Tips for Choosing an Auto Insurance Company

| May 17, 2010

Since auto insurance is a mandatory coverage, it is important to select motor insurance that best fits your needs, complies with the state requirements and fits within your budget. There is no need to accept the initial insurance estimate that is offered to you. The number of insurance agents and insurance providers looking for your business might seem mind-boggling. Don’t allow them to pressure you. Take your time to ensure that you select the right motor insurance.

  • Contact multiple insurance carriers. Regardless of whether you choose to call an insurance agent on the phone or shop online, its’ best to contact multiple insurance companies in order to obtain different quotes. The more quotes you obtain the better the odds of selecting the right car insurance policy.
  • Supply the same underwriting info to each insurance carrier. When securing a quotation, in order to truly analyze your policy, make sure that each quote is based on the exact same details. Therefore, its best to gather the info ahead of time and submit identical criteria to each provider.
  • Examine the car insurance company’s fiscal standing. Ask the insurance company for their AM Best rating or Moody’s score. Prior to asking the question, however, visit both websites to see how they rate and grade the financial trustworthiness of insurance providers. That way you can determine if the insurance company’s score is up to par.
  • Compare and contrast the policies. An apples to oranges evaluation will only hurt you over time. When it comes time to select car insurance be sure that the policies are compared on an apples to apples basis. If you can find distinctions in each policy, speak with the agent to determine if he can emulate the competitor’s insurance coverage.
  • Become familiar with the claims and policy maintenance procedures. Most insurance providers allow their policyholders to make modifications online. However, if you are not at ease online transactions, be sure to select a car insurance company that has a live customer care representative available when you need one.Auto Insurance
  • Don’t be afraid to ask the insurer to reduce the premium. Oftentimes there are credits that can be applied to your auto insurance policy that can lower the premium. Discover if you will discover reductions in price for being a member of AAA, AARP or possibly a schoolteacher discount. . If you don’t ask, you’ll never know.


For those who have a renters or homeowners insurance policy, you can save money on your motor insurance if you place all of the insurance coverage with the same insurer.

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Category: Car, Insurance

About the Author ()

Felicia A. Williams is a wife, mother, freelance writer and owner of Tidbits About Money.

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