Are you tired of sifting through piles of old insurance paperwork and wondering whether or not you should keep it? With the digital age making it easier to store documents electronically, it’s easy to wonder if physical copies are even necessary.
In this blog post, we’ll explore the pros and cons of keeping past years’ insurance paperwork so that you can make an informed decision on what works best for your situation. Let’s dive in!
How long should you keep old insurance paperwork?
Many people are unsure how long they should keep old insurance paperwork. The general rule of thumb is to keep records for as long as they are active, plus an additional 7 years. So, if you have an active policy, you would keep the records associated with that policy for at least 7 years after it expires. For example, if you have a life insurance policy that is active for 20 years, you would keep the records for at least 27 years.
If you have any inactive policies, you should keep the records for at least 7 years after the policy expires. For example, if you had a health insurance policy that expired 5 years ago, you would keep the records for at least 12 years total.
While it may seem like a lot of work to keep track of all your old insurance paperwork, it is important to do so in case you need to reference them in the future. Plus, it’s always good to be organized and know where your important documents are!
What type of information is important to keep?
There are a few types of insurance-related information that you should keep track of, even after the policy has lapsed or been replaced. This includes the name of the insurer, policy number, and dates of coverage. You should also keep any records of payments made, as well as any correspondence with the insurer. If you have to file a claim, these records will be essential in helping to prove your case.
How can you organize your paperwork?
There are a few different ways that you can organize your insurance paperwork. One way is to keep it all in one place, such as a filing cabinet or box. You can also keep it sorted by year, so that you can easily find the documents you need.
Another way to organize your paperwork is to scan it and store it electronically. This way, you’ll always have a backup in case you lose the physical copies. You can also share electronic copies more easily with your family or agent.
Finally, you can use an online storage service like Google Drive or Dropbox. This way, you can access your files from anywhere and they’ll be backed up automatically.
When should you shred old insurance paperwork?
If you’re like most people, you probably have a filing cabinet or box somewhere in your home filled with old insurance paperwork. But when is it time to let go of these documents? Here are some guidelines to help you decide when to shred old insurance paperwork:
– If the policy is no longer active, you can shred it. There’s no need to keep inactive policies on file.
– Once a policy has been replaced by a new one, you can shred the old one.
– If you’ve moved and your current insurance company no longer offers coverage in your new location, you can shred the old policy.
– Most insurance companies will only keep records for a certain number of years (usually 7-10), so once that time period has passed, you can shred the old paperwork.
Conclusion
Keeping past years insurance paperwork can be a great way to keep track of your insurance policies and ensure that you are covered in the event of an accident or claim. It is also important to make sure that you are up-to-date on any changes with your policy and have all the necessary documents for filing a claim should it arise. Staying organized with your past years’ insurance paperwork is essential for getting the most out of your coverage.
