If you own and drive a vehicle in any state in the U.S., then you need to have some form of car insurance. With many television ads, radio ads, and even billboards, it is often hard to figure out exact the best place to get your car insurance from. You could call a car insurance agent or a car insurance broker and they can help you to get your car insured.
You may be wondering what is the difference is between car insurance agents and car insurance brokers. An agent is someone who works for a specific car insurance company, and they set up your insurance policy through that specific company. A broker is someone who doesn’t work for a specific insurance company, but they interact with many different companies, allowing you to be able to find the best monthly car insurance rates for your car insurance, just like a home insurance broker can get you home insurance from many different companies..
In years past, you would literally have to call through all of the agents and brokers listed in the phone book in order to get the best rates. But, with many insurance companies and insurance brokers online now, you can often find affordable car insurance by yourself online, without having to use an agent or a broker.
You can also find car insurance brokers online who will take the information specific to the type of policy that you need, and they will compare it against other companies offering a comparable policy, and then give you the best deal. That is the easiest way, by going through cheap car insurance brokers. But, just make sure the online car insurance broker is licensed in your state.
Always investigate a cheap car insurance broker before deciding on one. Make sure that they are properly licensed through your state’s insurance board, and that they have a valid license to be an insurance broker. You can demand to see a license number, and you can call to verify it. This is standard practice so if they don’t want to provide the information, then stay away from such a broker.
Often times a discount car insurance broker is able to keep his prices down because he isn’t paying for the proper licensing fees that are mandated through the state. While it may seem like it’s a cheaper route, you can be setup in a bad situation, and you will have no legal recourse because the person isn’t being licensed by the state.