Mathew B. Sims is Editor-in-Chief and has authored, edited, and contributed to several books. He has been working in the insurance industry ensuring content is accurate for consumers who are searching for the best policies and rates. He has also been featured on sites like UpJourney.

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Dan Walker graduated with a BS in Administrative Management in 2005 and has been working in his family’s insurance agency, FCI Agency, for 15 years (BBB A+). He is licensed as an agent to write property and casualty insurance, including home, auto, umbrella, and dwelling fire insurance. He’s also been featured on sites like Reviews.com and Safeco. He reviews content, ensuring that exis...

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Reviewed by Daniel Walker
Licensed Auto Insurance Agent

UPDATED: Apr 21, 2020

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It’s all about you. We want to help you make the right coverage choices.

Advertiser Disclosure: We strive to help you make confident insurance decisions. Comparison shopping should be easy. We partner with top insurance providers. This doesn’t influence our content. Our opinions are our own.

Editorial Guidelines: We are a free online resource for anyone interested in learning more about auto insurance. Our goal is to be an objective, third-party resource for everything auto insurance related. We update our site regularly, and all content is reviewed by auto insurance experts.

Things to Remember...

  • Car insurance is required by almost every state in the country
  • If you are leasing a car, you will have regulations concerning insurance
  • Know the factors that affect your insurance and how you can save on rates

Whether you’ve owned your vehicle for a while, or are thinking about buying a new one, one of the biggest considerations you have is how to go about buying auto insurance.

Maybe you’re wondering whether you even need it.

Before accepting the first offer that comes along, there are some things to take into account to ensure you get the best deal, and the best auto coverage.

Compare auto insurance rates online by entering your zip code into our FREE tool on this page!

1. You Need It

If you’re still making payments on your car, you must have auto insurance. Your lienholder will require it to ensure they are able to recoup any losses if your vehicle is damaged, totaled, or stolen.

Most states also require a minimum amount of coverage.

Even if your car is paid off, and you happen to live in a state that doesn’t require any coverage, you need insurance.

The small amount of money you would save by not paying a monthly premium is insignificant compared to what you would have to pay if you were at fault or injured in an accident.

Insurance provides protection and peace of mind.

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2. Your Lienholder May Have Certain Requirements

If you’re buying a new car, find out if your lienholder has any requirements about the kind of auto insurance you need.

Some banks will require a low deductible because they want to make sure you’ll be able to pay it if you need to.

A lower deductible will give you a higher premium.

Check with your lienholder before calling any insurance companies.

3. There are Several Factors That Determine Your Rate

Other than the deductible you choose, auto insurance companies determine your rates based on several factors such as:

  • Your age
  • Whether you’ve been in any accidents before
  • Your credit score

Look at these factors and know where you stand before you start asking for quotes.

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Enter your ZIP code below to view companies that have cheap auto insurance rates.

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4. Requesting a Quote Can Affect Your Credit Score

Do as much research online as you can before you start requesting quotes from insurance companies.

The first thing any insurance company will do before calculating a quote is to check your credit.

However, a high number of inquiries on your credit report can have a negative effect on your credit score.

Do your homework, narrow your choices down to three or four companies, then request quotes to keep the number of credit inquiries low.

Free Auto Insurance Comparison

Enter your ZIP code below to view companies that have cheap auto insurance rates.

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5. You Can Create Your Own Discounts

Most insurance companies will offer their policyholders discounted rates for having more than one policy with them.

Many companies will also offer safety discounts on auto insurance if your vehicle has special devices like:

  • Anti-lock brakes
  • Built-in car seats for children
  • Airbags
  • Anti-theft device

Keeping all your policies with one company, and making sure your vehicle has as many of these options as possible can help you save money.

Why not take advantage of cheap auto insurance rates?

Enter your zip code in on this page to get started comparing free auto insurance rates!