Taking these steps can help you get the best deal on auto insurance.
Anyone who drives a car is required to obtain auto insurance. It is, however, typically a costly undertaking. The average yearly cost of full-coverage automobile insurance in the United States is $2,014 per year, according to Bankrate.
Your driving record, the number of miles you drive each year, where you live, and even your credit score all influence the amount you’ll pay for coverage, commonly referred to as your premium. When pricing your coverage, insurance companies evaluate these factors differently, which may result in one insurance company charging you a much cheaper price than another.
To get you started, Select has sorted down some of the top auto insurance firms on the market. Geico is the greatest overall choice for auto insurance, having some of the lowest rates for both minimum and comprehensive coverage. State Farm ranks in second, with outstanding customer satisfaction ratings from J.D. Power.
Now that you’ve reduced it down to two top providers, check for any others who could be a good fit. Here’s a step-by-step approach to finding and saving money on auto insurance.
1. Collect all of your paperwork and information.
You’ll need information from your car and your driver’s license, as well as personal information, to start shopping for auto insurance.
When you start shopping, keep the following goods on hand:
Your driver’s license
The vehicle identification number (VIN) of your vehicle (typically located at the bottom of your windshield on the driver’s side)
Your vehicle’s mileage, make, model, and year
It may also be useful to have information on your previous vehicle insurance policy if you had one. This allows you to compare the new pricing to your current coverage and match your new policy to it.
2. Get quotes from many insurers and look for discounts.
To compare costs, you’ll need to gather a variety of options from several insurers. To begin, collect three or four quotations.
Before you start looking for quotes, do some research on the companies you’re considering. AM Best financial strength ratings and J.D. Power customer satisfaction measures are important when evaluating insurers. We’ve already done some of the labor for you by considering these factors (and more) while recommending some of the top plans on the market in our rankings of the best auto insurance providers.
Consider car insurance companies that provide discounts. Farmers, one of our top picks, offers 23 different car insurance discounts, including savings for combining home and auto insurance, automatic payments, on-time payments, and insuring multiple vehicles.
It’s also a good idea to get quotes from top-rated insurance companies for individual drivers. Teens and their families, for example, may choose to go with one of our top picks for young adult drivers, such as Auto-Owners, which received the best customer satisfaction rating. Similarly, high-risk drivers with a DUI should consider Progressive, which was a top pick in that category. Senior drivers should look at Geico, our top overall suggestion for this age bracket.
When gathering quotes, make sure to select the same amount of coverage, if not more, that you now have. Check that the deductible, or the amount you’ll have to pay out of pocket if you have to file a claim, is the same on your quote as it is on your current policy.
3. Compare quotes based on coverage limits, deductibles, and cost.
After gathering many quotes, go above and above the premium to obtain the greatest deal.
Ideally, you should research the various types of coverage and any coverage restrictions. Check to determine whether the deductible is an amount you can afford to pay if you need to file a claim.
Then consider the premium. The best insurance is the one that has the lowest cost, fits your budget, and gives the most coverage.
To summarize
When you shop around for car insurance, you may get the most coverage for the lowest price. Get many quotes and compare them to get the best auto insurance policy for you and your family, taking into account the cost, deductible, coverage types, and limits.