With many car insurance companies out there, finding the best car insurance can be an overwhelming task. Each one of them offers unique coverage, extras and discounts that can have a significant impact on your budget. Insurers claim to offer the lowest rates in town, while others offer the best service. Insurance company advertisements always boast great customer service and great savings, but without the evidence, you just want the proof. To assist you to locate the top car insurance providers nationwide, we’ve compiled data on key customer satisfaction and average pricing for big companies worldwide.
Every car insurance company wants to claim it’s the best car insurance company, because it’s in the hot seat as one of the biggest competitors in the auto industry. While some car insurance companies have higher claims rates and lower prices, there are some with stellar customer service and prices that will blow you away. Here are our findings from a week long investigation:
The biggest and most trusted provider – Most people have heard of Allstate, Farmers, Nationwide, GMAC/ GMAC (the parent company of GMC) and other recognizable auto insurers. But did you know that your local hometown discount broker is the best car insurance company nationwide? Brokers represent many of the best auto insurance companies and receive favorable treatment by most insurance carriers. They don’t get paid much, if at all, for their services, but they know where the customers are and how to get the best car insurance quotes and discounts.
Medical costs – Some car insurance plans require you to pay 100% of any medical costs that occur in a wreck, regardless of who is at fault. These policies will cost you much more than traditional policies because they completely disregard an accident’s ability to pay for expenses. If you are involved in an accident, no matter who is at fault, you should expect to be billed for medical costs and damage to your vehicle. If the accident isn’t your fault, you should never have to cover these expenses out of your own pocket. Instead, you should purchase a policy that includes an accident benefits rider that authorizes you to be financially responsible for all medical costs.
The right deductible – You should know that every state limits the amount that you must pay out of your own pocket before your insurer kicks in to foot the rest of the bill. Your deductible is the amount that you must pay first, before your insurance will begin paying the rest of the bill. Some states limit the amount at which you must pay your deductible, while others allow you to increase it as well as keeping costs down. Know the laws in your state and choose a policy that has the smallest deductible.
The best car insurance company – After an accident, the insurance company you have chosen is expected to send you a check for the price they paid for your medical bills and other damages. You need to know how much those costs are going to be before you sign the papers. Ask each company you work with how many months you are allotted for an accident claim before they begin making payments. Find out if your company has an accident benefit period of at least twelve months, since this is the amount of time you must wait before you can file a car insurance claim.
The cheapest car insurance company – When comparing rates, don’t just look at the lowest price. The cheapest might not be the best, especially if your insurer does not offer you a good rate. In fact, the cheapest car insurance company might not actually offer you any coverage at all. Instead, you should focus on choosing a highly rated insurer that has years of experience behind them, as well as a great track record.
Another factor in car insurance rates is whether or not you have a higher deductible. When you factor in the cost of another car in case of an accident, you could be saving money. If you raise your deductible, however, you will be paying more money in the long run. Before you decide to do this, read about the details of your auto policy to make sure that raising your deductible won’t decrease your overall rate. If you can save money overall, why not go for it?