If you are buying car insurance there are some pretty important things to keep in mind if you want good value for your money. The first thing you should do is check your credit report and confirm your credit score is over the 620 mark. Insurance companies look at the credit score of customers to determine whether that individual poses a high risk of filing a claim and if your credit score is below the 620 mark then you are perceived to be a higher risk of defaulting. After checking your credit the next step is to make sure you have no active tickets against you with the DMV, be sure to pay off these tickets before you go shopping around for auto insurance or you could find yourself paying higher premiums than what is necessary.
Finding a Great Insurance Broker
One way to save money on auto coverage is to find an insurance broker who can shop the market for you. The broker is an independent professional who does not work for any specific insurance company but instead works on behalf of their client. These brokers have the ability to get considerably lower rates than what the average drive could get. The reason these brokers can get such steep discounts is they represent a large volume of business for the insurance companies so they are given preferential terms. Since the broker is paid by the insurance company you buy the policy from there is no cost to you so feel free to speak with a few insurance brokers.
Getting a Great Deal Online
Another option aside from the broker channel is to shop online for automobile insurance but you need to carefully screen the insurance companies to make sure they are suitable. Start by looking at whether the prospective insurer has great customer satisfaction track record, you don’t want to buy coverage from an insurer that has a complicated claims process. When you are satisfied with the customer service track record of the insurance company you should check their credit rating to make sure they can pay claims in a timely manner, this information is listed on the prospective insurance company’s website.
Saving Money on Auto Coverage
One of the best ways to save money on your vehicle coverage is to take the minimum amount of coverage. If the vehicle is being financed you need to purchase comprehensive insurance but aside from that, you should go for the least amount of coverage required by law. The less insurance you need the less you are going to pay for the coverage. Another option you may consider to save money is to take the highest possible deductible on your policy. A deductible is the amount of money you must pay out of your own pocket if you are filing a claim, anything over that amount the insurance company will need to cover so try to take the highest possible deductible.
If you followed through will all of these steps you should be able to get the best value for your automobile insurance dollar.