How to Compare Car Insurance Companies and Brokers

Choosing an insurance company is not an easy task. There are companies that might offer you a cheap rate, but the policy they are offering might not be suitable for you. Because of this, it is wise to compare car insurance providers in your area. Here are some points to note while comparing car insurance companies.

The Service On Offer by a Car Insurance Company

This is one of the criteria through which you can judge the car insurance companies and brokers. People prefer to buy car insurance from a car insurance agent because they can ask questions directly to him/her. The agent can also service your policy personally. But, lately, GEICO and Progressive's marketing strategies have been successful in drawing customers to them. There has also been considerable growth in the number of online sellers. These online sellers are called direct writers of insurance, as they don't rely on an agent to sell their policies and services.

You can also check the performance of a state insurance company by going to their web site. Complaints lodged by consumers can be usually viewed on the company's web site or through other rating agencies, which can serve as guide to you. You can select a company that has a minimum number of complaints, as it is a good indicator of a well-respected company. A company with a sub-standard support system is of little use when you need to file a claim.

Location of Company Offices

Companies in your state or near your Zip Code are the most recommended to purchasing auto insurance from. This is because local companies have a better understanding of your location and can offer the most suitable quote at a fair market rate.

Discounts Available

If you register multiple vehicles with the car insurance agencies, you are entitled to a discount. Car insurance companies can cut the rate if the car has safety features or an anti-theft device installed in it. You can also get a discount if you are a good driver, don't have any tickets in your name, have completed a driver's course, have a new car, or drive less miles with your car .Getting good grades in your educational institution can also get you a special rate. Also, check the cancellation policies of car insurance companies as they are set by the company and not the states.

Ratings and Reviews

There are various web sites, which rate car insurance companies based on their strengths and weaknesses and way they handle claims and coverage options. You can refer to these web sites to compare the ratings of car insurance companies and select the company that gives you a fair deal.

Word of Mouth from Friends and Family

You can decide what policy to buy through the recommendations and opinions of your friends and family. A favorable experience with an insurance company might lead them to suggest the company to you.

Payment Options

Some insurance companies have alliances with financial institutions like credit card companies and banks. It is prudent to ask insurance companies if paying with a check or a credit car is cheaper.

Often full yearly payment are cheaper than monthly premium as you pay for the full year coverage rather monthly installments which will likely have interest add and will increase your overall payment as a result.

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