Buy Car Insurance from the Auto Manufacturer? Yes, you can buy car insurance from the manufacturer. However, there are many fine points to consider before purchasing automobile insurance through the dealer’s lot. For instance, if you financed your automobile at the dealer and then you were required to purchase collision and comprehensive as well as uninsured motorist coverage, the dealer might offer to provide insurance for you as a way to help you make the transaction easier on you.
The biggest problem that occurs with buying car insurance through the dealer’s lot is that you will not know what you’re getting until it’s too late. If you buy car insurance from the lot where you purchased your automobile, it’s more likely that you will be provided with a standard policy rather than a more customized one. This will also most likely be a lot less expensive, since the bulk of the costs associated with purchasing comprehensive insurance and liability coverage will be eliminated. On the flip side, if you buy car insurance from an independent agent, you can usually choose what type of policy you want and how much you are willing to pay for it. This will almost always include some of the same benefits, such as collision, liability, uninsured motorist, and personal injury protection.
How Do I Know What is on my Auto Insurance? Before you buy car insurance from any company, you need to be able to know what is in your insurance. Every state requires that you at least have liability coverage and proof of auto ownership. Some states even require uninsured/underinsured motorist coverage, which can be a lifesaver when you meet with an accident.
Compare Quotes with Various Companies: Before you start to look for a suitable insurance agent, you must compare quotes with various insurance agents. You can get free quotes from insurance agencies by contacting them directly or through the Internet. If you decide to use the Internet to get quotes, you will need to provide your zip code in order to receive a free online quote. Once you receive a few quotes, it’s important to research the ones that are best for you, especially since some insurance agents may offer different rates based on your data. Also, make sure the company you are dealing with has been around for a while.
Read Consumer Reports and Agencies Reviews: One of the best ways to find out what the different companies have to offer is to read consumer reports and agencies review about specific companies. The Better Business Bureau, for example, has a website where you can find out about Allstate insurance agents. Other websites, such as those run by consumer advocates, may also give you a better idea about a given agent. If you are willing to pay for a report, check the ratings from at least three different agencies. The Better Business Bureau will tell you if an agent has registered a complaint against them.
Visit a Car dealership: Many people do not purchase car insurance until they arrive at their new car lot. Once they are inside the lot, they begin to feel pressured by salespeople to choose a policy right then and there. It is recommended that you go to a dealership with your vehicle already installed so that you can have an honest discussion about price and benefits. There are often agents available at new car lots who can help you with the questions you have. Although you won’t be able to buy the car immediately, you can look at cars and compare different insurance packages.
Go through your policy documents: Often people do not realize that they have gaps in their coverage. For instance, many people do not realize that uninsured or underinsured motorists can cause them to be billed twice for the same accident. A gap insurance policy covers you in the event you are victims of a motorist who is either uninsured or does not have enough coverage to pay for your damages. This type of insurance is available at most dealership, but you will probably need to buy it from your insurer first. Be sure to read your coverage thoroughly before signing on the dotted line.
Compare coverages: Since you have the option of choosing many different policies, you will want to compare their prices and benefits. If you purchase the most expensive one you can find, you may want to think twice. You should shop around and compare price, as well as the types of coverages included. Some insurance companies will offer you more extensive benefits for more money. You should also consider your deductible amounts and expect that these policies will cost you more in the long run if an accident occurs.