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Car Comparison Insurance

Using Car Comparison Insurance Websites

Since the power of the internet has been tapped by the major insurance companies, there is only one effective method of researching auto insurance: using a car comparison insurance website. It used to be that if a person wanted to find the best prices on insurance, it could take up to a week or longer. It would be necessary to contact several different agents, set up appointments, meet with them, take notes, and go on to the next. Even then, you could never be sure that there was an agent or company that was not overlooked. Because the process was so grueling, many people simply opted for the ease of sticking with the insurance they already had or using an uninformed recommendation from a family member or friend.

Today, there are specialized websites for car comparison insurance. With these websites, a person can fill out one form online and the website sends out the information to dozens of different auto insurance companies they work with. In a matter of minutes, auto insurance quotes can be returned in a format that makes the information easy to compare. Once the information is returned, the results can be saved for a period of time so it can be thoroughly researched and decided upon. You will be asked to create an account or the car comparison insurance website will give you a code to retrieve your saved information when you are ready to get back to it.

When you have decided upon a specific policy from the car comparison insurance website, it can be purchased in one of two ways: you will either be able to purchase the policy directly from the comparison website or the website will direct you to the insurance company’s website. After the purchase, you will deal exclusively with the insurance company.

Car comparison insurance websites, however, are not without their problems. First, you must make sure you are using a trusted website, as you will be providing them with personal information such as your name, address, phone number, and driver license number. They will ask for your Social Security number as well, but most will make this optional. A problem that could arise if you do not provide your Social Security number is inaccurate quotes will be returned. For this reason, it is also important to accurately give the website all pertinent information, such as tickets, accidents, or other events that could impact the price of the insurance. If false or inaccurate information is given, you will get one set of prices, but the insurance company will be swift to adjust your premium as soon as they get a full report back.

Accuracy of quote information is also a problem with some companies who do not ask for all of the necessary information. What happens in these cases is that the insurance companies will return to the car comparison website what are called “teaser prices.” These prices seem to be much lower than what you are currently paying, but when the insurance company gets time to pull up your official credit report and driving record, they will send you adjusted prices that are much higher. As long as you are using a trusted auto insurance comparison website and you make sure the website is asking you for very specific information, car comparison insurance is safe and effective.

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Financial Dictionary: Accounting, Business & International FinancePersonal Finance – Insurance