To many buyers, looking for car insurance online may seem like a big task, but it’s actually a pretty simple process and an excellent way to compare quotes and find the best deal overall. Below is an overview of how to successfully navigate shopping for car insurance online in order to save money every year.
Consider Insurance Comparison Websites
While it’s possible to look for auto insurance at the specific insurance company websites, that’s a time-consuming process and not the most efficient way to tackle the task. It makes better sense to rely on auto insurance comparison websites to look for premiums. These websites collect information from many different insurance companies and provide detailed comparisons quickly and efficiently. Buyers should use one of these sites to look at their options all at once and decide which one makes the most sense. Don’t forget to narrow your choices by company reputation as well.
Consider Budget
It’s always a good idea to pay for enough insurance coverage from a quality provider, but it doesn’t make sense to pick a policy that is difficult to pay for. Failing to pay for auto insurance will mean a lapse in coverage and could lead to fines, a loss of license, tickets, or other problems.
It’s best to verify what amount of insurance is reasonably affordable and then shop within that budget for the best policy you can afford.
Gather Together Vital Personal Information
Shopping for auto insurance online means sharing some personal information in order to get accurate quotes. Buyers should have most of the following available, and should know that insurance companies will likely look at the information listed below:
- Address where vehicle will be primarily parked
- Name
- Birthdate
- Main use for vehicle
- Vehicle ownership status
- License number and status
- SSN
- Education level
- Insurance history
- Information about additional drivers to be included on the policy
- Marital status
It’s likely that buyers will be asked to provide permission to view their credit reports as well as DMV or motor vehicle reports.
Choose the Proper Coverage
Not only do purchasers have to provide all the necessary information of their own, they have to decide on the policy coverage level they want. Here’s an overview of the different types of coverage and their benefits.
- Comprehensive – This coverage type protects against non-accident-related-damage damage, such as theft or vandalism.
- Collision – This type of insurance covers damages to your own vehicle, rather than just the other party’s as with liability coverage. Collision coverage is required with most auto loans.
- Personal Injury Protection – This covers any medical help you need following an accident, as well as funeral expenses or wage losses. This is required in some states.
- Uninsured Motorist – This covers personal property when the other motorist does not have insurance.
Obtain Your Driving Record
Before going out for insurance, take some time to review your driving record to find out how accurately it reflects your driving history. Insurance companies generally look back five years, so be aware of any driving issues over that period of time. If your state uses a points system and you find that you have points you don’t feel you earned, you can ask your insurance company how to dispute the points. Or, some insurance companies will allow you to take defensive driving classes to remove those negative points from your record. Since your driving record helps determine how high your insurance costs are, it’s helpful to check for accuracy and clear your record before shopping for insurance!
Provide Information that May Lower Your Rates
When shopping for insurance online, it’s critical to be honest on your applications for quotes. Be sure to get quotes from as many companies as possible, and provide information that may help lower your rates, such as:
- Safety features on your car
- Defensive driving courses you’ve taken
- Your occupation
- Your marital status
- Your annual mileage
Also, be sure to ask the different insurance representatives (once you’ve narrowed down your list) about any discounts or rewards programs they offer.
Remember: Never lie on your forms! This could cause insurance companies to cancel your policy or deny you coverage, or they may simply deny all of your claims. It’s never worth it. For an accurate online quote, provide thorough and accurate information!
Research Companies and Pick Your Provider
When researching companies, be sure to look at the reputation of the company and its financial standing. You can check on such things through your state’s Department of Insurance. Or, you can use financial rating agencies such as J. D. Power, A. M. Best, or the Better Business Bureau.
Talk with different auto insurance companies about what they have to offer. Be sure to ask friends and family members about the businesses that they enjoy working with to come up with some general ideas. Look at the discounts available at different companies, including bundling discounts, and consider premium quotes before deciding on where to work. Also look through insurance company social media accounts to learn how the business interacts with its customers and to learn about potential issues
Buying car insurance online takes time, but it isn’t very difficult to do as long as you know the steps involved. Take some time to learn what it involves, and then go out there and get a good quote.