Why an Annual Review Matters

Your insurance needs change faster than you realize. A raise means you might be underinsured on disability. Paying off a car loan means you might be over-insured on auto. Moving to a safer neighborhood might qualify you for lower home or renters premiums. Yet most people set up their policies and never look at them again.

An annual 10-minute check catches these gaps before they become expensive problems.

The Checklist (10 Minutes, Once a Year)

Minute 1–2: Life insurance
Has your income changed? Have you added a dependent, bought a home, or paid off a debt? If your coverage needs have changed by $100K or more, it's time to adjust. Use the Life Insurance Calculator to check.

Minute 3–4: Auto insurance
Is your car worth less than $5,000? Consider dropping comprehensive and collision — you're paying to insure a car that's worth less than a few years of those premiums. Has your commute changed? Mileage affects rates. Have you improved your credit score? Re-quote — you could save hundreds.

Minute 5–6: Home or renters insurance
Has your home's value changed? Has the cost of rebuilding in your area increased? Have you made improvements (new roof, security system) that qualify for discounts? For renters: have you accumulated more belongings that push your personal property coverage too low?

Minute 7–8: Health insurance
Are you using your current plan's benefits? If you chose an HDHP, are you maxing your HSA? If you're paying for a PPO but rarely seeing specialists, you might save by switching. Review during open enrollment, but flag it now.

Minute 9–10: Beneficiaries and coverage gaps
Check beneficiary designations on life insurance, 401(k), and IRA accounts. Are they current? Any life changes (marriage, divorce, new kid) since you last updated? And do you have any glaring gaps — no disability insurance, no umbrella policy, no renters insurance?

The Three Most Common Finds

  1. Paying for collision/comprehensive on an old car. If your annual premium for these coverages exceeds 10% of the car's value, you're likely overpaying. Dropping them on a $4,000 car can save $300–$600/year.
  2. Outdated beneficiaries. An ex-spouse still listed on your 401(k) or life insurance. This is surprisingly common and can have devastating consequences.
  3. Missing bundling discounts. If you have auto with one company and renters with another (or no renters at all), bundling could save 5–25% on both.
Set a calendar reminder: Pick a date — your birthday, New Year's, or the start of open enrollment — and make it your annual insurance review day. 10 minutes, once a year. Use our Insurance Checkup Checklist for the complete version.