You always hear the advertisements that claim that you can save money from switching car insurance carriers, but if you don’t know how to shop for auto insurance or you have been with the same provider for years, you may not know where to start. Follow this detailed guide below for tips and advice on shopping for auto insurance.<\/p>\n
Car insurance rates frequently change, so it is always a good idea to keep your eyes open for a better price. However, there are a few life milestones that may spark a search for auto insurance quotes:<\/p>\n
\u2022 When your teen driver gets their license. Teen drivers can be costly to insure, so adding one to your policy could mean a significant increase in your premiums. You may want to compare car insurance quotes with the addition of your teen driver as some companies offer increased discounts such as a good student discount.<\/p>\n
\u2022 When you get married. Getting married is likely to lower your car insurance, but you might find that you can get an even better rate with another company. A marriage may also prompt a car insurance search if you and your spouse have different providers.<\/p>\n
\u2022 When you buy a home or move. When you move or buy a home, you may be interested in a renters or homeowners insurance policy. You might be eligible for a discount if you have all of your policies with one provider, so a move might be an excellent time to explore your options.<\/p>\n
\u2022 If you get a DUI or have a bad mark on your driving record. Whether your rates increased from a speeding ticket or worse \u2013 your carrier dropped you because of a DUI, a bad mark on your driving record could be a great time to start a car insurance search.<\/p>\n
In order to make the search process more seamless, it’s essential to have the following information on hand as you shop car insurance providers:<\/p>\n
\u2022 Your vehicle information. This includes your vehicle’s year, make and model, as well as its mileage and vehicle identification number, also known as its VIN.<\/p>\n
\u2022 An account of your driving record. Whether you have a clean driving history or a few points<\/a> or tickets, it is crucial to know the details to get an accurate quote.<\/p>\n \u2022 Your personal information. In addition to general information, you should also have your social security number and driver’s license number on hand.<\/p>\n Depending on the insurance companies you select, oftentimes, you can obtain car insurance quotes online, over the phone, or in-person. It is important to note that rates and premiums can vary based on the way you shop. Below are some facts to consider with each option:<\/p>\n Pros:<\/strong> The decision to buy car insurance online<\/a> would be a good one for you if you are most interested in convenience and have a basic understanding of the coverage options and what you would like in your policy.<\/p>\n Cons:<\/strong> Unfortunately, online quotes can be estimates and not representative of the exact amount you can expect to pay. Furthermore, online quotes involve sharing personal information online, which some people find risky. Depending on which sites you use to obtain quotes, you can open yourself up to being contacted by multiple companies, which can be seen as a hassle for some.<\/p>\n Pros:<\/strong> An independent agent or broker is someone who works with many different insurance providers. The benefit of working with an independent agent is you can meet with someone one-on-one who can compare quotes from multiple insurance companies.<\/p>\n Cons:<\/strong> Independent agents work on commission, which means they may try to up-sell you on coverages you don’t necessarily need. Therefore, unless you have a general knowledge of insurance coverage, then an independent agent may not be the route for you. Additionally, independent agents tend to favor certain companies and are not required to offer you the most affordable auto<\/a> insurance policy, so you may want to do some additional research on your own.<\/p>\n Pros:<\/strong> An exclusive agent is one who only sells insurance for the company in which they work. The benefit of working with an exclusive agent is the opportunity to connect with a person who can provide advice on the coverage that is best for you. It also enables you to form a lasting relationship with your trusted insurance representative.<\/p>\n Cons:<\/strong> Exclusive agents are also partially paid based on the commission of the policies they sell, which means they may try to up-sell you. It is also important to note that they cannot compare rates from other companies as they only represent the company they work for.<\/p>\n In order to get accurate comparisons from company to company, it is essential to note the following coverages and amounts on your policy quotes:<\/p>\n \u2022 Liability coverage limits. Liability coverage is the most common form of auto insurance. Liability coverage includes bodily injury and property damage insurance. This coverage will help to pay for injuries and damages to another person or their property, resulting from an accident that you cause. The lower your liability limits are, the cheaper the premium will be, but it is important to have enough coverage to protect you in the event of an accident.<\/p>\n \u2022 Coverage options. Liability insurance is a requirement in many states; however, there are additional coverages that you may consider as well. If you want to add-on coverage that would help to pay for damages to your vehicle in the event of an accident, you may consider comprehensive or collision insurance.<\/p>\n \u2022 Deductible. Your deductible is a selected amount that you will pay out of pocket in the event of a claim before your insurance policy pays any money out. Your insurance premium is likely to decrease the higher your deductible is. While you likely want to avoid a high premium, you should avoid selecting such a large deductible that it will be difficult to pay in the event of a claim.<\/p>\n \u2022 Premium and policy period. If you are shopping to find the best price, the number you will look at most closely is the premium, which is the amount you will pay for your policy. It is important to pay attention to the policy period as some companies offer annual policies while others have a six-month policy period.<\/p>\n A licensed insurance agent can make recommendations about how much coverage you should have; however, if you are shopping for car insurance online or want to have a better understanding of what your coverage options are it is crucial to consider the following:<\/p>\nWhat Methods Are Available to Shop Car Insurance?<\/h2>\n
Online<\/h3>\n
Through an Independent Agent or Broker<\/h3>\n
Through an Exclusive Agent<\/h3>\n
What Coverages Should I Consider When I Compare Car Insurance Quotes?<\/h2>\n
How Much Coverage Do I Need?<\/h2>\n