Four Steps to Choose the Right Auto Insurance Company

It is good that you have researched your requirements well and you know how much coverage is sufficient for your vehicle.
It would be better if you also know the different ways to find the lowest rate for your policy.
But what if you are signing up with an auto insurance company that is not at all reliable? It will eventually prove to be a very costly affair.
Don't go with the big names- some of them do not treat their customers well, especially when they file a claim.
Therefore, along with certain other things, it is important for you to be aware of steps that will help you choose the right insurer.
Step I - Visit The Official Website Of Your State's Insurance Department Every state in America has a department of insurance and each department has its online presence through an official website.
Visit the website related to your state.
The first thing that you have to look out for is the "consumer complaint ratio".
This ratio will tell you the exact number of complaints that a particular company has received on every one thousand claims filed.
Obviously, a lesser ratio represents a more reliable company.
While you are here, you should also look at the basic rate comparison surveys that these websites usually publish.
Step II - Recommendations From The Local Body Shops The next step is to contact a local body shop that you trust and ask them to recommend the best auto insurance company to you.
Since managers of these body shops regularly interact with insurance adjusters, they usually have a unique perspective to offer.
They can offer a much better view on how a company deals with its customers and which insurer has the smoothest claim processes.
They will also let you know if they try to cut the costs by pushing aftermarket parts instead of original ones.
Step III - Check The Financial Strength Rating There are several websites (such as Standard & Poor's and A.
M.
Best) that publish the financial strength rating of an auto insurance company.
This rating is a measurement of the ability of an insurer to pay out a claim.
Here, it is important for you to understand that these ratings take only financial aspects into consideration.
These ratings are not affected by the way the companies treat their customers.
Make sure that the insurer you are signing up has an average rating.
Step IV - Work With An Agent If you are still confused, you may consider working with an agent.
There are two types of agents - independent and captive agent.
An independent agent does not have a vested interest in selling you a policy from a specific company because he is associated with several companies.
On the other hand, captive agent represents only one company and will do everything to convince you to get a policy from that insurer.
As it is quite evident now, working with an independent agent is a much better choice as it provides you with a better scope for research and comparison-shopping to find the best auto insurance company.