How to Choose a Right Auto Insurance Company
There are many resources out there that discuss who is the best auto insurance company.
Low-insurance.org offers a way for shoppers to comparison shop auto quotes. Our collection of local and online agencies represent many ‘A’ rated Carriers. Although this is a fact, it never hurts to take a look for yourself and see the financial strength of the Insurance Carrier that is offering you the best rates for the coverage you need. Reviewing the insurance company will help you verify that the insurer you go with will indeed deliver you the coverage (and potentially benefits) which come with it.
One of your first lines of defense is ratings which you can find on nearly anything today. Most significant financial providers are rated by some authority trusted due to their accuracy. For insurance companies, JD Power and Associates’ is one of the leaders (practically the standard). They rate auto insurance companies based on many different factors and provide ratings for any particular company they’ve looked at with care. You can find their results at jdpower.com
Being financial at the core, insurance companies can also be rated on their financial integrity. A.M. Best as well as Standard & Poor’s both review and publish ratings regularly. These can help you to further rate the choices you have in your own terms in finding the best company. AM Best rates from A++ to D. While a D may be very questionable already, you should definitely avoid any company with the additional ratings of E, F, or S as these companies are under heavy scrutiny for finances or worse, being shut down. Actually the better companies will have at least a B+ with AM Best. Tread very wisely if considering a company worse than this rating.
Standard & Poor’s operational ratings for a company run from AAA to CC. Their rating of R means the company is having regulatory problems, and NR means it hasn’t been rated (unknown). Considering only companies with a BBB rating or better would be wise in general.
You shouldn’t have much trouble finding reputable companies ratings with the primary raters as they will usually brag on their own sites. Just be sure to verify their claims (and that they are current). You may even find some companies whose ratings are better than what they post on their own site for a short time. Keep in mind these rating interests are based on the money more than the customer service and might not necessarily direct you to the friendliest companies.
In the end, with good effort into finding the best company that can provide you benefits (in a time of need) is your goal. Whether that be the benefit of not footing the bill from a car accident that was your fault, or much more… The more time you spend on the details, the more peace of mind you can have as you make the premium payments and hopefully you have found a lower rate too along the way.