Chances are, you have seen advertisements for online car insurance while watching television, surfing the Internet, or when you open up a magazine. These advertisements seem to be everywhere, telling you exactly how easy it is to sign up for the insurance and how you can handle claims in a more efficient manor than through an in-person insurance company. While there is some truth to this, there are also other issues that might come up as well. That is exactly why you need to know some of the ins and outs of online auto insurance to determine if it really is better for you, or if you would prefer doing business with the brick and mortar locations.
Price
For starters, the price is generally less with an online auto insurance policy than with a traditional car insurance provider. This isn’t always the case, but typically, when you compare the different insurance providers side by side, you will find the cost is less with these individuals than with another company. However, you do need to keep in mind that price is not the only element of an insurance policy. Paying less money throughout the year is a nice feature, but if you do not receive the desired service, the savings are ultimately unimportant.
Making a Claim
For most online auto insurance companies, if you are involved in a car accident, you have to call their automated 1-800 number, wait on hold, and then talk to someone who is, most likely, thousands of miles away. From here, you then have to either take pictures with your cell phone and email the images, or the company is going to send out an insurance representative who they basically rent out from another company. Having a person from another company can be a bit tricky, as they are going to take care of all of their own clients first and work with customers who are from a different insurance company, like your online insurance provider, last. Due to this, you probably have to wait longer to have your car repaired. While the direct, over-the-internet method might work, you probably will have to wait around longer for your car to be fixed. If this is worth saving extra money throughout the month, then it does make an excellent option for your car insurance. However, if you can’t go several days without a vehicle, then you probably should look towards a physical insurance facility nearby.
Ultimately, it really comes down to what you are looking for and how demanding you are of your insurance company. If you are going for limited coverage and are just doing it to drive legally, an online insurance company is your best bet. However, if you believe you need continual assistance, it is best to have a physical individual around with a local office. This way, you can develop and relationship with the insurance agent and can work through the situation, all without having to wait on hold or for another company’s representative to stop by.
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