People always have an obsession with size and tendency to choose bigger and shinier things. It matters clearly or unconsciously when weighing up the options. That is why we thought that we should compare smaller vs. larger car insurance companies. You probably have an opinion already. Let’s consider various angles.
Naturally, people would have different preferences and they would base decisions on circumstances, choices and even political views. However, this doesn’t stop us looking into the pros and cons of both alternatives. You can still keep your views and make a choice that makes you happy. Most motorists consider these points when they compare auto insurance companies:
Customer Care: Many people look for a pleasant experience when they deal with agents. Prompt, polite, and practical service is what they are looking for. Little mishaps by the handlers can be upsetting when you have a claim. It is important that they understand and appreciate your circumstances. It is their business to look after you after all. However, sweet-talking shouldn’t be the only criteria. Keep in mind that efficiency in dealing with the job in hand suggests well training that comes from caring.
Pricing: A reliable brand with reasonable rates is the best choice for most drivers. Take note, ‘reasonable’ does not always mean ‘lowest’ in this case. For many consumers, price is still the ultimate decisive factor in automobile insurer comparison. There is something wrong with you if you don’t want to pay less. All being the same, paying less is no brainer. Motorists can keep the same coverage and still manage to get discounts that reduce the premium to a more manageable level.
Financial Position: Motorists need to be aware of the relative financial strength when they rate the options available to them. When they are at risk of folding or exposed to huge debts they may be keen to fend off claims fervently. Although each state has a safety net to pay for losses in case one of them goes bankrupt it is always best not to have to deal with such situation, no matter how slim the chances are.
Corporate Culture: Other customers may make their choices according to a perceived view. This includes reasons based on cultural or political affinity, or to convergence of convictions and causes. Generally, they are long established standpoints that hardly change.
Other considerations are whether it is publicly traded or not. This provides a certain assurance to some people. For example many believe that mutuals provide much better service and most importantly higher claim settlements.
In general, the four reasons highlighted above are the chief considerations by many people who are in the process of weighing car insurance carriers up against each other. However, it is true that large number of policyholders cannot actually tell you what did they base their decisions on when they picked up the current coverage.
The Big Names: Pros and Cons
In the main, they are generally more financially secure as they have good money backing. Technically, they can offer more revolutionary discount programs and savings schemes but it doesn’t mean that they always do. Some may just rely on a long established reputation and push for higher premiums without really offering better products.
Having money also means more personnel; so larger auto insurers may have an army of agents on the high street or on the phone. To top it all, these massive resources mean that they are recognized and accepted everywhere, so validating a claim may be easier.
On the other hand, a large business may not offer the level of ‘personal touch’ sought by some customers. They also tend to spend huge amounts on advertisements, which may not necessarily reflect an actual practice. Lastly, they may be involved in policies and political practices frowned upon by some people. Contrasting political views play a role in choosing an automobile insurance company too.
The Smaller Gems: For and Against
They could offer the ‘personal touch’ lacking in a cumbersome business. It may also mean small overheads, and this could equate to lower rates. They often have local agents who are familiar with the scene. Lastly, choosing a community oriented one means that investments stay with the local economy.
On the other hand, they tend to offer less customer support especially in odd hours, which could be crucial during accidents. They could also not afford to give huge discounts. And it may be harder to find readily available financial information on them especially online. Yet, most states publish complaints figures on each of them on ins. commissioner’s page.
The first step in decision-making is to get cheap quotes from as many sources as possible in order to make a healthy vehicle insurance company comparison. You should use a website like this one to find the current policy packages and deals quickly and easily. Use the above considerations as a guide, and try to rate different policies based on them. You should also have an open mind. You may be more willing to go with a bigger one but a smaller one may swoop you off your feet with charm, friendliness and good rates.