Will 15 Minutes Really Save Me 15% on Insurance?
These days, it’s cliché to see or hear a commercial about how much you can save by switching insurance companies.
You might be asking yourself how it’s possible that every insurance company in America can save you $500 by switching.
Heck, which company is overcharging if they can all save you money on your insurance premium?
If you read the fine print or listen with a cynical ear you may notice the phrase, “of those who switched.”
What does that mean exactly?
Unfortunately, for the consumer it means exactly that. Just those who switched saved money.
This could mean they offered 500,000 quotes, and 1 guy in Tuskegee, Iowa saved $500.
The other 499,999 people who received a quote might have been offered a rate that was double what they are paying with their current insurer.
Have you heard statistics that say how many switched versus how many were quoted? I bet the answer is a resounding “No.”
Insurance companies all have different targeted risks they are willing to insure.
The only way to get those of us who fit their target on the books is to quote as many people as possible.
Turns out the best way to do that (in a somewhat misleading manner) is to tell us how much we’re going to save.
The lesson here is to take every advertisement with a huge grain of salt.
Even if you contact one of these companies for a quote (with the exception of Progressive Insurance), you will only receive their quote in comparison to what you are currently paying. Pretty standard.
Progressive will at least show you competitor quotes, which will give you a better opportunity to make an informed decision…maybe.
But the best way to truly comparison shop and ensure you’re getting great coverage at the best possible rate is to contact an independent insurance agent and have them quote you with multiple companies.
This might save you money over what you pay now and will certainly save you time at the very least.
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