10 Steps to Buying Auto Insurance
The following simple steps will help you determine how much car insurance you need to carry. And it will also help you get the best coverage at the lowest price.
Step 1: Starting Out
Step 2: How Much Coverage Do You Need?
Step 3: Review Your Driving Record and Current Insurance Policy
Step 4: Solicit Competitive Quotes
Step 5: Record and Compare Quotes
When you visit the different online insurance sites, you should take note of several things:
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Annual and monthly rates for the different types of coverage — make sure to keep the coverage limits the same so that you can make "apples-to-apples" comparisons
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An 800 number to call for questions you can't get answered online
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The insurance company's payment policy (When is your payment due? What happens if you're late in making a payment?)
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Discounts offered by the insurance company that pertain to you
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The insurance company's consumer complaint ratio from your state's department of insurance Web site (more on this later)
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The insurance company's A.M. Best and Standard & Poor's ratings (more on this later)
Step 6: Work the Phones
Step 7: Look for Discounts
Step 8: Choosing the Right Insurance Company
Step 9: Review the Policy Before You Sign
Step 10: Cancel Your Old Policy
Checklist
Determine your state's insurance requirements.
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Consider your own financial situation in relation to the required insurance and consider buying more to protect your assets.
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Review the status of your driving record — do you have any outstanding tickets or points on your driver license?
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Check your current coverage to find out how much in premiums you are paying.
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Get competing quotes from an Internet insurance Web site such as InsWeb.com, YouDecide.com and InsureOne.com.
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Make follow-up phone calls to insurance companies to get additional information about coverage.
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Inquire about discounts you might qualify for such as a multiple policy discount.
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Evaluate the reliability of the insurance company you're considering by visiting your state's insurance Web site.
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If you have chosen a new insurance company, remember to cancel your old policy.
Auto Insurance Companies
Progressive Insurance
Geico Insurance
All State Insurance
