How to Compare Auto Insurance Quotes and Get the Best Deal
You’ve just gotten your driver’s license, so you rush out to buy the cheapest car possible and get insurance through the dealership that sold you the car. As time goes on, however, you realize that this may not have been the smartest decision in your life.
Luckily, it’s easy to compare auto insurance quotes online and find a much better deal than what you have now. Follow these steps to get started comparing auto insurance quotes online today!
Know your state’s requirements
The following are some helpful resources to help keep a person up-to-date on their state's requirements for their particular state: State Farm's Vehicle Coverage Guide; CAA's State Requirements Tool.
Know what kind of coverage you need
There are many different types of coverage for your car, such as liability, collision, comprehensive, medical payments and others. Liability covers you when you cause an accident, collision pays for damages that occur in an accident with your car,
comprehensive pays for damage not caused by a collision (such as weather damage), medical payments covers the expenses of those injured in an accident not their own fault who did not have their own insurance or medical payments plan.
Know what factors affect your car insurance rate
Knowing what factors affect your car insurance rate can help you compare quotes more easily. Generally, rates depend on your driver's license type, your driving record, whether or not you smoke, if you're a student in good standing, your credit history and many other factors.
You should also shop around for quotes instead of just assuming that the company you currently use is charging a fair price. You may be surprised at how much they've been overcharging you all these years!
Avoid common mistakes
Make sure that you're getting quotes from all four of the major insurance companies. If your car is worth less than $20,000 it's possible you'll be able to get liability-only coverage for about $200 a year. If you have more than one car, consider adding each vehicle to the policy for a combined multi-car discount.
The higher your deductible is set at, the lower your premiums will be. Find out what type of repair shop accepts your insurance company before you file a claim as some shops only accept certain types of coverage. Finally, if you're not comfortable with how much risk an insurer wants to take on, look for another provider who offers the same type of coverage at a better price.
Shop around online
There are many ways that you can save money on auto insurance by shopping around.
As soon as you are ready to buy auto insurance, go online and enter your zip code. You will then be presented with a list of different companies who offer auto insurance in your area.
Check with your agent before switching carriers
Before you switch your auto insurance company, you'll want to contact your current agent. Most companies offer discounted rates for former customers who make the switch.
So call your current provider before moving on. You might find that switching could save you money in the long run.
A lot of people don't realize that certain factors can change how much they pay for their insurance plan.