Switching Car Insurance

switching car insurance
Getting cheaper car insurance may be easier than you think if you do your homework and switch auto insurance companies. Most people today buy automobile insurance online and don’t want to deal with the neighborhood sales agent anymore. Getting the cheapest direct rates each time your insurance policy is up, should be your goal. Most insurance policies are now managed online and can be easily transferred from one insurer to another. Some companies offer a near paperless transfer, which makes switching car insurance companies even easier. Take a look at some simple ways you can switch to a new provider and also save a bundle.

Review both your Current Auto Policy and Present Needs
It is always a good idea to review your policy when it comes close to renewal. You may need to add your policy, with additional coverage like collision, or you may decide to scale down. In today’s current economic environment, you might be smart to cancel comprehensive coverage if your car has depreciated quite a bit and stick the savings in the bank. Take a close look at your policy and then select the exact auto insurance plan you want to get. Make sure it fits within your budget and also covers you adequately, in the event you are sued or have significant medical bills. Remember, never let your automobile policy lapse, as you might end up paying higher rates later on. Always switch your automobile insurance before your current policy expires.

Shop around for the Cheapest Online Rates
The best place to look for cheaper rates is online. Insurers know most potential customers start their shopping search on the web. This means providers have to offer discounted rates that beat the competition to win your business. These special online rates are often not available through traditional sales channels like a local agent. Make sure to get at least ten quotes with top rated vehicle insurers, so you have a large pool of quotes to compare.

You should only get covered with a carrier that maintains an A or higher rating, from the trusted A.M. Best firm. The whole idea of getting insured after all is to have a company that will be there for you when you make a claim. Smaller carriers that carry heavy debt might just go out of business when you need them most, like after filing a big claim.

Once you review the lowest offered rates for your desired coverage, you now have some leverage over your current insurer. Before you switch over, call your present carrier and let them know you have found a lower rate, and you intend on switching auto insurance soon. If you are a good customer with an accident-free history, there is a good chance they will match the rate. This means that you can stick with your same company but save hundreds just by spending a couple hours getting rate quotes. There is no downside to applying for automobile insurance on the web. You are the customer and have control of the almighty spending dollar, so remember that.

Make sure you Take Advantage of Discounts you are eligible for
Before you buy car insurance on-line, make sure to get all the discounts you can. Some of the most common ones are:

  • Bundled home and auto
  • Safe Driver
  • Limited usage/mileage
  • Good Student
  • Safety Driver Class
  • Senior Auto Insurance
  • Military and Veteran
  • Garaged Vehicle
  • Multiple Airbags
  • Vehicle Alarms

Be aware that if you change auto insurers, your current discounts might not be honored with a new company. If you have a bundled rate for insuring your home and automobiles together and change your auto policy, you might give up that special discounted pricing. You might need to instead, get a bundled auto and homeowners quote and switch both over at the same time.

Contact Your Current and New Insurance Carrier
If you’ve done your research and found a new insurance provider that gets you great coverage at lower rates, then you are ready to switch car insurers. Notify both your current company and the carrier you are changing coverage too of your intentions. This will give you a written statement that you can use later if any problems arise. Next, activate the new policy and double check to make sure you are in the system and actively insured. Once you get confirmation, call your old insurance provider and notify them that you have switched. If you’ve already pre-paid the policy for a term, let’s say 12 months in advance, you will be issued a refund for the unused portion you are canceling coverage for.

Get New Quotes every 6 Months
Smart insurance consumers will check automobile insurance rates every six months to make sure they are getting the lowest rates for their plan. The internet has made getting quotes so easy; there is no excuse. Many people find that they can save hundreds of dollars annually, just by getting insured with the cheapest company. All it takes is little routine online investigative rate hunting. Get your free rate check-up now and see how much you can save on automobile insurance.