Car insurance: how to compare quotes the right way
Car insurance prices vary widely between insurers for the same driver and car. The only reliable way to find a good price is to compare several quotes built on identical coverage.
The main parts of a policy
Liability pays for injuries and damage you cause to others. Almost every state requires a minimum amount, but state minimums are often low compared with the cost of a serious accident.
Collision pays to repair your own car after a crash, whoever is at fault. Comprehensive covers theft, weather, fire, hitting an animal and similar events. Lenders usually require both if your car is financed or leased.
Uninsured and underinsured motorist coverage protects you when the other driver has no insurance or too little.
What moves your price
- Driving record and claims history
- Age and years of driving experience
- The car’s value, safety rating and repair costs
- Where the car is parked overnight
- Annual mileage
- In many states, your credit-based insurance score
Comparing like for like
Use the same liability limits, the same deductibles and the same optional extras on every quote. A cheaper quote with half the liability limit is not a saving.
Ways to lower the premium
Ask about discounts for bundling home and auto, paying in full, safe-driver or telematics programs, and good grades for young drivers. Raising your deductible lowers the premium, but only choose a deductible you could pay tomorrow.