You’re paying too much for car insurance. TV ads and web banners are telling you this every day. But if you’ve been meaning to compare car insurance companies, we’ll give you the tools necessary to kick-start your search.
Comparison sites
Numerous sites promise to help you compare car insurance companies. How do you know the right one for you? Progressive and Esurance both sell insurance of their own. They promise to compare their rates with other companies’ rates and bring back the best premiums for your needs. There are no statistics about how often the best rate happens to be theirs…but chances are if they found themselves being undercut too often, they’d adjust their prices accordingly.
Independent sites take your information and run it through a variety of insurance providers. These sites make their money through advertising and click-throughs, so there is no charge to you, the consumer. The competition for your business can drive premiums down, causing some insurance companies to charge even lower rates on these sites than on their own.
Compare on your own
We all know the popular insurance companies. Their reputation precedes them and one might feel safer trusting a well-known name over a company touting cheaper rates. Compare car insurance companies on your own. Price insurance with companies you know, as well as new companies, and weigh the pros and cons of each.
If you decide to go this route, you’ll find yourself doing quite a bit of data entry. Have your policy on hand and make sure you’re consistent with the information you input on each quote request. Print out the quotes and compare them, only making a choice once you’ve done all your homework.
Compare features
When you compare car insurance companies, be sure your comparison includes any safety features in your vehicle, such as side airbags or anti-lock brakes, that might result in a discount. If you receive student discounts or discounts for serving in the military, be sure those discounts are reflected as well. You may find some sites factor in those discounts and some don’t. You may also want to check on any discounts you’d receive for switching your home and/or life policies as well. Many insurance companies offer a discount for bundled services.
Check online reviews
One of the great things about the Internet is that you can find out anything you want to know at any time with just a quick search. Read reviews of companies you’re considering, keeping in mind every company will have an unhappy customer from time to time. Read the feedback and be as informed as possible about any hidden costs that might pop up after you’ve signed off on your policy.
Talk to your current company
Before you sign with a new company, call your current insurance company and tell them of your intentions to switch. Let them take a look at the rates you were quoted and give them a chance to beat those rates. You might be surprised how willing your insurance company will be to keep your business.
Conclusion
In today’s information-driven world, there’s no reason to pay more for auto insurance than you have to. You can easily compare car insurance companies online and put the money you’re saving back into your budget.