Shopping for auto insurance can feel overwhelming, especially when you're not sure what questions to ask. The right questions help you understand what you're buying, avoid surprises, and find the best value. Here are the essential questions to ask before committing to a policy.
Questions About Coverage
What types of coverage does this policy include?
Make sure you understand exactly what's included. Ask for a breakdown of each coverage type—liability, collision, comprehensive, and any additional coverages. Don't assume coverage is included just because you've heard of it.
What are my coverage limits, and are they adequate?
Ask how the proposed limits compare to what's typically recommended. State minimums are often not enough. A good agent should explain whether the suggested limits are appropriate for your situation.
What is NOT covered by this policy?
Every policy has exclusions. Ask specifically about common situations: rental cars, driving for rideshare, commercial use, drivers not listed on the policy, and any special circumstances that might apply to you.
Are there any coverage gaps I should know about?
Ask the agent to identify any potential gaps between what you need and what the policy provides. This gives you a chance to add coverage or at least understand your exposure.
Questions About Cost
What discounts am I eligible for?
Companies often don't automatically apply all available discounts. Ask specifically about:
- Multi-policy discounts (bundling with renters or homeowners insurance)
- Good driver discounts
- Good student discounts
- Safety feature discounts
- Low mileage discounts
- Payment method discounts (autopay, pay-in-full)
- Professional or alumni association discounts
What would cause my premium to increase?
Understand the triggers for rate increases: accidents, tickets, claims, adding drivers, moving, and general rate changes. This helps you anticipate future costs.
How does the deductible affect my premium?
Ask to see quotes with different deductible amounts. Sometimes raising your deductible from $500 to $1,000 provides meaningful savings—other times, the difference is minimal.
Are there any fees I should know about?
Some companies charge fees for monthly billing, starting a new policy, making changes mid-term, or canceling. Get a clear picture of total costs, not just the premium.
What payment options are available?
Ask about payment frequencies (monthly, quarterly, annually) and whether there are discounts for paying in full or setting up automatic payments.
Questions About Claims
How do I file a claim if I need to?
Understand the process before you need it. Can you file online, through an app, or by phone? Is there 24/7 claims service? What information will you need to provide?
What happens after I file a claim?
Ask about the typical timeline for claims processing. How are adjusters assigned? How quickly can you expect your vehicle to be inspected? When would payment be issued?
Can I choose my own repair shop?
Some insurers have preferred repair networks with guaranteed work. Others let you use any shop. Understand your options and any differences in coverage or guarantees.
How will a claim affect my premium?
Not all claims result in rate increases, and policies vary. Ask specifically about accident forgiveness programs and how different types of claims might affect your rates.
What is the company's claims satisfaction rating?
An honest agent will share information about customer satisfaction and claims handling. You can also check J.D. Power ratings and state insurance department complaint ratios.
Questions About the Policy
How long is the policy term?
Most policies are six months or one year. Shorter terms mean more frequent renewals but also more opportunities to switch. Longer terms might offer rate stability.
Will my rate change at renewal?
Ask whether the quoted rate is guaranteed for the policy term and what typically happens at renewal. Some companies offer rate lock guarantees.
What happens if I need to make changes mid-policy?
Life changes—you might move, add a vehicle, or add a driver. Understand the process and any fees for making policy changes.
Can I cancel if I'm not satisfied, and is there a penalty?
Most policies can be canceled anytime, with a prorated refund for unused premium. However, some charge cancellation fees. Know before you commit.
Will you explain anything in the policy I don't understand?
A good agent should be willing to walk you through any part of your policy. Don't sign anything you don't understand—ask questions until you do.
Questions About the Company
How financially stable is this insurance company?
You want a company that will be around to pay claims. Ask about their financial strength ratings from agencies like A.M. Best, Moody's, or Standard & Poor's. Ratings of A or better indicate strong financial health.
How long has the company been in business?
Longevity isn't everything, but established companies have track records you can evaluate. Newer companies might offer competitive rates but have less proven claims handling.
What's the best way to contact you with questions?
Understand your service options. Will you have a dedicated agent? Is there a customer service hotline? Can you manage your policy online? Match their service model to your preferences.
Pro Tip
Take notes during your conversations with agents. When comparing multiple quotes, you'll want to remember what each company said about their coverage and service.
Questions for Comparing Quotes
When you have quotes from multiple companies, make sure you're comparing equivalent coverage:
Are all quotes using the same coverage limits?
A cheaper quote might simply have less coverage. Standardize the limits across quotes to make fair comparisons.
Are all quotes using the same deductibles?
Same principle—different deductibles significantly affect premiums. Compare with consistent deductible amounts.
What's included in each quote?
Some quotes include extras like roadside assistance or rental reimbursement; others don't. Make sure you're comparing the same package.
Red Flags to Watch For
Be cautious if an agent or company:
- Pressures you to decide immediately
- Won't answer questions directly
- Can't explain coverage in terms you understand
- Offers prices dramatically lower than competitors without explanation
- Doesn't ask questions about your needs
- Won't provide written quotes or policy documents
Before You Buy
Before finalizing your purchase:
- Review the declarations page carefully for accuracy
- Verify all discounts have been applied
- Confirm the effective date of coverage
- Understand your first payment and ongoing payment schedule
- Know how to access your policy documents and ID cards
Buying auto insurance is an important decision. Taking time to ask these questions helps ensure you get the right coverage at a fair price from a company you can count on. Don't rush the process—the few extra minutes spent asking questions could save you significant money and hassle down the road.