Daniel Newell, writing for The West Australian, reveals that spending just 10 minutes on loyalty tests for your insurance, utilities, and subscriptions could save you thousands of dollars each year. He explains that many Australians stick with the same providers out of habit, missing out on cheaper deals and discounts.
Why loyalty tests matter
Loyalty tests involve checking whether your current providers are offering competitive rates compared to new customers or other companies. Newell notes that insurers, energy companies, and streaming services often offer better deals to attract new customers, while existing customers pay more.
By spending a few minutes reviewing your bills and comparing offers, you can identify where you are overpaying. For example, home and car insurance premiums can vary significantly between providers, and simply switching or asking for a discount can reduce costs.
Where to start
- Insurance: Compare policies for home, car, and health insurance. Use comparison websites or call providers to negotiate.
- Utilities: Check energy and gas plans. Many retailers offer discounts for direct debit or online accounts.
- Subscriptions: Review streaming services, gym memberships, and phone plans. Cancel unused services or switch to cheaper options.
Newell emphasizes that loyalty is rarely rewarded in the modern marketplace. He recommends setting a reminder every six months to repeat these checks, ensuring you always pay the best price.
Potential savings
The article cites examples where customers saved hundreds of dollars per year on each service. Combined, these small tests can lead to savings of thousands of dollars annually. Newell concludes that a little effort can go a long way in boosting your household budget.
