OAI Highlights Value of Assessing Auto Insurance Options

LOS ANGELES, Nov. 16, 2010 /PRNewswire/ — Seeing a spike in auto insurance premiums may launch a policyholder on a pursuit to reclaim lower rates, but drivers may find it wise to take a preemptive approach and begin comparison shopping regardless of rate fluctuations, report the writers at OnlineAutoInsurance.com. In the most recent FAQ posted to the site, they have outlined a number of reasons besides price increases that make shopping around for coverage a cost-cutting tool that may be overlooked.

Although sources have shown that the proportion of consumers going online to compare rates has grown in the past few years, not all shoppers are taking full advantage of the tools available for finding quality low cost auto insurance coverage. Recently released survey data indicate that more than half of U.S. drivers automatically renew their policies.

But a regular reassessment of insurance options could ultimately benefit policyholders. While all carriers take similar factors into account when determining rates for drivers, the weight assigned to those variables differs widely from company to company. If a new carrier enters the market or adjusts its formula to target a certain type of driver, the consumer who blindly renews his or her policy may never find this out and, consequently, will continue to unnecessarily pay higher rates.

Of course, just because a policy is cheaper does not necessarily mean that it’s better. Industry experts recommend that after getting satisfactory quotes from carriers, prospective policyholders need to vet those carriers by checking financial ratings and consumer-complaint rankings. Financial ratings are available through independent agencies such as A.M. Best, and consumer-complaint data can be attained through state insurance department Web sites. The Web site http://www.consumeraction.gov/insurance.shtml contains a directory of the departments for each state.

To find out more about getting adequate coverage for reasonable rates, readers can go to http://www.onlineautoinsurance.com/low-cost/ where visitors will find resources on what to look for in an insurer.

Online Auto Insurance, LLC

CONTACT: Ben Zitney of Online Auto Insurance, LLC, +1-909-784-2471,[email protected]

Web Site: http://www.onlineautoinsurance.com/