Becoming an Adult

4 Mistakes To Avoid When Comparing Auto Insurance Quotes

20 January 2021

Robin King

To get the best rates on your auto insurance coverage, it's a good idea to "shop around" and compare auto insurance quotes at least once a year. You can do this by selecting a few reputable insurance carriers in your area and submitting identical quote requests to each. Before you start comparing auto insurance quotes, however, there are some common mistakes you'll want to be aware of so you can avoid them in your own hunt for the best rates.

Failing to Compare the Same Coverage

First and foremost, make sure you're comparing the exact same coverage with each of your quotes. Otherwise, you might be comparing apples to oranges and mistakenly select a policy that's inexpensive but lacks the coverage you truly need. Specifically, be sure that the quotes you're comparing are for not only the same types of coverage, but the same coverage amounts as well. This will ensure that you're making a fair comparison between companies.

Falling For "New Policy" Discounts

If any of the quotes you're looking at include a "new policy" discount (or similar discount), be sure to find out the details before you make the switch. Often times, these discounts for new policyholders are a one-time deal, meaning they'll expire after your first six-month policy renewal is up. If this is a one-time discount, make sure that the price you'll be paying after it expires is still a reasonable one. 

Using a Third-Party Comparison Tool

While third-party insurance quote tools are designed to save you time, the reality is that they're not always as accurate as contacting an insurance carrier directly for your quote. For this reason, it's generally best to manually obtain guaranteed quotes from each auto insurance carrier yourself. 

Entering Inaccurate Information

When you're filling out a request for a car insurance quote, be as honest and accurate with the information you provide as possible. If you know you have recent moving violations or tickets on your record, don't leave these out. Otherwise, you could end up with an inaccurate quote when the insurance carrier runs your driving record before activating your coverage.

A little shopping around can go a long way when it comes to securing the best rates on your car insurance coverage. Just remember that price isn't everything, and you often get what you pay for when it comes to car insurance. Before selecting the lowest quote offered to you, take some time to research the insurance carrier and make sure you're getting a great value.

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