Insurance isn’t something most people think about until they need it—but by then, it’s often too late to make adjustments. Whether it’s health, home, auto, or life insurance, reviewing your coverage regularly ensures you’re not overpaying or underprotected. The truth is, insurance needs change as your life changes, and timing matters. Knowing when to check, compare, and switch plans can save you hundreds—or even thousands—each year while giving you better protection.
The Annual Check-In: Once a Year, Every Year
The simplest rule for managing insurance is to review your policies annually. A once-a-year check keeps you aware of coverage details, rates, and any changes your provider may have made. Many experts recommend reviewing around the same time each year, such as when your policy renews or at the start of the calendar year when finances are top of mind.
During your review, ask yourself:
- Have I had any major life changes in the past year (new job, new home, marriage, or kids)?
- Have my income or expenses changed enough to impact my coverage needs?
- Have I made improvements to my home, added a new car, or taken on new debt?
- Are there any new discounts I might qualify for (security systems, safe driving, or bundled policies)?
A quick annual audit can reveal gaps in protection or opportunities for savings that you might otherwise miss.
Health Insurance: Open Enrollment Season
If there’s one time of year when reviewing insurance is absolutely essential, it’s during open enrollment. For most Americans, this period runs from early November through mid-January, depending on your provider or employer. It’s the only time you can switch health plans, update coverage levels, or add dependents without a qualifying life event.
This is your chance to compare plans, check for network changes, and assess whether your current plan still fits your needs. Maybe you’re visiting doctors outside your network, paying higher premiums, or not meeting your deductible. Reviewing these details during open enrollment helps you adjust before another year of high medical costs locks in.
If you’re self-employed or working as a freelancer, mark your calendar for open enrollment under the Affordable Care Act (ACA) marketplace. Even if you’re happy with your current plan, check for updated subsidies or new offerings that could lower your monthly premium.
Auto and Home Insurance: Before Renewal or Major Life Events
Auto and home insurance are typically renewed every six or twelve months, making renewal periods the perfect time to reassess your rates. Don’t automatically accept a renewal notice—compare your policy against at least two other providers. The insurance market fluctuates, and companies often adjust rates based on broader trends, not your individual record.
It’s also smart to review or switch your policy after big life changes: moving to a new area, adding a teen driver, buying a new car, or making major home improvements. Even upgrading your security system or adding a garage can affect your rates. A quick call to your insurer could result in a better deal or a new discount you didn’t know existed.
Life Insurance: Every Milestone Matters
Life insurance needs shift as your life evolves. The best times to review are when you experience major milestones—marriage, having a child, buying a home, or starting a business. Each change affects your financial obligations, and your coverage should grow with you.
Even if nothing major has changed, it’s smart to review your life insurance every few years to ensure your beneficiaries are up to date and that inflation hasn’t eroded your coverage’s value. If your policy includes an investment component, review performance and fees to make sure it still aligns with your goals.
After a Rate Increase or Claim
If your premium suddenly jumps or your insurer denies a claim, it’s time to shop around. Rate increases aren’t always tied to your behavior—sometimes they reflect company-wide adjustments or rising costs in your area. Comparing plans helps you see whether the hike is justified or if it’s time to switch providers.
The best time to review or switch your insurance plan isn’t when something goes wrong—it’s before it does. A proactive approach keeps you protected, prevents surprise rate hikes, and ensures your coverage evolves with your life.
By setting aside time once a year—or after key milestones—to review all your policies, you can find better deals, adjust your coverage to match your needs, and maintain peace of mind knowing your safety net is as strong as it should be. Insurance isn’t a set-it-and-forget-it purchase; it’s an evolving part of your financial health that deserves regular attention.
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