Welcome to Car Insurance Tips

Use A.M. Best Ratings To Compare Auto Insurance

A.M. Best is a worldwide insurance-rating and information agency that was founded in 1899. It is the largest company devoted to rating insurance organizations and has offices located in the United States, the United Kingdom and Hong Kong. When you are comparing car insurance companies, you can use the A.M. Best score to determine the right company for your needs. Best's Insurance Reports is available as a searchable database on CD-Rom, or in print with slightly condensed versions of the reports. You can also see the 10 Best's Company Reports on A.M. Best's website and access BestDirect which is a real-time company tracking service.

Using Weiss Ratings To Compare Car Insurance Companies

Weiss Ratings is a division of the Weiss Group Inc., a consumer advocate agency. The company provides ratings on a variety of consumer products, including auto insurance, to allow people to make informed financial decisions. You can use the Weiss rating to guide you to the best car insurance companies. While the company offers in-depth analysis of auto insurers for a price, they also have listed on their website the top ten and bottom ten auto insurance companies. Weiss Ratings ranks auto insurance companies on a scale from A to E, with A+ being the highest ranking. Keep in mind that the Weiss Rating only reflects the fiscal stability of an insurance company and does not reflect customer service quality.

Comparing Car Insurance Policies By Features

A lot of people focus on price alone when they are comparing car insurance policies. We are a nation of bargain-seekers so it is only natural that the average consumer looks to get the best deal on their auto insurance policy. However, to truly understand the value of a car insurance policy you must look beyond price. You want to look for the most comprehensive coverage for the best price. While most states require minimum liability coverage, it is in your best interest to obtain coverage for collision, property damage and bodily injury. When you are comparing the prices of auto insurance policies make sure to compare similar policies with similar features to find the most affordable plan for your needs.

Using The Advice of Others to Compare Auto Insurance Companies

It is said that the best advertising is word of mouth, and the saying is true for auto insurance companies. When someone is happy with the level of service that they have received, they will tell their family and friends. On the other hand, if they have had a bad experience with filing a claim they will speak negatively about the company. Ask your friends and family about their experiences with their own car insurance company. You will be able to gauge how certain car insurance companies operate in your state by the experience of your friends and family. Your auto insurance rate will be different based on your personal history, but you can use the advice of others as a good rule of thumb.

Car Insurance Comparisons: Reliable Sources of Information

Information on car insurance companies relative financial strength, operating performance, and customer service history can be found online.

* A.M. Best compares car insurance companies based on operating performance and financial strength.
* J.D. Powers & Associates maintains a database of the historical performance of car insurance customer service.
* Weiss Ratings, Inc. provides a list of financial services in the U.S., ranked from weakest to strongest.

These three sources can help you make an informed choice when you purchase car insurance online.

Using J.D. Power and Associates to Compare Auto Insurance

J.D. Power and Associates is a marketing information firm that is nearly 30 years old. The company evaluates customer satisfaction with companies by taking consumer surveys and releasing the results to the general public. The information that J.D. Power and Associates provides is completely based on customer feedback and is not influenced by the businesses themselves. When you are searching for auto insurance, the J.D. Power and Associates rating can help determine the customer service quality of the car insurance company. The J.D. Power and Associates Consumer Center is available on their website to provide resources for consumer to make informed decisions.

Contact Local Body Shops for Auto Insurance Recommendations

Body shops are a local resource that many people may over look when shopping for auto insurance and comparing auto insurance companies. Body shop owners can give you recommendations on which companies have hassle-free claims processes. They can also offer insight on which companies offer the best deals on replacement parts. Many auto insurance companies will only pay for replacement parts that are “aftermarket.” These parts are inferior to original equipment manufacturer parts. Ideally, you want an auto insurance company that will insist on original equipment manufacturer parts if you need replacements on your car. Interviewing body shop owners is more consuming than searching for the lowest quote online. But the process will save you money and time in the long run if you need to file a claim and get your car repaired.

Compare Car Insurance Rates Before You Buy a New Car

It may not seem fair, but car insurance rates can be vastly different for different types of cars. Some cars are considered more risky (such as sports cars) and may cost more to insure. If you are in the market for a new car, and have not decided what type of car you want to purchase, it would behoove you to do some car insurance rate comparisons. Even if two cars cost the same amount of money, their car insurance rates may be vastly different. You can save yourself money in the long run if you opt for a less risky type of car.

The Importance of Comparing Auto Insurance Rates

There are many steps involved in completing a thorough evaluation of your auto insurance rate options. You must first decide what types of coverage are necessary for you and your family. Then you must find reputable car insurance companies and get quotes to compare prices and policy features. It's no wonder that many people simply get a quote from one insurance company and then call it a day. However, it is vital to conduct adequate car insurance research before you sign a policy. If you do the research and find the best rate for your circumstances, you can end up savings yourself hundreds if not thousands of dollars per year.

Using Standard & Poor's Credit Index to Compare Auto Insurance

Standard & Poor's is a credit rating agency for companies that can help you determine the financial standing of a car insurance company. This can help when you compare auto insurance options. The companies receive ratings between AAA (the highest) to CC. The letter grades are sometimes modified by a + or – mark. When you use Standard & Poor's rating to compare auto insurance companies choose a company with at least a BBB or better rating. Sometimes auto insurance companies will post their Standard & Poor's ratings directly on their website. If this rating is missing, you can go directly to Standard & Poor's website to research your potential auto insurance provider.

Car Insurance Comparisons: Financial Strength & Customer Service

When comparing car insurance companies, there are three important factors to consider.

* First, view the financial strength of the auto insurance company relative to other companies in the same industry.
* Secondly, consider their operating performance -- how well do they carry out the functions that they guarantee their customers?
* Last but certainly not least, review the car insurance company's history of customer service.

Examining all three factors, plus word-of-mouth from friends' and family members' experience with the car insurance company itself, is a solid foundation for making a informed decision.