The car insurance commercials make it seem so easy. You look at two quotes and the cheaper one is the better deal, no question about it. In reality, there is far more to it than that, and there are a number of factors you will need to consider when comparing quotes. The following are some of these items.
The premium cost
This is obviously a very large part of the quote – how much you are paying a month or whatever amount of time it is. Oftentimes the same company can give you various quotes depending on the type of plan you get. You will want to keep these numbers handy when deciding.
Look at the deductibles
The deductible is the amount of money that you will have to pay before the insurance kicks in. For instance, let’s say that you have a $500 deductible and you get in a car accident and it costs $1000 to repair the car. You will pay the first $500 and then the insurance will kick in and they will pay the other $500. These will range by insurance company as well as by the particular plan within the company. All things being equal, you will usually pay more for a lower deductible. Sometimes the deductible can range depending on what you are claiming. For instance, a small windshield repair might not have a deductible. Perhaps there is none on a car that you hit in an accident but there is one for your own car. If you have a cheaper plan but it has a high deductible, then the more expensive one might work out less expensive for you in the long run.
Look at what is covered
Plans can range greatly. Some have much more coverage than others. They may have coverage in different types of accidents or for different types of repairs. You may pay less for a certain insurance, but if you are getting less coverage then it might not be a better deal. Of course, you may not want as much coverage. Think about what coverage you want and then compare the prices on similar plans. Also, some plans cover things such as rental cars in the case of an accident. Look for these extra items.
Look for any caps
A lot of plans will have caps on coverage. When looking at the quotes, consider what those are.
Choosing a car insurance is more than just comparing two numbers. Look to the above items when making your decision on the plan that is right for you.