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Cheap Auto Insurance Quotes Online: Can They Really Be Trusted?

Updated: December 7, 2018

One of the best ways to get cheap car quotes is by looking online.

There are many cheap auto insurance quotes online available in various states, but individuals must be careful when assessing these policies. A cheap policy is not always a good one!

With so many cheap auto insurance quotes online, individuals have a hard time choosing the best policy for their car.

It is important to understand that not all policies are great beneath the surface, especially if the company offering the policy is not reputable.

Here are some things to consider when you are looking at auto insurance quotes online.

What to Do When You Apply for Auto Insurance

The best thing an individual can do when applying for auto insurance is to look at as many quotes as possible. The biggest mistake people make is that they select one of the first cheap car quotes they come across.

Getting a good auto insurance policy is not just about paying less money per month in premiums.

It is a mistake to go with the first auto insurance quote you receive, because there are probably a lot of better options that you have not even considered.

The only way to make an objective decision is to look at all the possibilities and compare the different quotes to see what is the best in terms of price vs. coverage.

Getting a good auto insurance policy is not just about paying less money per month in premiums. It is also about having a thorough level of coverage that protects against out of pocket expenses.

If you are only paying $100 a year for auto insurance, but must pay thousands of dollars each time you get into an accident, is the policy really saving you any money? Getting more coverage is sometimes worth paying extra in premiums.

Are There Risks When You Apply for Auto Insurance Online?

There are no inherent risks in applying for auto insurance online. The risk comes when insurance buyers select a policy without understanding what they are getting.

The first step is to understand the different facets of auto insurance policies. Each insurance company offers liability, collision and comprehensive insurance.

For example, a lot of people do not know what is included in their auto insurance policy. They see a low premium and they are happy with what is on offer. But this is not enough for most buyers.

The first step is to understand the different facets of auto insurance policies. Each insurance company offers liability, collision and comprehensive insurance. Yet many buyers do not even know the difference between these three types of coverage!

When buyers make decisions without all the information, they end up with policies that they do not want or need. For example, a buyer may think a policy described as comprehensive is giving him complete protection against any damage or medical expenses.

However, comprehensive insurance simply refers to coverage for damages incurred when the car is not being driven. It does not imply that the policy itself is “comprehensive” or thorough.

Can You Trust Cheap Auto Insurance Quotes Online?

The quotes you find online with respect to cheap auto insurance are not untrustworthy by nature. However, the companies providing those quotes may not have the best reputation.

Look up customer service comments regarding this company and identify how long they have been in business.

When you meet with an auto insurance agent in person, it is easier to judge their company’s standing. A nice office and friendly staff usually points to a successful auto insurance company.

However, judging a company’s reputation is much harder when you are receiving quotes through emails and online chat conversations. In these situations, it is best to do research yourself with regards to the auto insurance company’s reputation.

Look up customer service comments regarding this company and identify how long they have been in business. Companies with a longer service history are more trustworthy.

If you receive two relatively similar quotes, always go with the auto insurance company that has a better reputation. It will make your life a lot easier in the long-run, because getting compensation after an accident is simpler when you are dealing with a reputable company that services many cities and states.

How to Save Money on Auto Insurance?

The best way to save money on auto insurance is to know what you want. By understanding the differences between liability, comprehensive and collision insurance, a buyer can make the right decision.

For example, individuals who have old cars that are not valued very high may decide to only get liability coverage.

If you know the specifics about these policies, you are in a place where you can decide if you need all three types of coverage.

For example, individuals who have old cars that are not valued very high may decide to only get liability coverage. In contrast, someone with a new and expensive car will want all three types of insurance coverage.

Another way to save money on auto insurance is to compare quotes from all the reputable companies that service your area. This gives you the best chance of understanding whether you can get a certain level of coverage for a very low price.

Always ask your insurance agent about discounts offered by the company. Even if you get your quotes online, respond to the company via email and ask them for a list of their discounts to see if you qualify for any of those rate reductions.

Understanding Various Add-Ons of Auto Insurance Policies

Aside from the main three tenants of auto insurance policies, comprehensive, collision and liability coverage, most policies have other add-ons that provide additional forms of protection.

Roadside assistance covers emergency expenses if you need your vehicle towed or moved to a certain location because it stopped running.

For example, most auto insurance companies will offer roadside assistance, uninsured motorist coverage, personal injury protection and gap insurance as separate add-ons. These add-ons can be purchased as a group or individually depending on the buyer’s needs.

Roadside assistance covers emergency expenses if you need your vehicle towed or moved to a certain location because it stopped running. Uninsured motorist coverage will protect the insured individual if they get into an accident with someone who does not have insurance.

Personal injury protection covers injuries that you incur in accidents that are your fault. For example, you may have $10,000 in medical expenses and/or lost wages because of an accident you caused. PIP would pay for these expenses, but they are not covered by any other part of auto insurance policies.

Gap insurance is especially useful for individuals who have car loans. If you still owe money on your car loan, but your car’s value drops drastically, gap insurance protects you with respect to the potential financial loss if your car is totaled.