When it comes to auto insurance, you want to be adequately covered if you get in an accident, but you don't want to pay more than you have to. Unfortunately many people are doing just that, simply because they don't want to spend time shopping for car insurance. It's not inherently enjoyable, after all, despite how it looks in commercials featuring disgruntled cavemen and joke-cracking spokespeople.
But by doing some comparison shopping, you could save
hundreds of dollars a year. Happened when one of our editors use a rate
comparison service, and quoted basic coverage for two cars the old town, which
ranged from 1006 $ to 1807 $ - a difference of $ 801 per year. If you have been
paying thousands to your insurance company present because you have a couple tickets
or accident out of date and unfavorable credit rating, shopping your policy
against others be well worth the effort. Look at it this way: You can convert
the money you save to buy something you want or need for a long time.
Step 1: Determine the
amount of coverage you need
Find the right
Auto Insurance, start by knowing the size of
the coverage you need. This varies from state to state, so take a moment to
learn what is required to cover the place where you live. You will find a list
of each state's requirements and an explanation of the different types of
insurance in the "how much car insurance do you need?" Also, check
the "unknown but important issues auto insurance", which has a
glossary of basic insurance terms. If you are a driver for the first time and
need to be a comprehensive overview of auto insurance before you go on manual
reviewthis, of the National Association of Insurance Commissioners. Now you're
ready to make a list of the different types of coverage you are considering.
Once you know what is required, you can decide what you
want. Some people are very cautious. They built their lives on the worst-case
scenario, insurance companies would love to. Insurance companies in the
business of risk, and they know the possibility of the policyholder for being
in an accident, as well as how likely it is for a car to be damaged or stolen.
And crunches the insurance company information that has been collected over the
decades in the actuarial tables that give adjustors a quick look at the
possibility of almost any. You do not have these tools at your disposal, so
your decision will depend on the degree of your comfort in assuming a certain
level of risk.
Experts recommend that if you have a lot of assets, you
should get enough liability coverage to protect them. Let's say you have $
50,000 of bodily injury but liability coverage of $ 100,000 in personal assets.
If you are at fault in an accident, can lawyers of the other party goes for $
50,000 in medical bills not covered by your insurance policy.
General recommendations for liability limits are $ 50,000
bodily liability injury for one person injured in an accident, $ 100,000 for
all people injured in the accident liability and $ 25,000 property damage
(usually expressed in shorthand insurance 50/100/25). Here again, let your
financial situation be your guide. If you have any assets that can seek a
lawyer, do not buy coverage unnecessarily.
Your driving habits may also be a consideration in
determining the coverage you need. If your past is filled with crumpled
fenders, or if you have feet of lead, or if you make a long commute on a
treacherous winding road every day, then you should get more comprehensive
coverage. Collision coverage pays for the damage your car experiences in an
accident or damage from hitting an inanimate object (Tree Light function, or
fence, for example). Comprehensive coverage dealing with the damage did not
occur in a crash - such as theft, fire or flood. And also covers the windshield
was damaged.
Keep in mind that you do not have to buy comprehensive and
collision coverage. Let's say your car is older, you have a good driving record
and there is little likelihood that hit your car in an accident, but there is a
high probability that the theft. Then you can buy comprehensive coverage and
skip the collision insurance.
Step 2: Review the
current insurance policy
Read through your current policy or contact your insurance
company car to get the information you need. Identify the amount of coverage
you have now, and how much you pay for it. Takes note of the annual and monthly
cost of your insurance, since many will be given your quotes in both
directions. Now you have the character to win.
Step 3: Check your
registry driving
You should know how many tickets you have recently. If you cannot
remember when a speeding ticket that was on your record, check with the State
Department to have cars. If a ticket or points earned about to disappear, thus
improving your driving record, and wait until that happens before you get a
quote. Nothing pays higher insurance rates, such as a bad driving record.
Step 4: Seek
competitive prices
Now it's time to start shopping. Allocate at least an hour
for this task. Have at hand and the insurance policy, your driver's license
number and vehicle license. You can start with online services. If you go to a
Web site to get a quote for insurance values, you can type in your information
and start building a list of companies for comparison shares. Keep in mind that
not all insurance companies participate in these sites and one-stop shopping,
however. If the recommendation of friends and family or other research points
to a company that you think may be a winner, you can go directly to its website
or call toll-free number to get a quote.
Each quote form takes about 15 minutes each to complete. May
be well worth your time, because if the entire shopping process takes two hours
and you save $ 800, you earn an effective $ 400 per hour.
When you use these sites, you may not get instant prices.
Some companies may contact you at a later time via e-mail. Some that are not
"direct providers" may put you in touch with a local agent, who will
calculate and then quote you. (A direct provider such as Glico sells insurance
policies directly to consumers. Other companies, such as State Farm, through
local insurance agents sell.) You can learn more about the different types of
agents here.
Step 5: Collect
information about the company and prices
While you search companies, taking notes carefully so that
you can easily make price and coverage comparisons. Keep a list:
• Annual and monthly rates for different types of coverage.
Make sure to keep the coverage limits the same so you can make apples-to-apples
comparisons of cost and coverage.
• Insurance company phone number 800, so you can get answers
to questions that you cannot find on the Internet.
• pay policy of the insurance company. When is payment due?
What types of payment plans are available? What happens if you are late
payment?
In subsequent steps, you'll add some more information to
this list.
Step 6: Work on
mobile
Once you gather information on the Internet, and it's time
to work on the phones. Contact these companies that were not able to get a
quote online. Can do a search by phone actually be easier and faster than on
the Internet, provided that you have a car driving license and Registration
closes at hand. When you get a quote over the phone, make sure to confirm price
on request of a representative to the e-mail quote to you.
Step 7: Look for
discounts
When you make these calls and online shopping, make sure you
explore all your options for discounts. Insurance companies give discounts for
things like a good driving record, and safety equipment in your car or security
and certain professions or professional affiliations. Some companies are now
offering low enrollment if you are in the plans, "pay as you drive".
And give big discounts some of the young drivers in the family who have high-quality
point averages. (You can use this as an incentive for drivers in your teen and
provide savings to share with them.) Also consider using the same insurance
company for home and auto policies. And usually gets it at the best price. For
more guidance on discounts, check out "How to save money on auto
insurance" and "Top 10 Ways to reduce your car insurance bill."
Step 8: Rating
insurance company track record
You now have more than one price and coverage information
they need to make a decision. You can see any coverage of the company is the
least expensive, but it is important to keep in mind that cheap is not the sole
basis for selecting an insurance company. How do you know of any company that
is financially viable? How do you know if the insurance company is going to
treat you right - especially in the case of a claim?
Here are some places to check the status of a clearer
picture of the insurance company Register stability and equity finance and
customer service.
1. Using the National Association of Insurance Commissioners
"Consumer Information Source to access information about insurance
companies, including complaints insurance completed, license information and
main financial statements. You can also visit the Ministry of Foreign your
check rates insurance consumer complaint and surveys basic rate comparison.
2. Consider contacting independent insurance agent to obtain
additional information about the company.
3. Check out the financial strength ratings of the insurance
company by referring to the ratings from AM Best. Standard & Poor's (there
may be a need Register)
4. Review consumer satisfaction surveys from JD Power and
Consumer Reports (subscription required).
5. Ask friends and family for insurance companies, and if
you are satisfied they are with them. In particular, and ask them how insurance
companies can treat them if they have a claim. Did not get fair, and direct
service? Or was it a hassle to get the issue resolved?
Step 9: Review policy
before signing
Upon completion of the research, focused on the company, and
read most of the main points of this policy. In addition to verifying that
contains the coverage requested by the price, it's a good idea to see if the
policy states that "new factory", "like kind and quality"
or "cut after sales" can be used to Body Shop reforms, says Dennis
Howard, Network Manager Insurance Consumer Advocate. If the policy has such a
condition, and to reflect on whether this is the company for you, especially if
you own a relatively new car that you plan to keep for a period of time. In
this case, it is better to know at the outset that the insurance company will
pay for original manufacturer parts, instead of trying to fight later, when you
have a claim.
Step 10: Cancel your
policy Old, Your proof do
After that you've got the auto insurance policy you want,
with the abolition of the coverage your insurance company list. If your state
requires you to carry proof of insurance, make sure you put a card in your
wallet or glove box in your car.
Finally, here's a
quick checklist to keep you on track:
• Identify your state insurance requirements to a minimum.
• Consider your financial situation regarding the required
insurance and consider whether you need to increase your limits to protect your
assets.
• review the status of your driving record - Do you have any
unpaid tickets or points on your driver's license?
• Make sure the current coverage to find out how much you
pay.
• Get quotes competing web sites and insurance company’s
individual of interest to you.
• Make follow-up phone calls to insurance companies to get
additional information about the coverage.
• inquire about discounts.
• assess the reliability of the insurance companies you're
considering by visiting your state insurance department The site, and review
consumer surveys and talk with family and friends.
