Paying more money does not always mean that you are getting the best; sometimes you get less for what you paid for. This is true also with car insurance where high premium makes people believe that they are getting the best coverage when in truth they are getting only what is equivalent coverage to what some other people are paying a lot less for.
You can try asking some of your friends or fellow workers on their insurance coverage and the premium they are paying and you will be surprised to learn that for the same coverage, these people are paying for different rates of premiums. This only shows that insurance companies charge differently for the same coverage they provide to customers. Insurance companies charge premiums based on their perception of the client’s risk level; the higher the risk level is, the higher premium goes too. But then, insurance companies differ on how they perceive risk levels and therefore they will differ also in the rate of premiums they will be charging.
The best option then will be to shop around, a tool that is often times applicable whenever people want to buy anything or avail of services. Different merchants offer different prices for the same kind of commodity and insurance companies are no different. When shopping around for the best car insurance coverage and the lower premium possible, you should be getting different quotes from different companies. Five quotes will be ideal but these quotes should not come from insurance companies but rather from insurance brokers. Each broker will give you several quotes from different insurance companies but not all brokers cover all insurance companies. The best way of doing this is by getting quotes from five different brokers which will mean that you will have a lot of insurance companies giving you the amount of how much premium they charge for the particular coverage that you want.
When you request quotes from brokers online, all that they will require you to do is answer some questions which you can accomplish in few minutes. Getting quotes from five different brokers may require you to spend about thirty minutes or so answering questions. You may complain that it is too much time to spend just for getting quotes but if it will mean $200 savings for one year, the time spent looking for quotes will be well worth it.
Some people may do their shopping around for insurance the old and hard way: looking for ads of insurance companies in the yellow pages then calling them one by one for quotes. You might be spending the whole day doing this but you still will not be getting enough quotes that will enable you to choose the best. You might as well forget about this method of getting insurance quotes and instead go online for better results. This will give you better chances of getting insurance quotes that will give you the best car insurance coverage for the least premium payment.
See: Gas Credit Card
