How did you first purchase your car insurance? Did you sign up with the same company your parents used? Did you choose a carrier based off the promises of savings in a car insurance commercial? Did you go online and buy direct in an attempt to cut out the middle-man and save some cash? Whichever of these options you may have chosen, there is a fair chance that you ended up with a policy that no longer meets your needs.
As you get older things change. The vehicles you drive today are different than those you drove when you were younger. Your driving habits have changed. And your credit score has changed. The questions you need to ask yourself is, has your car insurance kept up with those changes? Is it still the best option for your current situation?
Whether you buy direct or through a local branch of a national car insurance company, neither option holds a candle to the benefits of working with an independent agent. Continue reading to learn about your three options when shopping for insurance and how they could affect your coverage and your pocketbook.
Buying Direct
Regardless of what the product may be buying direct is often associated with savings. When it comes to car insurance, however, buying direct could cost you big.
How it works:
You contact the insurance company of your choice directly – usually by visiting the carrier’s website. You complete an application for car insurance and make a selection based on the types and amounts of coverage you think you may need, or the costs quoted for different plans. The entire process is streamlined, and you walk away thinking you saved time and money.
How it affects you:
Unfortunately, buying direct can be a big mistake. To start, you are limited to purchasing coverage from only one insurance company, making it difficult to compare policies from other carriers. Worse, you eliminate the middle-man and forego your right to have a licensed agent working on your behalf to ensure you get the coverage you need. Without the professional advice of an agent, you put yourself at risk of purchasing too little or even too much insurance.
Captive Agents
When you want the assistance and advice of a skilled and knowledgeable industry representative, you work with an agent. As a surprise to many, using an agent costs you nothing, and it can help you feel more confident that you have purchase the right types and amounts of protection. However, not all agents are the same. Working with a captive agent – one who works for a specific insurance company – leaves you with limited options.
How it works:
You find a local agent who works under the name of one of those big-box insurance companies such as State Farm, American Family, or Farmers. You set up an appointment to meet in person, at which time you review your coverage needs. Finally, you are offered a policy and quote from the insurance company your agent works for.
How it affects you:
The carrier agent cannot show you options available to you from other insurance companies, and the only room for negotiation is with the amount of coverage you choose to purchase. Though your agent may be available to answer questions or assist you with future claims, you will not be offered options outside those available from that particular insurance company. Furthermore, you cannot maintain the relationship you have with your agent if you choose to (or need to) switch insurance providers in the future.
Independent Car Insurance Agents
Independent insurance agents let you have your cake and eat it too. Unlike buying direct, you work with a licensed agent who has a commitment and responsibility to look out for your best interests. Unlike working with a captive agent, the independent agent can show you insurance options from a wide range of carriers to ensure you choose coverage from the company that best fits your needs.
How it works:
You call or set up an appointment to speak with an agent about your coverage needs. After a thorough risk evaluation, the agent goes to work searching multiple insurance companies for comparable plans that include the coverage you need. After your agent has done all of the heavy lifting on your behalf, you can choose a plan that fits your needs and budget – all without lifting a finger.
How it affects you:
Your agent assists you throughout the buying process and remains a source of help long after the sale. You can call up your local independent agent anytime you have a question about your coverage or when you need assistance filing a claim. Your independent agent will also work to ensure your coverage stays up to date with your needs as they change over time.
Speak with an Independent Agent in De Pere Today
If you live in the De Pere area and have never worked with a local car insurance independent agent in the past, there is no better time than now to find out how one can help you. Call us today for your risk evaluation and to request your car insurance quotes. We look forward to serving you soon.
