A common piece of advice in business is to never take the first offer. The same principle applies to choosing car insurance. By shopping around instead of settling for the first quote you receive from an auto insurance provider, you can get better coverage, lower rates, and policies that better suit your individual needs. It’s worth taking a little extra time to explore all your options.
This guide will teach you how to shop around for car insurance coverage. And don’t worry, it doesn’t need to be stressful or complicated. If you follow these steps, you can find your best car insurance options with ease.
Why Shopping Around for Car Insurance Matters
In today’s auto insurance market, there are many different insurance providers, all offering a variety of policies. Shopping around is the only way to figure out which is best for your needs.
Drivers are often surprised by the wide range of options and prices they find when they start shopping around for auto insurance. You may be able to get a much better deal on your current coverage or discover new types of coverage you want to add to your policy. Without looking, you wouldn’t find those opportunities.
That’s why shopping around is one of the best tips for getting better insurance rates. You don’t know what other options are out there until you go looking.
What You’ll Need Before Getting Quotes
Insurance providers ask for a few pieces of information from you to create your quotes, so make sure you have what you need ready ahead of time to speed up the process. Gather details like:
- Personal information: Name, birthdate, address
- Vehicle information: The make, model, and year of your car, plus any accident history
- Driving record: The dates and extent of any car accidents you’ve been in as a driver
- Current policy documents: Details about your current auto insurance policy
Choosing the Right Coverage for Your Needs
A key step in how to shop for car insurance is determining the right type of coverage for your needs. Consider these factors when selecting your coverage:
- Minimum coverage requirements in your state
- The value of your vehicle (if your car is older or less valuable, collision and comprehensive insurance might make less sense)
- Your risk tolerance and willingness to pay out of pocket for vehicle-related damages
- Your budget
If getting cheap car insurance is your main goal, you might choose to only purchase minimum liability insurance, for instance.
Where and How To Compare Insurance Quotes
When wondering how to compare car insurance policies, you have two main options: You can request quotes from individual insurance providers or use an insurance comparison tool like EverQuote.
With tools like EverQuote, you only have to enter details about your driver profile and ZIP code once to see a full list of your personalized insurance options. It’s a much faster and easier way to shop for auto insurance. You can quickly compare all your rates in one place.
Tips for Making Accurate Comparisons
Insurance comparisons can only help you make informed decisions about your coverage if they’re accurate. So keep these tips in mind to get the most out of shopping around for auto insurance:
- Check that the two policies you’re comparing include the same types of coverage. For example, compare comprehensive insurance to comprehensive coverage, not collision coverage.
- Make sure the policies you’re comparing have the same policy limits.
- Compare policies with the same deductible amount. If the deductibles are different, the insurance costs won’t be a fair comparison.
Common Mistakes To Avoid When Shopping for Car Insurance
Shopping around is the best strategy for how to get cheaper car insurance, but there are still a few ways you can go wrong. Try to avoid these common mistakes:
- Only comparing quotes from two or three insurance providers
- Comparing quotes for policies with different deductibles, coverage limits, or coverage types
- Using an insurance comparison tool that does not customize quotes to your driver profile
- Providing inaccurate information when requesting quotes
When and How Often You Should Re-Shop Your Policy
You don’t need to compare insurance rate options all the time. Instead, try to compare rates once a year to see if your options have changed significantly.
You should also consider re-shopping your policy after major life events like a marriage, new job, or car accident, as these may change your insurance options, too.
Find the Best Car Insurance Rates in Minutes
Getting quotes from each car insurance provider individually is time-consuming and tedious. What if there were a way to easily compare all of your car insurance options in one place instead? That’s where EverQuote comes into play.
In just a few minutes, you can see all of your personalized car insurance options. With your options clearly listed, it’s easy to compare policies based on price, types of coverage, policy limits, and more. You’ll be able to find the right car insurance at the right price in no time.
Get your free custom insurance comparison from EverQuote today.