Why and How to Compare Insurance Rates

Home insurance, auto insurance, and life insurance are important to help protect us in emergencies. The purchase process can sometimes feel overwhelming — we all want to be sure we’re receiving the proper level of coverage. At a price that won’t break the bank. It’s a decision that we hope to feel confident in when it’s all said and done.

But later down the line – whether it’s a few months or a few years – you may start questioning whether your insurance policy is still the best fit for you. Maybe a friend or family member has shared a story about their positive experience with their car insurance company. Or maybe you got the bill in the mail, and your rates have increased for seemingly no reason at all.

In these situations, and many more, it might be the right time for you to do some comparison shopping. By comparing home or auto insurance rates, you can reassess your insurance needs to optimize your level of coverage. While still paying a reasonable price.

Why You Should Compare Rates

It might not seem fair, but the truth is that many insurance companies change rates annually. Minimum liability coverage regulations may change at a state or federal level, which could affect your premiums. Or perhaps your insurance company was met with a higher volume of claims than average, so they’re looking to make some extra money.

It’s likely that many customers will accept the price change with no complaints – because many people feel comparing insurance can be a hassle. However, you could be saving yourself money in the long run if you decide to compare rates.

There are other common situations in which an insurance policy may become more expensive. Auto insurance companies, for example, often look to a customer’s driving history to determine their price. Perhaps you got a speeding ticket, or your teenager had a fender bender. It would not be unexpected for your auto insurance to raise your rates as a result.

If this happens to you, you might discover that your current insurance company’s prices suddenly become more than what you’re willing to pay. By shopping around, you may be able find another insurance provider that meets your needs – and your price requirements.

Finally, even if your insurance price hasn’t increased, there’s another good reason to compare rates. You may have recently experienced a life change that could warrant modifications to your level of insurance coverage. In other words, you may need more or less insurance than before.

It’s possible that, given your new situation, a different insurance provider may have better options to provide the right level of coverage. But you’ll never know unless you compare rates.

How to Compare Home and Auto Insurance Rates

If you have experienced a rate change on your current policy, a simple conversation with your insurance company may help you understand the reasons why your rate has increased. Or, they may even be able to lock you into your previous rate if you tell them you’re considering terminating your service with them.

Even if you’re just looking for a change in coverage, talking on the phone with a licensed sales agent may be a good way to find out about possible bundling discounts. It could potentially save you money.

There are several approaches you can take to compare different companies. You can work with our licensed sales agents at SelectQuote to easily compare different insurance providers. That’s why we shop over 20 trusted insurers so you can compare rates and get the exact coverage you need for your best price.

Consider Re-Shopping Regularly

Homeowners insurance policies may be less likely to increase without warning, and some insurance companies may offer loyalty discounts. But car insurance premiums are especially likely to increase over time. It’s generally recommended to compare car insurance quotes every six months, because auto insurance policies usually last six months at a time.

Maybe you haven’t experienced a life change leading to an insurance price increase, yet. However, getting in the habit of re-shopping for insurance – whether it’s home or auto – will help make sure you’re constantly optimizing your insurance coverage and price. Re-shopping could help save you money.

SelectQuote Can Help You Compare

When you’re ready to take the steps to compare home or car insurance rates, SelectQuote is here to help.

We help people each year find the best coverage for them and their family. And besides saving money, we save you the time and hassle of investigating individual companies on your own. SelectQuote can provide multiple quotes for auto and homeowners insurance in minutes.

Get your free, no-obligation quote today. It’s easy: just call 1-855-334-6391 to speak to a licensed agent, or contact us.

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