Car insurance shopping on the Internet

As anyone who has ever shopped for anything knows, it pays to shop around a bit when you want to buy something. That couldn’t apply more to car insurance, as prices can vary dramatically from one company to another. It always pays to talk to a number of companies before agreeing to buy, as you could save a lot of money on your car insurance for a little bit of work.

This certainly applies if you are shopping on the Internet, as studies have shown that the quotes offered by various companies on the Web can vary by as much as 80%. No one wants to pay 80% more than necessary for auto coverage, so it makes sense to take some time to try to find the best deal for your car or truck.

Here are some tips that may make it easier for you to shop for car insurance on the Internet:

• Check out at least ten different sites. Results can vary so significantly from one company to another that it really does pay to check with many different companies. You can then look at the two or three that offered the lowest prices for further comparisons to find the policy that works best for you.

• Make sure that you are comparing apples to apples - Quotes could vary from site to site because the parameters of your search could be different. Make sure when you fill out the online forms that you are seeking quotes for identical coverage. If one site gives you a quote for comprehensive coverage while another is returning an estimate for liability only, the results will vary a lot. That doesn’t mean that one company is necessarily cheaper; it just means that you didn’t make sure to compare the same two things.
• Don’t assume that the quotes are necessarily accurate. You may find that the estimates offered vary from the price you will actually pay if you call an agent. For some reasons, may online estimates are simply not accurate. Verify the estimate with a phone call; a few minutes spent talking to an agent may be well worthwhile.
• Be suspicious of estimates that are way out of line with the others, especially if they are overly low. The low quote might be due to an error on the part of the Website or a mistake on your part. Most quotes should come within a reasonable range; if one quote is only one third of the others, you’re probably looking at a mistake. Follow it up with a phone call in order to make sure the quote is accurate.

Shopping for auto coverage is like shopping for anything else. It takes time to get the best value. Shopping on the Internet is convenient, but also has its own problems. Take care to make sure you do it right and you may be rewarded with lower premiums. If you end up saving money, the time spent will have been worth it.

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