Car Insurance

Last month, we talked about information that you should know when considering a car purchase such as where to get pricing data and dealer invoice prices. Now, it’s time to utilize your knowledge and chutzpah so that you can play “let’s make a deal” with the salesperson. Some of you may not like to haggle, but if you’re like most, you want to get the most for your money. If that’s the case, take these negotiating tips with you.

STRATEGIZE THEN SIT DOWN

Be vague about your price range. Always negotiate up from the factory invoice price, not down from the sticker price, which is a higher price than the dealer expects you to pay. Start high enough to include a minimal profit for the dealer. A good initial offer can be $200 to $500 more than the invoice.

INSIDER’S TIP

Negotiate the cost of a trade-in after you have the lowest quote for the car in writing. The dealer might try to pressure you into dealing with the trade-in up front, but don’t let him. Know the value of your trade-in by reading Edmunds.com Used Cars & Trucks Buyer’s Guide.Don’t forget to adjust for the condition of your vehicle, mileage, and options.
UYER VS. DEALER GETTING THE BEST DEAL

Everyone doesn’t have to haggle. One of the better known policies is Saturn’s no-hassle, no-haggle sales policy. In fact, superstores such as AutoNation Inc.There’s strength in numbers, so take someone with you if you’re not comfortable With negotiating.

IF YOU COULD LINE UP identical insurance policies a glass display case and dangle a price tag from each one, you’d uncover the insurance industry’s dirty little secret: Some companies charge two to three times more than their competitors for the exact same coverage. Buyers sign up for overpriced policies all the time simply because they don’t know about the other choices.

That’s where the Web comes in. Theoretically, you can answer a few questions, click your mouse and instantly see accurate quotes culled from vast databases containing hundreds of companies–all without having to speak with an agent. And, in theory, you can use the Internet’s vast array of calculators to help you figure out how much insurance you need.

But high-tech insurance shopping can quickly turn into a nightmare. For one thing, you could spend weeks visiting all the sites that promise to offer the best deal–but usually don’t. Because insurance is subject to patch-work of individual state regulations, you’ll find a limited menu of policies in some states. What’s more, you may get instantaneous quotes and you may not. And you’ll usually pay the same price as if you called an agent.

It’s not unusual to end up with inaccurate quotes, long waits, few companies to compare, and a never-ending stream of e-mail and calls from insurance agents.
iscouraged? That’s why we went through the mind-numbing experience of exploring the sites, requesting quotes for different families in different parts of the U.S., and checking to see how accurate those quotes were.
AUTO INSURANCE Be prepared: You’ll reply to a boatload of questions before getting any quotes

WE FILLED OUT quote forms at more than a dozen sites for a variety of hypothetical people in a variety of places: a 30-year-old single woman with a 1997 Jaguar XK8 coupe, in Ohio and California; a 40- and 41-year-old couple who drive a 1999 Volvo S70 and a 1997 Toyota Corolla, in Maryland and California; and the same family with a 16-year-old son.

We quickly need a problem: The company offered the lowest quotes for one family offered some of the highest for the others. And the site with the lowest quote also produced the highest quote for the same family. The leaders change if you live in a different city, have a different car, or have a record of accidents and tickets. And the number of quotes you can get varies a lot from state to state.

The two major on-line marketplaces, QuickenInsurance and InsWeb, give you the greatest number of accurate quotes in the least amount of time. But be prepared: You can’t get accurate auto-insurance quotes without answering a boatload of questions.

QuickenInsurance makes it as painless as possible. After spending about 15 minutes typing in information about your cars, your driving record and the amount of coverage you want–helped by excellent “advice” buttons, which explain how each variable can affect your rate–you’ll get immediate quotes from up to five insurance companies.

One of the best things about QuickenInsurance is the accuracy of its quotes. Its information comes directly from the insurance companies, so you’ll get the price you were quoted, as long as everything about your motor-vehicle and claims records checks out. Click on the “compare details” button for a table that shows how each insurer stacks up in terms of claims-processing time, financial-strength ratings, which discounts are include in your quote and other details. It’s easy to fiddle around with different variations to see how much your rates will change if you raise your deductible or increase your liability coverage.

You remain anonymous until you apply for a policy, which can also do online. Several companies even activate your coverage immediately if you submit your credit card number.

QuickenInsurance’s biggest weakness is the limited number of companies it quotes. In some states, you’ll go through the entire process and get prices from only one.
The biggest annoyance with InsWeb is the lack of anonymity. After you spend about a half-hour filling out all the forms, you must type in your name, address and phone number before you’re allowed to see any quotes. And you can’t buy a policy online–an agent will contact you.

When a person sets out to buy car insurance online, the hassle of finding a local agent, driving to his or her office, finding a parking place, and waiting in line to finally get a consultation is removed. Buy car insurance online, and you’ll be amazed how quick and easy it can be. If you buy car insurance online, you’re liable to come away with a much better deal than making a series of long telephone calls would find you.

Insurance is expensive; you can save a lot of money, possibly hundreds of dollars each year, by learning more about insurance and buying car insurance online. There’s even a chance that your “premiums” (the insurance industry’s way of saying “exorbitant yearly fee you pay us for the privilege of being completely at our mercy”) will exceed the value of the old banger you’re looking to insure.

Surprisingly though, car insurance is guided by sound principles: if you put your car through someone’s fence, your insurance pays to fix the fence and your car; if you hurt someone with your car, your insurance pays for the injured person’s medical bills. Now imagine that you got hit by a car, and the driver didn’t have insurance - you’d have to pay for the medical bills out of your own pocket, even though it was somebody else’s fault completely.

Car insurance protects you against financial loss if you have an car accident. If you’ve had accidents or serious traffic violations, you will pay more than if you’ve had a clean driving record.

When you start getting car insurance quotes, you’ll want to check insurer references to make sure you’re dealing with reputable companies. The magic of the Internet is that you can get several quotes from different companies all at once, if you know where to look. But beware, the casual consumer might search through web sites and read quotes all day, and still be no closer to finding what they really want.

Check if your on line vehicles coverage insurance plan includes complete insurance, emergency wayside assistance or a replacement or leased automobile. Online you can compare auto insurance quotes instantly without the hassle of contacting each company individually. The reason we compare car insurance quotes from multiple car insurance companies is to make sure we‘re getting the best rates possible. The only way to save is to shop around compare prices online.

Before you settle on a car insurance policy and carefully review the quotes and policies you’ve received. Make sure each policy includes the coverage you requested. Ask yourself if the premium payments fit your budget. Talk with each agent to find out how comfortable he or she makes you feel and determine the level of service each one provides.

Many people feel more comfortable buying car insurance online, in a click-and-point process that doesn’t involve sitting through ten minutes of automated questions and answers, so buying car insurance online is a good choice