I'm trying to optimize my insurance, seeking any advice/tips. Currently everything is with State Farm. We are closing in on FI, so the main goal with insurance is to protect against catastrophic loss. For mid-sized losses, we can take the risk or consider the cost/value of the insurance. We've set our deductibles fairly high, but there is diminishing return in increasing them further.
Here's the current picture:
Car 1: Maybe worth 15k. Can be optimized by going to liability only, savings ~$250 annually.
Mileage: About 9k per year
Coverage: Liability 100k/300k
Coverage: Collision+Comprehensive with $1000 Deductible
Cost: ~$580
Car 2: Older car, worth less than $5k. Only need liability insurance.
Mileage: About 10k per year
Coverage: Liability 100k/300k
Cost: ~$575 per year. Higher than it should be due to a missing safe driver discount which is . I had a small claim a few years back that I shouldn't have bothered with as I think at this point it would have been worth paying out of pocket. Not sure if I can get this reduced yet.
Home:
Coverage: dwelling 350k, liability 500k. Too many exclusions to list. Hard to understand these policies!
Deductible: $2k
Annual Cost: $645
Umbrella:
Considering getting an umbrella policy, but not sure. It might be worth the extra piece of mind to protect assets. Depends on cost I think.
Life:
Have standard employer paid 2x policies. Recently cancelled additional life insurance as we are close to FI.
Total insurance costs are currently about 1800 annually.
Note my auto policy statement states I have the right to request my policy be re-rated using a current credit-based insurance score. Not sure exactly what this is, but it may help since. Current credit scores are around 850.
Questions:
Worth it to save $250 and be responsible for my $15k vehicle? (I'm strongly leaning towards saving the $250)
What coverage levels do I need for auto?
Should I do the credit-based insurance?
What coverage levels do I need for home?
Should I get an umbrella policy?
Any thoughts on how we're doing price-wise as is? Overpaying or about right?
How can I get a better deal overall?
What companies should I check out?
Should I consider an independent agent? How would I find a good one?
Any other advice/tips?
Thanks!