28th Jun 2021

Tips for Comparing Car Insurance

Comparing car insurance doesn't need to be a struggle, despite how many options are available. Consider your unique circumstances. Car insurance coverage can vary depending on several personal factors. A few aspects to consider are the state you live in, your age, credit history, driving record, and specific vehicle information, like make and model.

Simplify your research.

Choosing an insurance plan can be overwhelming, especially for first-timers. Comparing and contrasting things like uninsured motorist coverage, premiums and deductibles, and medical payments coverage can seem like a lot of work. To truly ensure the best price and quality coverage, you should have at least five auto insurance companies (Geico, State Farm, Liberty Mutual, etc.) to compare.

Thankfully, if you're looking to compare car insurance, much of the work has already been done for you. Car insurance comparison databases like iSelect are at your disposal, providing a car insurance quote comparison for your convenience. Essentially, you enter information about your car, and the website does all the heavy lifting of research for you. There's even a timer to let you know how many minutes you might spend on this task.

What to Look For.

For many people, the deciding factor in selecting car insurance coverage is the price. However, the claims service is the product for which you're paying. A low price isn't worth it if a low-quality insurance policy accompanies it. Solid liability coverage is essential. Despite an impeccable driving history, most states require drivers to carry a specified amount of liability coverage. One important thing to acknowledge about liability coverage is that there are two different types: bodily injury and property damage. Together, this type of coverage includes vehicle damage and injuries to other people if you caused an accident.

Uninsured or underinsured motorist coverage protects you if you have been injured in an accident with another driver. Similar to liability, uninsured or underinsured coverage is required by law in many states. Now, let's examine the insurance coverage that is not likely to be required by law. Comprehensive coverage can help cover damages sustained to your vehicle in the event that it is involved in a non-collision incident. A few examples include burglary, fire, and vandalism.

Collision coverage will cover the expenses should your car be involved in an accident with another vehicle or an object like a garage door. Finally, personal injury protection (PIP) or medical payment coverage will come into play. PIP coverage is crucial because it can help you pay for any medical expenses you may have arising out of a collision.

What to Avoid.

It is best to avoid car insurance companies with lousy consumer reports. You can check a car insurance company's consumer record by conducting a consumer insurance search on the National Association of Insurance Commissioners. Try to remember that some car insurance companies have different subsidiaries that use other names.

By utilizing the NAIC database, you can look into company-specific reports or common complaints by type of insurance. You may also be able to uncover the disposition or resulting action of the complaint. A few complaints to watch out for are denials or delays in claim handling, unexpected surcharges, or unsatisfactory offers for settlement.

Ultimately, only you can decide what level of coverage is right for you. Fortunately, after utilizing the tools mentioned above, your decision may become easier. The best way to start is by checking your state's coverage requirements and restrictions based on your personal information. Next, use a database to compare coverages to narrow down your search. Finally, reduce your options further by looking into the company's history of issues or complaints. Shopping for car insurance isn't a breeze, but it can be made a lot more simple by utilizing the research tools that have been made available to you.