"Get more than one quote!" You've probably read this advice in plenty of articles on the Internet or perhaps heard it from a friend or family member. Getting multiple quotes is often a good idea when making any financial decision. Whether you're looking for a new contractor for your home or buying car insurance, it never hurts to get a second opinion and keep your options open.
Of course, just looking at a few different numbers isn't the same as making an informed comparison. These three tips will help ensure that comparing a few different insurance quotes will get you a great rate with the coverage you need.
1. Make Apples-to-Apples Comparisons
When you begin making comparisons, always start by leveling the playing field. Get quotes from multiple companies for the same coverage or as close as possible. Make sure that you pay attention to the fine print and additional features. For example, one company may offer complimentary roadside assistance, and another may automatically add glass coverage.
Although you'll want to play around with coverage levels before deciding, an apples-to-apples comparison helps provide you with a baseline. Choosing the same coverage you have with your current insurer is a good place to start. Make a note of which companies offer the best rates, but don't rule out any insurers just yet.
2. Spend Some Time Adjusting Coverage
Once you've got some baseline rates in your notes, increase or decrease optional policy features, such as comprehensive or collision insurance. The cost for these features can vary between providers, so you may find that one insurer allows you to reduce your deductibles, even if doing so with a different company will make your monthly premiums unaffordable.
Don't forget to try reducing coverage levels, especially if you're tightening your belt and trying to save some money in your monthly budget. You may find that some companies offer substantially better rates at lower coverage levels.
3. Provide Accurate and Complete Information
Car insurance companies often require a lot of information before offering a quote. Everything from your driving history to your credit score can impact your rate, sometimes in significant and surprising ways. When comparing quotes, always provide as much information as possible to ensure you receive an accurate rate.
You can also go one step further and speak to an agent when gathering quotes. A live representative can sometimes offer additional discounts, such as good driver bonuses or new customer discounts. This extra step will ensure you get the most accurate information possible for your insurance rate comparison.
Insurance is something that I carry in the hopes that it never has to be used. Along with life coverage, I also have low cost auto insurance and a health plan through my employer. I'm toying with the idea of adding some additional coverage, just in case something happens and I'm no longer around to take care of my family. The question that is on my mind is how much insurance is enough? Do I really need more, or would it be better to cultivate other assets that my loved ones can draw on if needed? If you are in the same boat, let's journey together for a while. Read on and I'll explain what I'm trying and why. Together, we can figure out when it is time to add more coverage and when enough really is enough.