Car owners are required to have car insurance and having no coverage can be a very bad idea. You risk having to pay for large sums of money in the event of a car accident if you have not insured your car. Since money can be an issue in people’s finances, saving money on insurance is the aim for most policyholders. Reducing the amount you pay for car insurance can be helpful. Comparing car insurance prices before you agree to a certain agreement can save you hundreds of dollars.
What should you look for when comparing car insurance prices?
Always remember that when you compare car insurance prices, these may differ depending on the benefits offered by the policy. You may be getting a lower quote from a certain company, but the coverage included in the said policy may be less. Make sure that when you get a traditional insurance quote, the policy should last for full twelve months. See if the level of collision and liability will have you adequately covered. It is very important not to miss out on fine prints stated in the policy before signing anything.
The next thing you have to do is consider what type of coverage you will need. Take for example a driver who does not use his car to get to work and only gets to drive occasionally. This person may not need certain additions such as the benefit of having a complimentary car rental if his car is being repaired due to an accident. You may not want to add the breakdown cover if you can get this service from a specialist company who offers this for a cheaper price. Choose a collision and personal liability with ample coverage since this is very important. Always outweigh the savings you made by opting for a policy that is affordable, but can have you covered in case of an accident.
There are companies who can give you a cheaper price for group policies. If you are paying for homeowner insurance, you may want to consider buying your car insurance from the same provider. You should also look for discounts offered by the insurance company to lower down your costs. There are insurance companies that will entitle you to a no claims bonus if you have an accident-free diving history. If you are part of a concession group ( for example you are a student) or your car has additional safety features, you may also get discounts for these. One of the best ways to compare insurance prices is by getting quotes online. You can also call different companies through their 800 number and speak with a customer service representative who can check if you can be a candidate for any further discount. You can then use the discounts to buy additional features in your policy.
Where can you get reliable car insurance prices?
Ask your State Insurance Commissioner
Your state commissioner can provide you with state insurance regulations as well the best source for company and agent licensing information, fraud alerts and agent recommendations. You can ask the state insurance department for specific questions regarding a provider. You may if the company is properly licensed, the length of time that the company has been licensed and the statistics or number of complaints against the insurance company. So if you want specific information, you should find this out from your State’s Insurance Department.
Check out National Association of Insurance Commissioners
Aside from getting quotes online, you must also research the quality of service provided by the insurer. You should have access to customer complaints and reports on the insurance companies’ financial stability. You can find these by independent agencies that monitor insurance providers.
You can rely on the National Association of Insurance Commissioners since they use aggregated database information that was provided by individual state insurance commissioners in order make available reports to consumers. You can find a particular part of the site that features database complaints. You will be able to see a graph that shows the number of complaints against the provider.
Check out the company’s financial rating
You can easily check out the standing of a company with the following:
- M. Best– you can receive up to three ratings per call. Dial (908) 439-2200 ext 5742
- Fitch– you can get free ratings for up to five companies per call. Dial (800) 839-4824
- Standard and Poor’s– get up to five free ratings at (212) 438-2400 per call
- The street.com– you can get free ratings on their website
- Moody’s– you can get five ratings for free at (212) 553-0377 per call
Remember that when comparing prices, make sure that you have enough coverage to protect you. Always weigh the possibilities and do not hesitate to ask what is included in the policy or you may find yourself with little coverage that will not be able to protect you extensively.