Get the car insurance you need with these easy steps

Because car insurance is mandatory, you may not have considered why it's beneficial to have a policy. But while the monthly costs can be a pain, car insurance coverage can actually save you a lot of money in the long run.

When you take out a car insurance policy, you're essentially paying a monthly fee in order to be protected against certain types of expenses. If you rear-end someone at a stoplight and they have to get treated for whiplash, for instance, your policy may reimburse them for any associated medical and repair costs. 

The expenses that car insurance covers and does not cover depend on the policy. Accordingly, your policy can be cheap or expensive and your coverage can be extensive or minimal. That's why it's so important to find cost-effective but reliable car insurance. 

If you're in the market for car insurance or are simply considering changing providers, start today by getting a quote. Multiple providers are standing by to help you.

How to shop for car insurance

Let's take a look at the most important things to consider when shopping for car insurance, so you can find the best policy for you.

Decide how much coverage you need 

The first step to picking car insurance is to decide what kind of coverage you need. Every state has insurance requirements that drivers must legally meet, but getting more than just the minimum coverage will provide additional protection and peace of mind.

You can choose to buy extra coverage for the following:

• Uninsured or underinsured motorist coverage 
• Collision (this will cover damage that occurs when you're at fault)
• Comprehensive (this will cover damage that occurs during an event that's not a car accident)
• Glass coverage (this will include coverage for your windshield and windows)

Not sure how much coverage you'll need? Speak to a car insurance representative today who can help you build a plan that works for you.

Compare quotes from different companies 

Monthly premiums from different auto insurance companies may vary depending on their rates, algorithms and more. Premiums will also depend on your driving history, age, credit rating and other factors.

When you're comparing quotes between multiple companies, make sure that each quote has the same deductible and limit so you can compare apples to apples. If one quote has a higher deductible and a lower premium, you might assume that it's a better deal than a quote with a lower deductible and higher premium. 

Make sure to ask about any discounts or deals you could qualify for. For example, if you're getting car insurance for yourself and a minor, ask about any student discounts. Some companies will also provide lower rates if you drive below a certain amount each year. Also, if you have another insurance policy, you may be able to bundle two or more policies for an additional discount.

Use the table below to compare insurance companies and services.

Read customer reviews

Good customer support from your insurance company matters because you want a company that's easy to deal with when you're in an accident. You can research a company's standing on your state's insurance directory, which will list any formal complaints that customers have filed.

Also look at the company's financial ratings, which show how financially viable they are. A company with lower ratings may be less likely to pay out than those with high ratings. You can find a list of agencies that rate insurance companies through the Insurance Information Institute.

Review the fine print

Every insurance company is different, and you should understand the details before signing up. Figure out how often you have to pay. Is there an extra fee if you pay every month or do you have to pay twice a year? Speak to a representative to make sure.

Finalize your pick

Once you've picked your new policy, make sure to cancel the old one (if applicable) so that you're not paying for two policies at the same time. Don't cancel the policy before your new one is in place, because you will have an insurance gap which could lead to major problems if you're in an accident.    

The Bottom Line

When choosing car insurance, it's often tempting to go with the least expensive plan. But when something goes wrong, you could wind up paying more out of pocket. Choose a plan that you can afford every month, but that will give you enough coverage. 

Ready to get started? Car insurance experts can help you find a plan that works for you.