Multiple insurer plans offer distinct rates of insurance.
Currently, New York State has what might be termed as stiff market competition among auto insurance companies, thus there is a great disparity in the charges between one company and the next. These differences may be well defined by such factors as the type of portfolio of the insured group for the company. That is why it is always recommended to collect offers from different insurance providers. The majority of those who get the rates find a better value than those who do not bother to do so. Some insurers conduct business as part of groups of companies that are affiliated and managed by the same managing company, so be sure to ask your agent or broker, which company will underwrite your policy.
It’s a good idea, for instance, to talk to your insurance agent before you decide to buy a car that is new or used to find out how much it will cost to insure that particular car.
Obtaining Rate Quotes
Auto insurance quotes can be had in several ways. Today, it is worth mentioning that customers can obtain direct contact with agents, brokers, or insurance companies through phone or on the web. Moreover, through websites quoting agents advertise their services to consumers; and using sample rates from the insurers.
When obtaining quotes, keep in mind the following:
- Check for licensing: When you are in the market looking for auto insurance, ensure the insurer you contract has a valid license to carry out business in New York State. There is a misconception that an online business entity is legal when, in fact, this is not always the truth. One should also ensure that agents and brokers are licensed. In case of doubt, ask the agent for the NY license number.
- Provide accurate information: When filling out and submitting documents make sure to give truthful responses to questions on the record of your driving, the vehicles you have been using, and other related information. For instance, if you do not remember past accidents or violations in the last three years, checking again before making information is better.
- Have your current policy details handy: Maintain your current provider’s declarations page accessible while retrieving quotes and remember all the make, model, year, and vehicle identification numbers (VIN) of each car.
- Verify security measures: It is always important to ensure that you are communicating with the right person when disclosing financial or personal information to an insurer or an agent. If with the internet, make sure that the webpage is secure. There should be information about the privacy and security of the site, the site should say that it protects your information from third-party access. Also, enable sounds on your browser to enter or leave a secure mode of operation.
- Consider discounts: In most cases, a given price quote given by an insurer will not differ whether it was given through the Internet, in an emailed policy, or in a verbal conversation. Although, some insurers may propose the possibility of a lower price for online transactions only.
This is more so after following these guidelines and getting various quotes that can allow you to compare the insurers better.
Currently, online channels only occupy a small proportion of total insurance sales but the scale of its participation in the market is growing dramatically. Because competition in computer-based selling is projected to increase in the next years, sales made through the Internet are anticipated to increase as well. New York State consumers should be aware that although the web provides a fast method of submitting forms, getting quotes, and buying auto insurance online, it is not right for everybody. Even if you do not shop online, the best practice is to always compare the auto insurance rates.
Don’t Shop By Price Alone
Price is only one criterion when determining the choice of an auto insurance company. Consider the following key aspects before making a decision:
- Claims handling, reliability, and service quality: Find out how those insurance companies handle their claims process, as well as their reputation for accuracy. Also, it is worthy to assess the extent to which they offer service through their agents, brokers, or customer relations.
- Coverage options: While doing your research most insurance companies have the basic types of coverages, ensure that they offer the desired coverages. For example, do you want full glass, fire or theft, medical, towing, or rental, or perhaps more coverage for your property, including property damage, bodily injury, and damages? Most insurance companies offer groups of extra insurance services and bonuses that may be appropriate for you.
- Potential dividends from mutual insurers: Some types of mutual organizations may provide policy-holder dividends, which in turn can be an additional income rather than being incorporated into the policy fare.
- Merit rating plans: The majority of insurers have merit rating mechanisms that vary premium rates according to the record of a specific driver. In case you have an accident or you have been charged with some specific violations such as speeding, then you are bound to pay higher premiums. Sometimes, the insurer with lower initial charges may not mean that they are cheap once they inflict these surcharges.
- Installment payment options and fees: Paying your premium in installments is possible because the majority of the insurance companies approve it, however, this comes with extra charges. Delays in payments or returned checks require charges as well and bounced check fees cannot exceed $20.
- Impact of fraudulent claims: Unhonost claims put a burden on the insurance bill of every policyholder. To fund the points system alone, New York State has a $10 Motor Vehicle Law Enforcement fee (or half-year of $5) tacked onto auto insurance on each registered car. This fee helps with prevention services related to auto theft and fraud.
Final Thoughts: It pays to think twice and thrice before making a decision.
Avoid getting conditioned to think that auto insurance is just a cheap price that one needs. Selecting the company often depends on the price compared to the level of coverage, type of customer service, as well as other features that make the service suitable. This way you not only get a comparison of quotes given by all the insurers but also get to know the coverage available and factors such as the claims handling and merit rating plans so that you get to decide which company and what policy is giving you value for your money. Regardless of whether one is using the internet for such purposes or is following directions provided by an agent or broker, a little more time and effort put into the shopping process can save a lot of trouble and money along the line. Bear in mind, that the right policy shall not only be affordable but shall assure you that you’re ready to tackle whatever you are faced with.
