Shopping Pays
Simple truth: Shopping pays! A premium variance study conducted by Progressive Insurance found that the cost of an identical auto insurance policy varies an average of $515 every six months from company to company. That’s $1,030 per year! California Department of Insurance (CDOI) rate comparisons are included in this guide. These comparisons show how companies’ rates differ…from the highest to the lowest.
If you haven’t and compared at least three quotes, you haven’t shopped and you’re probably not getting the best deal. Shopping can be quick and easy if you do a little homework. There are three types of insurance companies:
1. Direct-to-consumer companies (like 21st Century)
2. Captive agency companies (like Allstate)
3. Independent agent companies (like AIS)
It makes sense to get a quote from more than one company in each group. The table on the following page gives you some pros & cons about the different types of companies segments as well as for Internet Insurance Marketplaces and insurance brokers.
What can’t be considered in your rate. Insurance companies can’t consider credit rating, race, color, religion, ancestry, language or nation of origin in determining your rate. They also can’t unfairly discriminate between individuals of essentially the same risk. And they must get their rates approved by the California Department of Insurance (CDOI) before they can use the rates. If you believe you’re being treated unfairly, you should contact the CDOI at 800/927-HELP or www.insurance.ca.gov
The service you get shopping is a good indicator of what you can expect if you purchase a policy. How quickly, efficiently and accurately the agent or insurance company gets you a quote gives some indication of how they take care of their customers. You should expect the best service from any company or agent:
• BEST: An immediate quote – no delay by website or phone.
• GOOD: A quote the same day.
• FAIR: A quote the next day.
If the service you get doesn’t measure up, move on to another company.
Related Information
Best Ways To Save Money On Your Auto Ins
1. Drive Less for and get a discount
Some carriers will discount your premium with a low-mileage discount if you drive less than 7,500 miles per year. Also ask your agent if you can receive a commuter discount for using public transportation.
Get the answers you need.
Liability Coverage:
Liability coverage encompasses two things: Bodily Injury, Property Damage. In the most general sense, a liability is anything that is a hindrance or puts an individual at a disadvantage.