The internet revolutionized how we do business. You can shop online, order products and have them delivered right at your door within a few days. Without getting buried under mountains of paperwork, we pay our bills. Our laptops allow us to manage our finances, communicate with friends, and do our work while on the internet. The internet has changed almost everything you can think of.
This has made comparison shopping much easier. The internet coupon has made it easy to find the best deal in no time. Car insurance is one area where you need to get the best bang for your buck.
Insurance is bought to protect you in case of an accident, such as a collision in a Kroger parking lot. You don’t want the insurance to cost you a lot for something that might never happen. Where is the line?
Some interesting results came from my most recent venture into purchasing car insurance. Progressive, which claims to be affordable, turned out to be the most costly option. My insurance was somewhere in between, but I was able to keep my policy for many years with Geico (famous as the Gecko spokesman) and the oh-so annoying cavemen. Guess who I went with!
These are my suggestions for auto insurance:
Get the best rate. You can use the money you don’t spend on insurance to pay for other things. Although insurance companies will try to win your business, they don’t have the obligation to offer you a better deal. You can shop up to five companies, and choose the one that offers you the best value for your budget.
Be aware of the coverage you need. You will need to know what coverage you are required by the law in your state. You won’t spend too much if you know what is required.
People base their decisions on the worst possible outcome. These people are likely to get their insurance companies Christmas cards because they will be buying a lot of coverage.
You should have enough coverage that you are covered, but not too much. You should ensure that all your assets are covered. In the event of an accident you are responsible for, lawyers will not be able to sue you. If you have only $50,000 of liability insurance, and the other party has more than $100,000 in medical bills, they can sue you.
Before getting quotes, always check your driving record. You should wait until you have cleared your driving record. Rates can go skyrocketing if you are cited for tickets or in an accident. Contact your local DMV to verify that you are aware of any past violations.
Encourage competition between companies. It is better for business, and it is always better for consumers. Most companies will provide online quotes in a matter of minutes. Although most companies will give you an online quote, some prefer to contact you by phone or mail. You can e-mail, fax or mail a copy of a quote you receive by phone.
Find out what each company offers. For the various types of coverage, compare monthly and annual rates. You should ensure that they have an 800 number to answer your questions. You should know when you have to pay and what penalties might be imposed for late payments.
Ask for discounts. Asking for discounts is not a good idea. Discounts are often offered by companies based on your driving record, whether you are a homeowner or not, how many cars they will insure with you, and safety features (such as antilock brakes). The amount you pay may be affected by your credit score. Ask, seek, knock.
After you’ve made your decision, take the time to review the policy carefully before signing. You should ensure that there are no hidden clauses or pitfalls that could come back to bite you. Many companies will require you to agree to a clause that limits your rights to sue or arbitrate with them. This right should not be lost. Do not give up this right if the company insists.
You should cancel your existing policy as soon as the new one has been in effect. It is not a good idea to stop coverage for your car for more than ten minutes. Because it is during these ten minutes that another car can fall from the sky and land on you. Trust me.
