(6) Assuming Group Insurance Is Cheaper
It is one of the biggest yet common insurance buying mistakes to avoid while buying group policy. Your group policy should provide coverage to a defined group of people. It may include members of a society or professional association, or even employees of a particular employer.
Some of the coverage provided by group policy includes life insurance, health insurance, or even auto insurance. These group insurances are often available at a great discounted rate as compared to individual coverage.
But, people often make big mistake when they plan to purchase extra or additional coverage for an extra charge. These insurers often boost their policy rates every five years rather than locking in a fixed rate for a period of 20 to 30 years.
Thus, if you are looking to get additional coverage then it will be much better option to get best insurance deals from someone else.
(7) Buying On Inertia
It is one of the highly critical & common insurance buying mistakes to avoid. You had find out best insurance deals with lowest premiums a few years back. But, your rate of premium may change after you experienced some major changes in your life.
Some of the changes that can boost your rates of premium include married to someone, moved to a new state, buying a new car, or your teenager start driving, etc.
This is a common mistake in which people start believing that insurer who provided best deals few years back will also be cheap in current situation too.
You should never forget to ask price quotes from several insurers after experiencing a major change. Now, compare them wisely to find out the best insurers for you. You can also take the help of a professional agent.
Image Source: Shutterstock