Insurance reduction refers to a decrease in the amount of insurance coverage that an individual or business has on their property, assets, or liabilities. This can occur for various reasons such as when an asset is paid off and no longer requires full coverage, or if the value of the asset decreases over time requiring less insurance. Insurance reduction may also result from negotiations with an insurer to lower premiums based on changes in risk factors or by choosing a higher deductible. Ultimately, insurance reduction can help reduce costs and make insurance more affordable for individuals and businesses.