Your Essential 2025 Year-End Insurance Checkup

A quick review of your essential policies

Conducting a full year-end insurance review is a smart way to protect your assets and start 2026 with greater peace of mind.

Many people see insurance as something you “set once and forget,” but that’s not the right approach for this type of service.

With the significant changes that took place in 2025, it’s essential to do a year-end insurance checkup. Here are some tips to guide you.

1. Evaluate changes in your life in 2025

The first step in any insurance review is to analyze how your life has changed throughout the year.

It’s completely normal to go through personal and financial changes, and these may require adjustments to your coverage.

Ask yourself:

• Did you change jobs or income or move to a new city?
• Did you buy or sell a home, car, or high-value assets?
• Did you have children, get married, or go through a divorce?
• Did you start working remotely, open a small business, or begin gig work?
• Did you take on new debt or pay off old debts?

Identify what still makes sense to keep and what needs to be updated or replaced for 2026.

2. Health Insurance

In the U.S., year-end overlaps with open enrollment, a critical time to review and choose health insurance plans.

Throughout the year, several states expanded subsidies through local marketplaces and adjusted provider networks.

Therefore:

• Check whether your doctors and hospitals remain in-network for 2026.
• Compare deductibles, copays, and out-of-pocket maximums, which changed for most plans.
• Consider whether an HSA-compatible plan makes sense for your tax strategy.
• If you rely on ongoing medications, confirm that the new plan covers them without unexpected additional costs.

3. Auto Insurance

The U.S. auto insurance market has been undergoing significant rate adjustments since 2023.

Repair and parts inflation remain high, requiring extra attention. Your year-end checkup should include:

• Reviewing your liability limits
• Adjusting collision and comprehensive coverage
• Evaluating discounts for telematics, safe-driving programs, and bundling

Also, check whether young drivers in your household need coverage adjustments or monitoring devices to help reduce premiums.

And of course, if you moved to a different state or city, be aware that this can completely change your policy price.

4. Homeowners or Renters Insurance

Anyone with homeowners or renters insurance needs to review their insured value at the end of the year.

In 2025, reconstruction costs remained above historical averages in many states, especially California, Florida, and parts of the Northeast.

Because of this, make sure to:

• Update your home’s replacement cost, considering increased labor and material prices.
• Evaluate whether to add protection for extreme weather events, which insurers have updated after recent hurricane and wildfire seasons.
• Review your personal property coverage, especially if you bought electronics, furniture, or high-value items this year.

For renters, renter’s insurance remains one of the best cost-benefit policies available.

5. Life Insurance

If needed, update your beneficiaries and confirm whether your coverage still accounts for debts, family expenses, and your long-term financial planning.

Consider whether it makes sense to move from a shorter term to a longer one or switch to a permanent policy if your goals have changed.

Check whether your policy includes useful riders, such as critical illness coverage.

Many families only discover major coverage gaps at the end of the year—when it’s often too late to fix them.

6. Review discounts, bundling options, and digital updates

U.S. insurers strengthened their digital platforms in 2025, offering:

• Discounts for automatic payments
• Incentives for auto and home bundling
• Telematics apps that can reduce costs by up to 25%
• Loyalty and safe-driving programs

Doing an annual review ensures you’re not overpaying for outdated coverage.

7. Compare prices and conditions

Don’t focus only on the premium cost. Consider other factors such as:

• Coverage quality
• Insurer reputation
• Claims process
• Customer service speed

In 2025, some insurers increased minimum deductibles to lower premiums—but this can leave you financially exposed in case of an incident.

Written by

Gabriel Gonçalves