SelectQuote Auto Insurance Review

17 Dec    Investing News

If you’re buying new shoes or a pack of t-shirts, shopping online can make life so much easier.

But comparing financial products such as auto insurance online can be tougher because the price isn’t the only variable, and shipping times don’t even matter.

SelectQuote, which has helped millions of people compare life insurance policies online, now offers auto insurance policies.

Let’s take a closer look to see if SelectQuote could make your life easier.

SelectQuote Auto Insurance

SelectQuote dates back to 1985, the year black and red Air Jordans hit the market. The Internet existed then, but only a handful of people used it, which is ironic because SelectQuote seems tailor-made for online shopping.

SelectQuote auto logoWith SelectQuote you can compare several different auto insurance plans on one site. You won’t need the confusion of 6 or 8 open tabs.

But SelectQuote isn’t an insurer. It’s simply a way to get connected with auto coverage providers, learn about coverage options, and buy coverage. SelectQuote could be considered an independent online insurance agency.

Because SelectQuote doesn’t actually insure your car or cover your liability, you’ll want to research the companies providing the policies SelectQuote sells.

The good news: SelectQuote doesn’t offer policies from companies that don’t check out well with A.M. Best and other independent rating agencies.

What Companies Does SelectQuote Use?

When you compare auto policies on SelectQuote, expect to see some familiar names such as:

  • Liberty Mutual
  • Safeco
  • Travelers
  • MetLife
  • Progressive
  • Nationwide
  • The Hartford

You’ll be able to compare prices and coverage options from these companies when you start the quote process at Selectquote.com.

What Kind of Auto Insurance Do I Need?

Knowing your actual insurance needs always makes insurance shopping easier. Auto insurance encompasses a variety of coverages, some of which may be optional, but nice to have.

Here’s a simple breakdown of the elements of an auto policy:

Property Damage Liability

This part of your insurance kicks in if you cause a wreck that injures someone else’s car or other property. Without liability coverage, you’d be personally responsible for the damage inflicted by an at-fault collision.

Bodily Injury Liability

When you cause a collision that injures another driver or other passengers, this part of your insurance can foot the bill. Without this coverage, you could be held personally responsible, and a judge could even seize your assets, including your home and savings.

Collision Coverage

This piece of your policy protects your own vehicle’s value. If you’re responsible for the wreck, you could file a claim to cover your repair costs. (If you’re not responsible, the responsible driver’s liability coverage should repair your car.)

Comprehensive Coverage

If a tree falls on your parked car, or if someone steals it or damages your lock while breaking into it, comprehensive coverage can help with the repairs or replacement of your vehicle.

Personal Injury Protection

This protection resembles bodily injury liability, but it can pay for your injuries even if you caused the wreck. If you didn’t cause the wreck, the responsible driver’s liability coverage should pay.

Uninsured / Underinsured

Not every driver follows state laws about carrying liability insurance. If you’re injured or your car gets damaged by someone without insurance (or without enough insurance), this coverage can help protect you.

What Type of Coverage Do I Need?

A SelectQuote agent online or over the phone can help you find the balances you need for these coverages.

Almost all states have laws requiring motorists to have adequate liability coverage to protect other drivers.

If you owe money on your car, your lienholder will most likely require collision and comprehensive coverage.

You could opt-out of Personal Injury and Uninsured Motorist coverages to save on monthly premiums, but these protections tend to be affordable and very helpful if needed.

Pros and Cons of SelectQuote Auto 

So why would you choose Select Quote as a way to find auto coverage? The main reason: convenience

Aggregators such as Select Quote can save you some serious time because the service does a lot of the leg work for you.

You’ll need to enter your details — vehicle identification numbers and personal details, for example — only once. Select Quote will then apply your data to its stable of insurance providers as it searches for your best options.

Pros:

  • Solid Policies: SelectQuote sells policies from established insurance companies. It never hurts to do your own research. I always recommend reading the fine print before signing the policy documents. But you won’t have to worry about SelectQuote directing you to unstable insurers.
  • Independence: I almost always direct shoppers to an independent insurance agency because independent agents really can look out for their customers rather than selling them one company’s policies.
  • Speed: You can have coverage in place quickly, and the process conveniently takes place online.

Cons:

  • Customer Followup: SelectQuote is in the business of selling insurance policies. When you’re a potential customer, you can expect a lot of proactive help from your agent. But customers who have already purchased their coverage sometimes find it harder to get help when they need to make changes.
  • Cross-selling: When you go with SelectQuote for auto coverage, you can expect agents also to try to sell you a homeowner’s policy or life insurance. This process can be convenient if you need these policies, but make sure you’re making informed decisions.

Other Ways to Save on Auto Insurance

Comparing quotes with Select Quote or another aggregator can help you save money on your monthly premiums.

But some factors will raise or lower your premiums regardless of which company you choose. Things like:

  • Driving Record: Moving violations such as speeding tickets or reckless driving will raise your premiums. Drive safely to get the best rates.
  • Age: Younger, less experienced drivers, pay more in premiums because they’re more prone to collisions.
  • Vehicle: More valuable cars cost more to insure.
  • Vehicle’s Safety Features: The safer your car, the less you’ll need to pay in premiums.
  • Mileage: The more you drive, the more your premiums will cost.

No, you can’t very easily change these aspects of your life — other than becoming a safer driver or maybe buying a safer car.

But it’s still important to know how your premium is built. That way, you can let your SelectQuote agent know about your challenges so he or she can better match you with a policy to fit your needs.

This being said, your state’s laws may limit your agent’s ability to find a lower rate.

Is Select Quote Right for You?

SelectQuote isn’t for everyone. Consider your own needs before entering your personal data. 

SelectQuote is best for someone shopping for auto coverage who wants a policy in force quickly and efficiently.

Someone who wants complete control over the process of finding and finalizing an auto policy will prefer a more traditional approach.

Either way, make sure you’re protecting your liability and your property. The roads can be a dangerous place.

The cheapest insurance on the market may cost you a lot more if it can’t provide the protection you need after a wreck.

The post SelectQuote Auto Insurance Review appeared first on Good Financial Cents®.

By