Auto insurance companies offer different levels of coverage in each state depending on what type of vehicle you drive, where it is parked, and various other factors such as your credit rating and your driving history. Auto insurance companies set their rates state by state and in most cases have to have their rates approved by the insurance commissioner’s office of that state.
When searching for auto insurance companies, a few things you may want to consider are things such as:
– Local agents: Does the company provide you with a local agent to assist you should you need help?
– Financial stability: What kind of cash does the company keep in reserve to pay claims? This will also show you the financial stability of the actual company.
– Paying Claims: How is their track record of paying out claims, how quickly does the company resolve claims?
– Billing: How consistent and user friendly is their billing process?
– Customer Service: How friendly is their customer service and how easily can you reach them when you need to?
Auto Insurance Companies Your Friends Use
The top auto insurance companies will do pretty well in each of the areas listed above. Ask around. Talk to your friends and discuss what type of experiences they have had with their company. It may be that the cheapest car insurance companies are not the best value for you when you find out that part of the reason their rates are lower than other insurers. To keep rates lower, many companies will keep their overhead down by outsourcing their customer service department to foreign nations, or have completely automated systems so that they do not have to pay hourly wages, and benefits of people working in their customer service department.
The cheapest auto insurance companies are not always the best. Different people will have had different experiences with different auto insurance companies, so keep in mind that when you are inquiring with your friends, they may have their own biases as well.