I can now stop pondering on this question now, as today I went and paid up front for the next year, now I will need to plan my spending to cover this extra amount for this bill, all $2001 of it. If you take the amount that I was paying before from it I need to find around $1600 extra per year for bills but where. I need now start to save for next year’s bill.

I did do a check on other options and it came up cheaper to stay with the one I was with.

I went with $500 excess cover and top hospital cover plus the same extra cover that I was with. First thing is to put aside a $500 in case I need it at anytime in the near future. I work in floats so this is already in the bank for anytime that it’s needed. Will only need to replace if used.

I can do this as I did save about $5500 in the 2010 in cash. So I will be starting my Frugal Living Challenge again for 2011. So how far can I stretch my dollars for 2011?