unhappy”, he notes. This probably explains the low popularity of the formula…

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