Insurance - Head Matters

print

2. Choosing an Insurance Company


There are many insurance companies, so choosing between them can be a challenge. Here are the main points to keep in mind when selecting an insurance company:

  1. Licensing – Not every company is licensed to operate in each state. As a rule, you should buy from a company licensed in your state, because then can you rely on your state insurance department to help if there’s a problem. To find out which companies are licensed in your state, contact your state’s insurance department. To find Colorado’s, click here.
  2. Price – Many companies sell insurance policies and prices vary greatly from one to another, so it really pays to shop around. Get at least three price quotes from companies, agents and from the Internet. Your state insurance department may publish a guide that shows what insurers charge for different policies in various parts of your state. To compare premiums in Colorado, click here.
  3. Financial Solidity – You buy insurance to protect you financially and provide peace of mind. Select a company that is likely to be financially sound for many years, by using ratings from independent rating agencies such as A.M. Best, Fitch, Moody’s and Standard & Poor’s. Visit the Insurance Information Institute  for more information on assessing the financial solidity of an Insurance company. 
  4. Service – Your insurance company and its representatives should answer your questions and handle your claims fairly, efficiently and quickly. You can get a feel for whether this is the case by talking to other customers who have used a particular company or agent. You may also want to check a national claims database  to see what complaint information it has on a company. Also, your state insurance department will be able to tell you if the insurance company you are thinking about has had complaints about its service.
  5. Comfort – You should feel comfortable with your insurance purchase, whether you buy it from a local agent, directly from the company over the phone, or over the Internet. Make sure that the agent or company will be easy to reach if you have a question or need to file a claim.

Current Course:
Insurance

Adobe Flash Player Required

Get Adobe Flash player
Sign In to track your progress.

my toolbox

Groups
Close

Please sign in

In order to save a page/activity in either your toolbox or favorites you must first be logged in.