YOU ASK:

Why are car insurance company ratings so important?

WE ANSWER:

Since the rating of a car insurance company is essentially an evaluation of its financial strength and reliability, it is a factor that you must consider when shopping around for auto insurance. How an insurer is rated, says a lot about the company's practices and behavior, therefore car insurance company ratings should guide you through the process of selecting a quote.

With so many auto insurance companies throughout the country, most of which with an excellent record and providing attractive offers, it is not easy making a choice. This, however, doesn't mean that you should give up searching altogether and just jump at the first offer you come across. Auto insurance company rating is one way of cutting down the number of car insurers to consider. The method is very simple: you simply cross out the car insurers with the lowest ratings.

There are many low-rated companies which try to make up for their poor performance by offering some of the lowest auto insurance rates on the market. Stay away from them and do not let yourself fall in their net. The financial stability of a company is what matters most since you want to make sure the company will be there for you if you get into an accident. After all, this is the main reason for buying car insurance.

Where to Find Auto Insurance Company Ratings

The Internet is the most accessible way of finding and comparing car insurers on the basis of their ratings. To begin with, you can go to the National Association of Insurance Commissioners website where there is information about all existing insurance companies. You can read the performance reports and record of complaints based on data collected from the consumers nationwide.

J.D Power and Weiss Ratings are two independent organizations which publish regular car insurance company rankings. You should consider companies rated with an A, A- or A+ by Weiss, and four or five points - by J. D. Power

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