How to Buy Car Insurance 101: Tips & Suggestions

~ Tips and helpful advice on how to buy car insurance for auto insurance shoppers ~

How to Buy Car Insurance 101

The automobile has long been associated with a sense of freedom, but cars are often more than just a convenient way to travel. Almost everyone will need car insurance during their lifetime, and many people will switch insurance carriers multiple times.

Whether you are a new buyer or someone looking to make a change, the following are some tips and strategies, from comparing quotes to considering different types of coverage, to help find the best (and most affordable) car insurance.

There are numerous questions about automobile insurance a potential buyer will ask. The top two questions are probably:

How much car insurance coverage do I need to buy?
Who is the best auto insurance provider?

How Much Auto Insurance Should I Buy?

According to financial expert Dave Ramsey, you need to buy a minimum of $500,000 worth of liability insurance, because that type of auto coverage is legally required to drive a car. Then Ramsey says to plan on purchasing coverage that covers you and protects you from expensive car wrecks.

Ramsey recommends single coverage limit for liability aka a combined coverage limit to cover any liability costs for an accident.

He recommends looking at adding the following types of insurance to your auto policy:

Comprehensive Coverage
Collision Coverage
Uninsured Motorist & Underinsured Motorist
Personal Injury Protection is required in many states

Who Is the Best Automobile Insurance Provider?

It is hard to say who the best car insurance provider for your needs is, but there are some tips and tools that will help you decide.

First, what kind of insurer do you want? You basically have three options:

Insurance Agent– Option 1 is to deal with an insurance agent. This is probably the most traditional way to get car insurance. You either pick a company uou like and find a local agent, or you pick someone you know in business and work with his or her agency and company.

Insurer— Going directly through the insurer or through a third-party site that provides quotes from different companies is more direct. Pretty much everything is handled online.

Independent Agent– An independent agent can be a good option if you want someone to do a lot of the legwork for you. They work with several different companies and can felp you find a better deal as well as provide a personal touch.

Finding Competitive Car Insurance Quotes Online

One method that is growing in popularity, thanks to the ease of using the internet, is getting a quote on an auto policy by comparing top auto insurance carriers with high ratings online. You will fill out some basic information about yourself and your vehicle and them be provided with multiple quotes from different carriers.

Getting the best rate from the best car insurance carrier requires a little research and prep, but there are ample resources available to help you navigate your choices.