logo logo

Pick the Winner When Insurance Quotes are Close

pw-1If you believe the ads by insurance companies choosing a carrier should be really easy. After all “15 minutes could save you 15% or more on car insurance” and “customers saved $419.00 per year on average when they switched to {XYZ} insurance.” It’s pretty much like eating birthday cake to get winning insurance quotes, right?

Poking around websites and hunting through the minutiae of a policy to find out if your Pink Floyd CD will be replaced in case of an accident isn’t as much fun as going to the beach, but it’s a part of “making you whole” after an accident. That, after all, is what insurance is supposed to do.

A diligent shopper will most often find two or three quotes that are close to the same for similar coverage. How should you choose when picking the winner when insurance quotes are close? WiseInsuranceQuotes.com thought that perhaps the company that has the cutest critter on their advertisements would be the automatic choice, but we dug a little deeper to find out if that was true. As it turns out, it wasn’t! Imagine that. Here’s what IS true.

1.) Research the Consumer Track Record of Competing Companies: All major companies have enough money in the bank to pay your claim, so financial stability isn’t the be all and end all of your company analysis. However, the number and kind of complaints that are filed with the insurance commissioner should be a part of your decision process. J. Robert Hunter, director of insurance for the Consumer Federation of America in Washington, D.C says that consumers should check the A.M. Best rating for financial solvency but…

“You should also research how carriers treat consumers. J.D. Power’s insurance customer service survey and Insure.com’s “Best insurance companies” analysis are two great resources. Get Multiple Insurance Quotes Quick and Easy!

“The two most important things to look at when choosing an auto insurance company are the price and the claims service,” says Hunter. “Choose the company that has both a low level of customer complaints and low prices.”

2- Total Complaints aren’t the Whole Story: The largest companies in the country are Farmers, State Farm, and Allstate. They routinely rack up the most complaints. Customers would do well to compare the complaint ratios of the companies competing for their business. Pick out five to seven companies, and compare their complaint percentages on the National Association of Insurance Commissioner’s website.

“You can quickly knock out the companies with the highest number of complaints,” says Hunter, “because you never want to work with an insurance company that doesn’t offer good customer service. Check out the most recent Consumer Reports guide to insurance companies as well.”

3- Check the Options List: Rental car reimbursement, short distance towing and labor, repair or replacement of your music CD’s/DVD’s are available from most insurance companies. The kicker is these kinds of things come standard with some policies and are costly add-ons with others. Know whether you are getting a full deal with your policy or if you have to pick up some of the extras ala carte. It can add up to more than a few dollars every month or mean that some valuable service isn’t available to you when and if the time comes.