Comparing Apples and Oranges: Tips for Auto or Homeowner’s Insurance Shopping

When it comes to comparison shopping for car or homeowner’s insurance, it’s tough to beat the convenience of doing it all online. Although you’re bound to come across people who will swear by the importance of actually getting someone on the phone to iron out the details, as long as you know what to look for the online option is just as viable as the in-person option. Here are some suggestions to help you get the most out of your online insurance comparison shopping.

Find Out What’s Not Covered
Sometimes it’s easier to gauge the quality of an insurance plan by asking what’s not covered instead of asking for a laundry list of what is and getting overwhelmed with information. If the insurance plan you’re looking at doesn’t provide an easy-access list of coverages that aren’t extended to certain pricing plans, you may have to perform what some might call a “gap analysis.” This is really just a fancy way of making a list of everything that’s covered by each plan, comparing them side by side, and using your powers of deduction to come up with a list of exclusions. Online comparison shopping gives you the luxury of time so that you can take as long as necessary to compare levels of coverage. The good news is, there are plenty of online resources that will compare coverage points for you so that you can be saved from having to go to these lengths.

Comparing Apples and Oranges
People always say it’s not a good thing to compare apples with oranges, but if you’re shopping for insurance it just might behoove you to do so. There are many insurance providers who sell both auto and homeowner’s insurance policies. It’s likely you won’t be shopping for both at the same time, but it does make sense to consider both when drawing comparisons. You can save a bundle of money every year by taking advantage of the discounts that are offered to customers who carry a dual policy with a single provider. If you’re already happy with your insurer and are looking for either an auto or homeowner’s policy, it makes sense to look at your existing insurance company first to see what they can offer in the way of discounts. However, price should never be the deciding factor.

The Cheapest Option Isn’t Always the Best
This fact should come as no surprise to anyone who’s ever bought a cheap watch and had to replace it within a couple of months. Or anyone who’s ever opted for the filet mignon and subsequently resolved to swear off cheap steak for the rest of their life. Car and homeowner’s insurance plans are no different. You get what you pay for. And more often than not, if a deal or a premium sounds too good to be true, it probably is. Before you sign, make sure that you perform a thorough comparison to avoid any surprises down the line.