If you are buying car insurance for the first time, you have three types of vendors from which to choose. These are the direct sellers, the independent agents, and the large national brands. All of them have unique features that make them suitable for different types of drivers. Here is an overview of three types of motorists, and which party they should approach for insurance:
If you are an excellent driver with an impeccable driving history, then you should look for a no-frills insurer that targets people like you. By and large, direct sellers are the ones that target the best drivers as their customers.
Just like the name suggests, direct sellers sell their coverage directly to motorists. They don't use traditional insurance agents; when you want to buy coverage, you deal directly with a company representative. The main advantage of this format is that they don't set aside some of their profits as commissions to agents, and they can pass off this benefit to their clients in the form of competitive rates.
As an average motorist, you don't have a stellar driving history, but your past infractions aren't too serious either. A typical average motorist has a few speeding tickets in their past, but not driving under the influence (DUI) convictions.
By most accounts, large national brands are the best insurers for covering motorists with not-so-perfect driving histories. These insurers deal with agents, but each agent works exclusively for a particular insurance firm. When you present the agent with the necessary data, they evaluate it and determine your rates. You need to contact different agents if you want rate comparisons from different companies.
To an auto insurer, a risky motorist isn't necessarily the worst driver on the road; they just have something that affects their ability to get coverage or get it a fair price. For example, you are a risky client if you are the head of a household (an average motorist) but have a teenage driver in the house. Since teenage drivers attract some of the highest rates in the industry, your rates are likely to be sky high.
If you are in such a position, your best bet is to deal with an independent insurance agent. An independent agent sells insurance from all kinds of insurers. They have the inside information on the industry, understand which companies offer the best discounts, and can help you customize the right coverage for a reasonable rate.
For more information, contact Matt Roenker Insurance Agency or a similar company.