How to Compare Auto Insurance Quotes

Two auto insurance quotes can differ by hundreds of dollars a year for what looks like the same car and the same driver. Often the difference is not the insurer at all, but the coverage each quote assumes. Here is how to line quotes up so the comparison is fair.

Start With the Same Coverage

Before you collect quotes, decide what you want and ask every insurer for exactly that:

• Liability limits. Usually written as three numbers, such as 100/300/100: bodily injury per person, bodily injury per accident, and property damage, in thousands of dollars. State minimums are often far below what a serious accident costs.
• Collision and comprehensive. Collision pays for damage to your car from a crash. Comprehensive covers theft, weather, fire, and hitting an animal. Lenders and lessors usually require both.
• Deductibles. The amount you pay before coverage kicks in. A higher deductible lowers the premium but raises what you owe after a claim.
• Uninsured and underinsured motorist coverage. Protects you when the at-fault driver has no insurance or too little.
• Extras. Rental reimbursement, roadside assistance, and gap coverage can add cost. Include them only if you want them.

If one quote has lower limits or a higher deductible, it is not cheaper. It is a different product.

What Insurers Look At

Each company weighs risk differently, which is why shopping around matters. Common factors include:

• Your driving record and claims history
• Where the car is garaged and how far you drive
• The vehicle's make, model, year, and safety features
• Age and driving experience of everyone on the policy
• In many states, a credit-based insurance score

Ask About Discounts

Discounts vary by company, so ask each one directly. Common ones include bundling auto with home or renters insurance, insuring multiple cars, a clean driving record, paying in full, paperless billing, and safe-driving programs that track your habits through an app or device.

A Quote Is Not the Final Price

Initial quotes are based on what you report. Before the policy is issued, the insurer checks your driving record and claims history. If something does not match, the price can change. Answer questions accurately up front to avoid surprises.

Compare More Than Price

Look at how each insurer handles claims, whether it has local agents or app-based service, and its financial strength ratings. The cheapest policy is not a bargain if the claim experience is poor.