Every year you take the time to review your car insurance and make sure it is still meeting your needs. You think you have all your ducks in a row, but you could actually be making some costly mistakes.
The majority of people in the U.S. overpay for car insurance, and many do not have enough coverage to meet the needs of a serious claim. Continue reading to learn about the 5 mistakes you should avoid when shopping for car insurance (hint: number 3 could cost you thousands!)
1. Focusing on the Best Car Insurance Rates
With all of the commercials touting insurance savings, you would think it was the most important part of shopping for insurance. However, your car insurance is not a new pair of shoes. It is an important financial tool used to protect your assets, and your lifestyle.
When you shop for insurance based on rates alone, you might turn up a policy from an insurance company you’ve never heard of offering you just enough protection to meet Wisconsin minimum standards. Unfortunately, the coverage you are required to have and the coverage you need are two very different things.
2. Shopping Direct vs. an Independent Agent
Don’t believe the myth that says shopping directly from an insurance company is somehow better than shopping through an independent agent.
Shopping direct means that you are limited to the coverage and limits offered through a particular company. Worse yet, building your own policy online forfeits the support and guidance you would otherwise receive from a licensed and regulated car insurance agent.
3. Cutting Coverage to Save Money
It’s a tale that’s been told time and time again – a driver cuts back on collision or comprehensive insurance to save some cash, only to experience an incident that causes thousands of dollars in damage to his or her vehicle.
Instead of putting your neck on the line, let an independent agent find other ways of putting money back in your pocket without sacrificing the quality of your coverage.
You might qualify for money-saving discounts, such as reduced car insurance rates when you bundle your home and auto coverage with the same company.
4. Overlooking the Value of a Local Agent
If you’ve ever filed a claim on your insurance policy or had a question about your coverage, you know how frustrating it can be just to speak with someone who is knowledgeable about your policy.
Whether you are waiting on hold, waiting for a callback, or are being transferred between representatives on the phone, wouldn’t it be easier to call up your local agent and speak with someone who already knows you well?
As a local independent agency, we enjoy helping Jefferson area drivers bypass the frustrations of working with big insurance companies. We provide one-on-one attention and assistance when it’s needed most, so you can relax knowing you are well taken care of.
5. Not Keeping Your Agent Informed
While technically not a part of the shopping process, you could be making a major mistake by leaving your independent agent out of the loop on important life events.
Did your teen daughter leave her vehicle at home when she left for college? Did you eliminate your daily commute and start your own at-home business? These types of changes have significant implications on your coverage needs and the amount you pay for your policy.
Be sure to keep your agent informed of life changes as they occur to ensure you always have the right coverage to meet your needs.
If you think you might be making a mistake with the way you shop for car insurance, contact our office for assistance. We look forward to serving you soon.