With many consumers keeping an eye on their budgets, the question, “How do I find the cheapest auto insurance company?” is a very timely one. There is no single insurance company which will have the best rates for all drivers. Each one decides how much coverage it is prepared to assume on behalf of policyholders sets its rates accordingly.
Drivers who are considered a higher risk for car insurance purposes pay higher rates for their coverage than people who are lower risk drivers. Some companies will refuse to cover high risk drivers at all, which means that they would need to find an insurance provider that is prepared to issue a policy.
High Risk Drivers for Auto Insurance Coverage
A driver who has been involved in one or more at-fault accidents or who has accumulated several moving violations on his or her record may be considered a high risk for insurance coverage purposes. Young drivers are also considered high-risk for auto insurance coverage purposes due to their lack of experience behind the wheel.
A driver who has been charged with a DUI (Driving Under the Influence) or a DWI (Driving While Impaired) offense will also be placed in this category. Maintaining a clean record for a few years after the initial charge (and avoiding a second or subsequent one) should mean that a high-risk driver will be able to qualify for lower auto insurance rates after a few years.
How Auto Insurance Companies Set Rates
Along with looking at an applicant’s driving history, an insurance company also looks at the person’s age, gender and marital status when determining how much to charge for coverage. Other factors the insurance company looks at when setting rates include the make and model of the vehicle, how long the applicant has been driving and where he or she lives.
Find the Lowest Rates for Auto Insurance Coverage
A consumer who is looking for the cheapest auto insurance coverage should be prepared to get quotes from a number of companies before choosing one. An effective strategy for getting pricing information quickly is to go online. Auto insurance company websites are available on a 24/7 basis to provide information about the company, the number of policyholders it serves and how long it has been in business.
Drivers who already know how much auto insurance they want to buy can visit a site which is equipped with a quote tool that can provide pricing from several companies at once. This is the quickest and most efficient way to find the cheapest auto insurance.
A person who wants to take more time considering different providers can visit individual company websites and ask for a quote from each company he or she is interested in. Once the quotes have been received, the driver can review them carefully to confirm that they are for the same type and level of protection before choosing which one to deal with.