Things to Consider when Comparing Auto Insurance Quotes

As with anything, cheaper is not always better, so why would you just choose the cheaper quote with out making a full comparison? Just because insurance company A's overall amount is less then insurance company B's quote doesn't mean B wouldn't be the better choice. You need to look at everything that dollar amount includes to compare the quotes properly.

What Are the Coverage Amounts?

The coverage amounts may influence your decision greatly. What is the deductible for both quotes? Quote A may be a cheaper amount, but if it has a higher deductible (your out of pocket expense) you'll need to decide if that is an amount you can come up with in case of a car accident. Usually the higher the deductible, the cheaper the policy is, but it is not always feasible for someone to choose the higher deductible if they cannot afford that amount.

Look at the amount of coverage on both policies for property damage and medical expenses. Are they comparable or does one give you twice the coverage amount for just a few dollars more? In most states the law only requires a bare minimum of coverage, but that is not always the best choice. If you have an accident with car damage and medical bills, you may find that minimum amounts are not enough.

Some insurance companies offer road side assistance as part of the insurance package and some may charge for it. Check the quotes to see if you are getting "more bang for your buck." Does Company A or B offer any kind of good driver rewards or discounts? Accident forgiveness or deductible pay downs for accident-free driving can be a significant savings over time.

What About Customer Service and Accessibility?

Insurance company A may be the cheapest quote, but do you know anything about them? You can buy car insurance online and never see or speak to an actual person. Are you comfortable with that if you need to file a claim?

My agent has an office just a few miles away. I can drive in and speak to him face to face whenever I need to. I don't deal well with doing business over the phone, so far me, a hometown agency works best. I may be able to get a cheaper quote somewhere else, but I prefer knowing my local agent by name and knowing the company has a good reputation in the community.

If you are considering an online insurance quote, or even purchasing a policy online, do your research first and compare all of the different parts of the policy. You may decide that cheaper is not always better.

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