Car Insurance Shopping Checklist

The price of car insurance can vary by hundreds of dollars from one company to another, so it definitely pays to do some research before you settle on an insurance policy.  Using this car insurance checklist will make it easier for you to consider all of the options for car insurance, whether your goal is to have the highest levels of coverage or to have the lowest cost insurance.

Shop Around for Car Insurance Options

When you are looking for car insurance or looking to lower your car insurance premiums, you absolutely must take the time to shop around.  At a minimum, you want three quotes from three different companies.  You can get a car insurance quote by calling the companies or visiting their websites online. 

To get your best idea of possible prices for your car insurance premiums, check different types of companies- some sell through individual agents, some insurance is sold through agents who can write policies through multiple insurance companies to help you get better rates, and still others sell directly to car insurance shoppers via the telephone or internet.

Shopping for car insurance is more than shopping for the lowest price, however.  Just as important as the amount you pay for insurance is the the level of service you'll receive from the company and how well they handle claims.  You want to have adequate insurance coverage as well as a price that fits within your budget.

Get a Higher Deductible

The lower your deductible the more money you'll be required to pay before your car insurance will pay should you need to submit a claim.  A higher deductible can lower the amount you pay year round for your car insurance premium.  Increasing a car insurance deductible from $200 to $500 could actually reduce your comprehensive and collision premium by up to 30 percent.  If you can keep about $1000 available in the event something goes wrong, you can raise your deductible to $1000 and save almost 40 percent on your annual car insurance prices.

Take Advantage of the Multi-line Discounts

Most car insurance policies also offer other types of insurance- including home owners, renters insurance and life insurance.  When you get more than one line of insurance from the same company, you can reduce the rates you pay on all lines of insurance as a multi-line discount.  Additionally, often if you insure more than one vehicle with the same insurance company you can also get discounts. 

As you are shopping for your car insurance policies, consider some of your other insurance needs and with some careful planning you can perhaps save money on each of your insurance policies by buying them from the same provider.

Group Insurance Options

In some cases, you can get discounted car insurance policies through a group plan.  Some employers offer group policies, or professional, alumni groups, business or associations may also offer the option to obtain a group car insurance policy.  Ask around and see if you can take advantage of this option.