How to Accurately Compare Car Insurance Rates Online

Perhaps you have just learned that you may be able to save money on your car insurance policy by checking online and you immediately hop on the Internet and begin searching. This is not exactly the best way to go about searching for online quotes, but the idea of course, is you can save money by using the Internet to compare various companies in a side-by-side view.

One of the problems that most people fail to do when they compare online quotes is they have no idea what they currently have in their car policy. Therefore, it is hard to know if the prices you are seeing are actually comparable to the cover you currently have. For instance, let’s assume you have full cover on your vehicle because you have a lien against it, but if you get online and being comparing rates to those that are just for liability or the minimum required amount, of course this will be much less than what you are currently paying.

The fact is, in order to compare online rates properly to what you currently have, you must do so by getting a copy of your current policy and looking at the various cover you have in all areas. That way when you go to the website of your choice to compare rates, you can plug these numbers in and get an accurate price quote and then compare that to what you currently are paying. Nine times out of ten, you will find that the online quote is less than what you are currently paying. The main reason for this is the Internet has caused the car insurance industry to become extremely competitive, meaning they are willing to offer you discounts in order for you to buy a policy with them.

Many firms will even offer you discounts for safe driving or if you have had a clean driving record for a number of years. This is truly a great way to find the best prices on insurance by taking the time to compare car insurance via the Internet. Of course, you will want to check out the company that is offering the lower rates to make sure that they are in good financial standing and that they have good reviews as far as handling claims and customer service. Again, the best way to do this is via the Internet, but not directly on the company website because these are often screwed and only the best reviews are listed. Once the company checks out, then you can proceed to purchase a policy and begin enjoying your savings.

Finally, when you compare car insurance online, do not cancel your current car insurance until you are approved and have the new policy in place, then call and cancel your old policy. This prevents any lapse in cover from changing to a new policy because sometimes it may take them as long as a week to get you all set up before you insurance is effective.