Why am I purchasing auto insurance?

Even though large auto insurers promote peace of mind in case of accident, is that the only reason to purchase auto insurance?  No.  In reality, people purchase car insurance for many reasons ranging from driving off a dealership lot, to purchasing car insurance for a young driver in the household and everything in between.  Knowing why you are shopping for auto insurance will go a long way to helping you pick the right insurance company or agency.

When am I purchasing auto insurance?

Everyone has different shopping habits.  Are you shopping online when you get your auto insurance bill, or are you driving to a party and remembered that your policy expired a month ago?  Whatever the answer is, timing is key.  Preferred companies like to give better rates if you’re shopping before your auto insurance expires.  While larger national companies penalize you if you let your auto insurance expire.   On the flip side, if you need to stop and get an insurance card at the local grocery store, you may be better served just to go anywhere.  The difference is simple, small local companies will give you a good rate in exchange for providing minimum coverage auto insurance policies.

What’s up with my driving record and credit?

Do you have a good driving record and bad credit?  Do you have a bad driving record and good credit, or is everything just bad?  Believe it or not, you can save time by talking to an agent that represents multiple companies.  Odds are if you go to a large national auto insurance agent that represents one national carrier, you won’t get the best rates.  As a result, you will spend lots of time looking for your insurance.  Let’s face it, no one company gives every driver a good rate on auto insurance.  If that was the case, there would be no need for any competition in the auto insurance industry.

Regardless of why you’re shopping for insurance, it always pays to do a little work ahead of shopping.  That way, you can save time and money by getting the right rates from the right insurance agents and insurance companies.