Buying Auto Insurance Online Can Save You Money — and Cost You Dearly

Numerous humorous advertisements market cheaper auto insurance for a variety of companies. After being wooed to an insurer’s website, understandably you might be tempted by its promise to save you money. In some cases, you might truly find that you can spend less each month on your premiums for the same level of coverage. However, beware that you do not inadvertently limit crucial coverage in exchange for a few dollars in savings each month.

Consumer Reports recommends steps you can take to control the costs of your auto insurance, including:

• Shop and compare your insurance policy and rates annually and whenever a change in your circumstances affects your coverage, such as adding a teen driver or a new partner.

• If you add a teen driver to your plan, see if your insurer offers discounts for children who take driver education courses to offset the increased insurance premium.

• Calculate whether a higher deductible is worth lower premiums — you might be thrilled to lower your bill each month, but you could find yourself in financial trouble after a serious, costly accident.

• Choose an insurer with a top rating and a good reputation — a budget insurer may not provide you with quality service when you need it.

• Be sure you have the right types of and sufficient amounts of coverage, which may mean accepting higher premiums to maintain higher coverage in case of a serious accident.

• Notify your insurer of reduced mileage that typically commands lower premiums.

• If you are buying a car, ask insurers about rates for each make and model under consideration.

• Beware of hidden clauses that might force you to use a direct repair program or inappropriate replacement parts.

The Internet offers a valuable tool for researching policies and rates. However, consider using a human broker or calling individual insurance agents directly before making your final decisions. Buying insurance through an automated online system could cost you over the long run, for example:

• Although the Internet prices may seem lower, you might actually be paying for services you do not need, while forgoing crucial coverage.

• You do not have the opportunity to establish a personal relationship with an agent through the Internet.

• You may not fully understand the policy you are purchasing.

If you sustained property damage or personal injury in a car crash, let a South Florida auto accident attorney assess your insurance policy and protect your rights to compensation for damages.