When You Search Car Insurance: What You Need to Know
In today's digital age, comparison websites can be a valuable tool for finding the best car insurance rates. However, some of these sites are geared towards trapping you into higher quotes, often by asking if you've ever had a policy canceled. If you say yes, they might escalate your quote by upwards of 500 dollars. The term "ever" can be misleading; it suggests that any cancellation within the last 10 years should be disclosed. This practice is intended to trick you into paying more for insurance.
The Dark Side of Comparison Websites
Most comparison websites that 'shop' for you are primarily focused on gathering your personal information to sell it to insurance companies and others for spam purposes. This deceitful practice not only violates your privacy but also adds unnecessary stress to your life. It is far more beneficial to call carriers individually and seek advice from reliable sources.
Understanding Cancellation and Non-Renewal
When a policy is canceled, it is crucial to distinguish between cancellation due to non-payment and non-renewal. If your policy was canceled due to a failure to pay, you may have been refunded for the prorated balance. On the other hand, a non-renewal might be due to underwriters changing requirements or the area experiencing a disaster. Similarly, if the cancellation was caused by excessive claims, it could take some time before you receive any relief.
Insurers Check Your Insurance History
Do not be surprised if your insurance history is checked even when applying for new coverage. This can influence your premium amount. Often, you cannot obtain a policy until you speak to someone from the insurance company. Insurers typically ask about any lapse in coverage for a short period, but rarely do they inquire about issues from 10 years ago.
Reading the Fine Print
It is essential to carefully read the fine print. Any cancellation due to non-payment might not be counted in the context of seeking a new policy. This can be confusing and misleading.
The Importance of Independent Agents
Instead of relying on comparison websites, consider talking to an independent insurance agent. Our comparative rating tools can shop your information across all companies we represent, similar to what comparison websites do on a larger scale. However, unlike these sites, we vet the options for you, ensuring we select the best one. We provide a "bridge" to the best quote and rate it through the company's rating site, as it frequently changes.
While some insurance companies are stricter about prior cancellations than others, we use our professional knowledge and expertise to find the best options available and present them to you. The good news is that we can often offer you competitive pricing compared to online rating sites, and you get our professional advice for free! Insurance is complex; buying it online can be compared to getting a haircut online - it's rarely as straightforward as it seems.