When selecting a car insurance provider, a customer should be careful to judge the potential insurer by a variety of factors in addition to which one provides the most competitive car insurance quote. Of course, you must be able to afford your car insurance, but there are other things to look at as well. When comparing various auto insurance companies, be sure to have your checklist handy. Information on insurers can be obtained from many different sources, including online resources, agents, brokers and word-of-mouth referrals.
Does the Car Insurance Product Fit Your Needs?
When selecting a policy from a car insurance provider, the customer should be certain that the car insurance quote being offered suits his or her needs. Start with a list of the types of insurance that you need to carry on your policy in order to be fully covered. There are many types of auto insurance, including Collision and Comprehensive, Bodily Injury Liability, Property Damage Liability, Underinsured & Uninsured Motorist, Medical Payments, Rental Reimbursement, Gap Insurance, and New Car Replacement.
Deductibles and policy limits play a large role in determining the price of a car insurance quote. A higher deductible and lower policy limits will result in a less expensive policy. However, be sure that you can afford to pay your deductible in the event of a car collision or comprehensive loss. Do not choose policy limits which are too low to properly protect your assets and income from the risk of a car accident.
How to Judge an Auto Insurance Provider
Because car insurance is a public service, the quality of the customer service you receive from your car insurance company should be top notch. Your insurer's customer service representatives should be both courteous and professional. Claims adjusters should return your calls within a reasonable time frame, and should be able to fully explain the car insurance process. Your questions should not go unanswered.
A car insurance provider is only as valuable as its ability to pay your claim in the event of a loss. Financial strength ratings range from "AAA" to "R" (Regulatory action), and it is recommended that you choose an insurer with a financial rating of at least "A". Three primary companies do the research and analysis necessary to assign financial ratings to insurers. They are as follows: Standard & Poor's, A.M. Best Company and Fitch Ratings.
A customer attempting to choose the right car insurance provider should be mindful of more than just price when making his or her selection. Considerations should include the appropriateness of the fit between your car insurance needs and the products offered, the quality of customer service from auto insurance companies and their financial strength rating.