Monday, September 22, 2008

Picking the Right Insurance Provider

By Julian Floyd

Pick a company that specializes in the specific services you need. Bear in mind that there is a difference between what service an insurance company offers and what service it specializes in. Depending on your situation, it could be beneficial to be insured by different companies.

Understanding an insurance company's financial rating. Standard and Poor uses a system to assess the financial strength of a particular insurance provider. Ratings are from 'AAA', or extremely strong, to 'R', which denotes an insurance company under regulatory supervision. The lower rating implies that the company may pay some obligations, and not pay others because of their financial situation. While this is a reputable system, there is a disclaimer. Standard and Poor doesn't audit any company based on these ratings, and they should not be the sole reason for picking one insurance provider over another.

Play the insurance field. Look on the internet. Scour the phone book. Smaller, local providers can usually give you great deals in a more intimate environment. Ask some friends. Call the companies you are interested in and ask them the important questions, so you can get a feel for what you will be dealing with. Use the services available to you, and save time by going with a service that provides multiple quotes from different companies at once, such as insureme.com

Do your part. Know what you are looking for. Understand the coverage you are paying for before it is presented to you. Be prepared to pay on time. In some states a policy cancelled for non-payment can lead to a license suspension, fines, jail time etc... On the other hand, don't slack on the coverage you need, either.


Julian Floyd is a writer for http://thebestonlineinsurance.com

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