Is it Safe to Buy Car Insurance Online?
If you are in the market for a new car insurance policy, buying it online can be an excellent option. Online insurance sites often require just a few questions, and then provide you with a basic price quote and policy offer. From there, you can choose additional options and compare prices in general. Whether you choose to purchase your policy through an agent or online, you should always be careful and keep your credit score in mind.
Cost
Buying car insurance online can be a great way to save money on premiums. Unlike buying car insurance in person, you don’t need to spend hours researching each insurer to find the right one. In fact, you can compare prices with the click of a button and find the best policy for your needs and budget.
When choosing a policy, be sure to look for a deductible. You can save anywhere from 30 to 50% of your premium by not making a claim. The insurance company will often reward you for having a good claim-free record, so it’s worthwhile to keep a clean record. Many insurers will factor in your age, gender, and marital status when calculating the price of your quote.
Insurers also use your driving profile to determine premiums. High-risk drivers can expect to pay significantly higher premiums. Your credit score can also influence your premiums. While most states prohibit insurers from using credit to set rates, Washington State allows insurers to use your credit in some cases.
Convenience
Convenience is one of the key factors that attract customers to buying car insurance online. The process is faster and easier, with only a few basic details needed. This enables customers to make decisions at their own time and in the comfort of their home. In addition, it helps them to switch between insurers with fewer hassles.
Several insurance sites offer comparisons and live chat with agents. They let customers modify their deductibles and policy limits and add or remove optional coverage. They also run a final check on their users’ driving history and can raise the rate if there are unreported accidents or unsatisfactory records.
Comparing car insurance quotes online is convenient and free. In addition, obtaining a quote online does not affect a consumer’s credit score. However, if the consumer has specific questions, the service of an agent can be invaluable.
Credit score impact
Your credit score has an impact on the price of car insurance. While it may not be the sole factor, insurers use various versions of this score to determine a customer’s risk level and therefore rate them accordingly. A higher score indicates a more responsible driver who is less likely to file a claim.
Although there is no law banning insurers from using credit score when calculating insurance rates, there are a number of state laws that prohibit this practice. In addition to California, Massachusetts, and Michigan, Washington has banned insurers from using credit scores to determine auto insurance rates. However, the ban has not yet taken effect.
The State Farm website confirms that insurance companies do check your credit score when providing quotes, but does not state if they use a credit inquiry. The website also points out that many insurers use credit-based scores when determining premium rates. While a credit inquiry can have a negative impact on your credit score, it will not hurt your credit rating if you only pull one or two quotes.
Is it safe to buy car insurance online?
Is it safe to buy car insurance online, especially if you’re buying it from a reputable insurance company? Yes, you can. But you need to be sure to shop around and check out the company’s website. Doing so will help you make sure you’re not getting scammed.
Despite the numerous benefits of purchasing car insurance online, you need to be cautious. Some sites may pose as legitimate insurance companies and steal your personal information. Before handing over your credit card number, make sure you check the authenticity of the website by visiting their official website. Also, make sure you check the credibility of the insurance company by doing a background check through independent sources.
The best way to protect yourself and your family is to buy adequate insurance coverage. If you don’t have enough coverage, you could be facing a huge bill if you get into a car accident. For example, liability car insurance will cover damages and injuries to other people and their property. It will also cover legal costs in case you are sued by the other driver.
