New car insurance comes standard with every brand new vehicle that rolls out a dealership. Not only is it a necessary addition to whenever you buy a vehicle, but state laws also make it mandatory for every owner or driver to get one. However, you should also be aware as to whom you will procure your policy from.
Do not get your new car insurance policy from a car dealer. Normally, when you buy a brand new vehicle, the dealer would offer to sell you a policy for a discounted price. Nothing seems apparently wrong with this picture except that a dealer is usually not qualified to go dealing with insurance contracts. When you get yourself covered, there is always a need to ask an insurer to explain the terms and conditions of the coverage. It is strongly doubtful that a car salesman knows all the intricacies and consequences of all provisions in the contract.
Do not deal with an agent. Under normal circumstances, dealing with an agent is perfectly fine. However, when it comes to negotiating, it is still best to go directly to the principal. After all, every single transaction an agent enters into goes straight to the principal for his approval. Since this is the case, it is more logical to consider that it would be easier to negotiate with a provider.
Do not even think of going to a sub-agent. If dealing with an agent may be bad, dealing with a sub-agent is worse. Sub-agents are not actually company representatives. They are representatives of an agent. They have no bargaining authority whatsoever and should not even be engaging in the insurance business. Agents would sometimes hire with other people in order to reach their quotas in a shorter while. In the same way that car sellers have no idea about insurance contracts, sub-agents likewise have no first-hand knowledge of terms and conditions of a coverage.
Do not purchase your coverage from an online provider without actually speaking to someone from the company. Internet providers offer easy transaction and comfort. However, there is one thing they do not offer – peace of mind. New car insurance providers have to be dealt with in person, not through some internet portal. The essence of dealing in the business is negotiation. This is just not possible through the web.
Finally, keep away from new car insurance providers whom you have never heard of, even if they offer out-of-this-world benefits and freebies. Thousands of fraud causes are being filed every year and it pays to be prudent to make sure that you do not end up a victim.