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Natural disasters that just slam you.
They slammed insurance companies to last year from hurricanes to tornadoes -- earthquakes causing damage.
There were some 35 billion dollars in insured losses last year alone that's according to the Insurance Information Institute.
Because -- says many analysts say gonna pay more for your homeowner's insurance.
My next guest says now's the time to be pro active in finding ways to -- Bob Russell.
Is the CEO of the -- -- -- insurance agents and brokers of America Bob welcome to the show.
Good to be with him.
Our -- so I look I now -- there -- a lot of natural disasters.
The largest of those non in this country obviously.
But tell me why I'm gonna pay more next year.
Well as you mentioned there's been 35 billion dollars in insured losses in the country in 2011.
That's the fourth record year in a row of insured losses in the United States but globally.
We've seen a 108 billion dollars in insured losses in 2011.
As you mentioned earthquakes and -- in Japan earthquakes in New Zealand -- that are.
How much sir that how much your premiums gonna go out.
Well the average premium in 2008 was around 791.
Dollars last year is about 807 dollars and the Insurance Information Institute is.
Estimating that the average premium for 2012 will be about 840 dollars.
Well let me interrupt -- there for -- -- second his.
They go up every year and looks like I'm paying more for my homeowner's insurance every single year.
True you did have a lot of disasters to pay for -- last year but it seems like they go up -- -- have a lot of disasters to pay for not.
How much more can I expect to pay -- in 2012.
Well as I -- and it is the current average premium right now is about 807 dollars they predict the current average premium will be approximately about 840 dollars for 22012.
So we're and that figure 2011 number I didn't realize it was a forecast okay deal well that's it's it's an estimated numbers that -- that people are putting out there of course it could be you know five dollar increase in and it varies by region tremendously those and hurricane prone areas are obviously gonna pay more than those that.
So yet not everybody pays that -- -- across that country obviously.
And you've got some ideas for ways to say it.
On your insurance and you really can't save money on your insurance one thing you do is get rid of the -- you really don't need you also say check for discounts what kinds of discounts are there out there.
Let Jerry we did a study in 2009.
Trusted choice independent insurance agent is -- so that 34%.
Of consumers are not using credits and discounts that they can get right now so.
Consumers are leaving a lot of money on the table.
For instance if you don't package your policies together -- -- -- auto homeowners and umbrella in separate policies.
Put them all together you can you she saved 10% -- your premium.
If you have a three or 400000 dollar house -- -- the 250 dollar deductible.
That doesn't make any financial sense look at a thousand dollar deductible your premiums will come down.
Our if you limited in -- gated community or if you put it in a security system your house you'll get deductions for that off your premiums.
-- I didn't really pays the check these things out because -- tons and tons of ways to save money like that you also say consider a high deductible.
And what I did not understand avoid a credit -- credit life insurance what does that.
Credit life insurance is a consumer rip off in our opinion pure and simple.
Why would you by credit life insurance on one asset.
It rather than getting a good life insurance company that -- your beneficiaries.
Credit life insurance pays off the credit card company if if something happens to you in your house so getting get a good life insurance policy.
Pay your beneficiaries let them make those financial decisions for the future rather than paying off a credit card.
So that's a good point that I like that okay it -- replied what quickly we have one more point to cover every consider high tech assurance what's high tech insurance.
Well a lot of people don't understand -- -- -- a couple laptops for their home use for their kids their spouse.
If they have a desktop at their house and they have some nice TV'S_X.
that are -- go out and buy extra coverage for that you don't need it it's covered under your homeowner's policy.
The only caveat is if you run a home business or you're an independent contractor.
Then you need to separate business policy but if it's for personal use don't buy that extra coverage.
All right -- great those last two tips in particular really helpful Bob thank you so much for your help today appreciate it.