Switching Auto Insurance Companies is As Easy As Tying Your Shoes

A Insurance Article Contributed by Brandie King

Introduction to Switching Auto Insurance Companies

You may have had the exact same auto insurance company for a very long time and probably have not even thought about switching to a different one. But what you may not have realized is that you might enjoy significant savings on your auto insurance by switching the company you have it with. Switching companies is also as easy as tying your shoes, as long as you are prepared and follow a few simple steps.

Step One: Timing is Important When Switching Auto Insurance Companies

If you are considering switching policies then you should do it inside of the first month after you receive your renewal. There are normally no extra fees for canceling during the first month after your auto insurance policy renews. Keep in mind that you should have a new auto insurance policy in force before canceling your old one. You definitely do not want any lapses in your coverage.

Make sure that you do not have any accidents or violations on your driving record that are about to be removed from your record. If you do then you should wait to switch companies until the next time that your policy renews.

Step Two: Prepare for Your Auto Insurance Company Switch Over

Before actually going out and looking for a new auto insurance policy you need to prepare your information, which will make the entire process quicker and smoother. Get out your current policy and keep it with you while you are shopping for a new policy. You might need some of the information contained in it when getting quotes. You should also keep your drivers license and the registration for your car handy.

Step Three: Shop, Shop, and Shop Some More

Always make sure that you shop around at different auto insurance companies before deciding on a new one. Getting a quote does not mean that you have to take that policy so feel free to shop around as much as you wish. There are three different ways that you can shop around: 1) calling different agents, 2) visiting different companies, and 3) online quote forms. Taking advantage of the online quote forms offered by many companies will take the least amount of time.

Make sure that you cancel your old auto insurance policy after you get a new one. Do not assume that just because you have a new policy the old one does not matter any more. Leaving that old policy in force and unpaid could have major consequences. Your old insurance company will eventually cancel that policy due to unpaid premiums, and might even report you to the DMV.

The unpaid premiums can also end up reported on your credit and that could prevent you from being able to get any other auto insurance in the future. This is because insurance companies will periodically check your credit history to see if they need to adjust your premiums up or down for your next renewal.