We know, we know--insurance isn't your favorite subject of conversation.

But the right insurance coverage is key to your long-term financial health--and the start of the new year is the perfect time to review your policies with your insurance agent, and make sure you're avoiding the mistakes below:

Setting your deductible too high or too low

In general, the higher the deductible, the lower the cost for the policy--and that can be very tempting. But that monthly, quarterly, or bi-annual cost isn't the only number you should consider. When choosing a deductible, think about how much you can afford to pay if your property is damaged.

Your agent can help you find a good balance between premium and deductible amounts.

Not having enough home or auto insurance

If your house or car is damaged and you don’t have enough coverage, you’ll pay more of the repair costs. Also remember that your home and auto policies are made up of different components, each of which should be reviewed to ensure you have the right protection in place.

When it comes to your homeowners insurance, it's important to ensure that your policy will cover the cost of rebuilding your home, not just repairing it.

Also think about how much you need to replace the contents of your house, your jewelry, and other valuables. You can buy more coverage if you need it.

Knowing when to drop your car’s comprehensive or gap coverage

If your car is older and paid off, you can probably drop collision and comprehensive coverages. Comprehensive pays if your car is stolen or damaged by something other than an accident. Ask your agent if paying for the coverages is in your best interest.

Gap insurance helps pay the difference between your car’s value and the amount you owe. You don’t need gap insurance if you owe less than what your car is worth--or if you own your vehicle outright.

Not knowing about health care networks and referrals

Many health plans use networks of doctors and hospitals. Except in emergencies, your plan will want you to only see these doctors and might not pay if you don’t. Some plans let you see other doctors, but you might have to pay more.

Also know if you need a referral from your primary doctor to see a specialist or need a pre-approval from your plan for treatments. Getting referrals and approvals can help you avoid big bills.

Not telling your family about your life insurance

If you have a policy, tell your family and give them a copy. They’ll need to know the company name and policy number to file a claim.

For more than 25 years, Beall Financial and Insurance Services, Inc., has been helping corporations and individuals protect their most important assets. The agency’s client base covers a spectrum of businesses that require specialized insurance packages and knowledge. With offices in California and Indiana, Beall Financial and Insurance Services serves clients nationwide.