If you’re new to insurance shopping, then you know it can be a little overwhelming. With so many great car insurance packages out there, how do you which is right for you?
By using a few simple tools, you can get an excellent package and save a bundle all at once.
Everyone enjoys watching that little green gecko explain how to save money on car insurance. And the character Mayhem? He perfectly illustrates all the bad things that can happen given the right situation. But it’s the message they’re sharing that’s the same: that if you shop with the companies they represent, you’ll get a discount. But the thing to remember is, not all discounts are created equally.
With that being said, as you narrow your car insurance options, really examine the costs and benefits of each discount being offered by each insurance agency. A higher quote given by one insurance company may offer a package that exceeds your expectations and blows the lower quoted insurance packages out of the water. There are discounts for good grades, company loyalty and even for just parking your car in a garage. So when you’re looking for a policy, read the fine print; the less expensive policy isn’t necessarily the better policy.
Improving Your Credit Score
Credit scores have a major impact on the financial services we use, including on our insurance premiums. Originally, credit scores were evaluated by banking and loan institutions when processing loan applications.
Credit scores today are referenced by insurance companies with specific models set in place to calculate a person’s risk level. Insurance agencies equate a high credit score with a less responsible motorist. A less responsible motorist is deemed to be a higher risk level. Insurance companies use the risk level model to assess the likelihood of a customer getting in an accident. If it seems a customer is more likely to get in an accident, their premiums are set at a higher rate.
So while your credit score may not be on your mind as you’re looking at insurance plans, it’s definitely on the mind of your insurance agent. For a better premium, you need a low credit score.
Not only are there many other beneficial reasons to improve your credit score, but you will also see a better selection of insurance quotes when you’re looking to change your plan. There are plenty of credit-based comparative tools online, such as Credit Karma, that you can use to track and even improve your score.
Comparative Premium Tools
By using some of the best comparative rating tools out there, you’re going to find an insurance package that serves you and your wallet. Sites like CoverHound help you to compare auto insurance quotes in as little as five minutes. Your time is valuable, and so is your business. Insurance comparison websites know this and do everything they can to make sure you are a satisfied customer. If you’re iffy on giving information over the computer or want to speak to an actual person, they also have licensed insurance reps that can help you in generating competitive quotes from reputable insurers.
When it’s all said and done, you want to feel good knowing your coverage owns up to its promises. By using these tips that’s just how you’ll feel—comfortable and secure.