Four smart home and auto insurance tips for seniors

(ARA) - Senior citizens can save money and headaches with four simple insurance tips. These can help ensure you're adequately covered and getting all eligible discounts.

"Home and auto insurance needs change at every stage of life," says Charles Valinotti, senior vice president of QBE Regional Insurance, which underwrites property and casualty coverage through the General Casualty, Unigard, Farmers Union Insurance and QBE Agri brands. "Seniors may not realize that downsizing from a home to a condo or driving less could have important implications for their insurance."

Tip one: Make sure you have enough contents coverage, especially if you've downsized.

If you've moved from a home to a condo or apartment, there's a good chance you're underinsured. While you may have moved many of the same valuables with you, your rental or condo insurance policy probably carries much less contents coverage.

For example, a homeowners policy on a $200,000 house probably carried about $150,000 in contents coverage. While most of your stuff is the same as it was in your house, the renters policy on your two-bedroom apartment may only come with $25,000 in contents coverage.

If your coverage isn't enough to replace your home's contents in case of a total loss, talk to your agent about increasing your limits.

Tip two: Schedule your valuable items or collections.

The average cost of a diamond ring is almost $4,000, but a standard homeowners policy would probably only cover $1,000 if it's lost or stolen. If you have antiques, china, silverware, jewelry or other valuable items or collections, ask your insurance agent about scheduling it (also called floater or inland marine coverage).

This coverage extends the limits on specific items, beyond what your standard policy includes. It also extends the causes of loss from "named perils" for reasons like fire, theft or lightning to an "open peril" basis, which includes dropping your diamond into the running garbage disposal.

Tip three: Take a driver safety course.

While some states mandate that drivers 55 and older take a driver safety course, in other states it's optional. While your state might not require you to take a course, you may get a significant discount on your auto insurance for opting to take one.

Tip four: Tell your agent if you're driving less.

Maybe you've stopped driving after dark. Or you now only drive in town. If you're driving a lot less these days, you may be able to change your driver status on your auto policy from primary use to occasional use. And that could mean lower insurance rates.

Courtesy of ARAcontent