Auto Insurance Direct Agent Or Online

With so many major insurance companies and their giant advertising campaigns clamoring for your business, it can be difficult to find which one is right for you and your family. To get more clear idea about insurance you can go here http://www.life–insurance–quote.net/5-best-ways-to-learn-about-car-insurance/ these are some best ways to learn about insurance.

Two Types

There are two ways to gather insurance, either through an actual agent or online. More traditional companies such as State Farm, American Family, and Allstate generally have individual agents who service your business and handle your policy exclusively. Companies like Geico and Progressive are more technology based companies that earn and service your business online or over the phone only, with no direct agent. While both are perfectly acceptable ways of obtaining insurance there are some great differences between the two.

Auto Insurance Direct Agent Or Online

Traditional – Single Agent

Traditionally, if you wanted to purchase an auto insurance policy you would call your family agent and set up an appointment to come into the office. The benefit to sticking with this type of insurance agency is that you do receive more personalized service. You get to know your agent, meet with him or her face to face to discuss your needs, and have one specific person to call with any questions or concerns you may have regarding changes to your policy.

While this is definitely honorable in some instances, there are also downfalls. Because agents charge commissions from the actual insurance companies, this is reflected in your payment amount through higher premiums. Also, many people feel that having a direct agent would be an advantage if you are involved in an accident as your agent will just handle the entire process. This is not true. Agents are in the business of selling and servicing policies, not claims. Most companies defer their handling of auto accident claims to adjusters who often work in the corporate office.

Online at By Phone

The newest way of handling your insurance is through the internet or by calling a toll-free phone number get more detail on internet. With this type of insurance company, you do not have one specific contact but can contact the corporation directly which usually means not talking to the same person twice. Because a lot of these companies run on a call-center environment, they do not have the same operating costs as those with individual agents do. This dissimilarity is often reflected by lower insurance premium rates.

Best of Both Worlds

The little-known fact about choosing between an online company or an individual agent is that sometimes you can have the best of both worlds. Some companies, (like Geico) have personal offices in many major metropolitan offices where you can actually go and talk to an agent versus handling everything online. Because they have fewer offices, the effect on your rates is still very low. But, by having only a few small offices, these companies can still offer the personalized service most policyholders want.

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