Finding a vehicle that is right for you is already a challenge, but finding the right auto insurance makes life even more tedious. The best way to start your journey is with research. Insurance rates vary within all of the different states. When researching, keep in mind the type of coverage you’re looking for. For example, (“other than collision”) coverage or collision coverage. Once you have an idea of what you want in your insurance coverage, it’s time to get started.
How do auto insurance companies determine rates?
There can be a number of different factors that influence what you end up paying for auto insurance. Your rates may fluctuate depending on these factors. For instance:
- Age and gender
- Marital status
- Years of driving experience
- Coverages and deductibles
- Type of vehicle
- Location of vehicle (state)
- Whether the vehicle is used for work or personal transportation
- Driving record
- Claims history
- Credit history
- Previous coverage history
Finding What’s Best For You
Since pricing is based on so many personal factors, including your age, location, vehicle, and credit history, it’s important to shop around for auto insurance quotes. By comparing multiple quotes, you can find the best auto insurance rate for you and your budget.
To find top auto insurance companies:
- Visit your state insurance commissioner’s website to review complaints and other information about companies in your area
- If you’ve had traffic tickets, DUIs, or other violations, your rates may be higher until three to five years after the incident, when surcharges may drop significantly.
If you are still having trouble, consider looking into the top four big brand insurance companies. These are Progressive, Allstate, Geico, and State Farm. Remember that you are not limited to one company. You can also consider smaller insurance companies. Small companies may offer rates well below large competitors in many locations.
The Bottom Line
Researching and obtaining multiple auto insurance quotes can help you to best determine which rate and plan are best for you. Use the internet or look around in your area to find local insurance companies! Don’t limit yourself.