Aussies could be missing out on billions in lost savings

On your power bill, grocery store receipt, or in your monthly mortgage repayments - it's hard to escape the reminders of our current cost-of-living crunch.

Many Aussie households are feeling the pinch and struggling to make ends meet, but new research suggests that Aussie households are potentially missing out on billions of dollars in lost savings a year.

How? Read on as we break down this surprising research, and how your household could reclaim some of these lost savings.

1. The cost of loyalty

The YouGov research commissioned by iSelect suggests that Australian households nationwide could be losing out on $18.7 billion in savings annually by remaining loyal to the same service providers and/or plans.

We know life is hectic these days and many households could easily fall victim to paying a loyalty tax because they're simply too busy to find the time to review and compare their household bills and expenses.

But many households may not realize just how much not doing this could be costing them! For example, the research also suggests that each Aussie household that didn't take the time to switch they potentially missed out on annual savings of around $1140. That's a lot of extra cash that could be better spent elsewhere for your household.

2. Where do you start?

Every dollar of lost savings found is arguably more valuable than ever.  So, how exactly can you try to reclaim your household's lost savings? Firstly, it's time to take stock of your expenses.

Gather up your bills - think your energy plan, health insurance policy, home loan deal or car insurance - and shop around. There could be a better deal out there with a different provider, or perhaps one that better suits you and your family's current needs.

According to the YouGov research, households surveyed that switched their electricity plan and/or provider in the last 12 months found an average saving of $394, while those who switched their health Insurance plan and/or provider in the same timeframe found an average saving of $520.

3. Why a 'health check' should be top of mind

Unfortunately, more interest rate rises are predicted this year, and health insurance premiums are on the rise again too, with premiums increasing by an average of 2.90% this year. So, if you have a policy, consider putting it on top of your review list.

It's also worth noting that health funds are increasing prices at different times throughout year, so make sure you know exactly when your policy is going up in 2023 and how much more you'll be paying.

As well as increasing premiums, it's important to think about your life stage and whether your health insurance policy still suits your needs. If it's been a while since you last reviewed your policy, there's a chance you could be paying more than you need to for outdated cover.

So, whether it's your health insurance policy or your energy plan or that car insurance policy you haven't thought about in years, now could be the perfect time to make sure you're not losing out on any potential savings that could help ease some financial strain.

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