by Alexis Whaley

Created on: June 09, 2009

We have a tendency to think that buying car insurance online will be cheaper, easier, and faster. But it is not always true. There can be real advantages to having a local insurance agent on your side that just can not be duplicated by an online company.

The first major drawback of getting quotes from online insurance companies is that you have to provide a lot of personal information just to get a quote. This includes email, address, phone numbers, and social security number, plus details about mileage, children, whether you own or rent, and your income. To get five quotes, you have to reveal this information over and over. Yes, you do have to be willing to provide some of this information to all insurance companies, but the online companies require much more initially than the agents do. And it is more likely that an agent working for a reputable company can be trusted with your information. You have their name, after all.

If you are getting quotes from companies you have never heard of, you run the risk of giving this very important information to an information harvester or people who are not who they say they are. If you are using reputable companies, you will still get a lot of contact from them, by phone, email, and mail, sometimes even years later. Do you really want to be on all those mailing lists?

Making these requests online can actually be time-consuming. It can take twenty minutes to go through all the forms to get a quote from each company. An agent is not going to keep you on the phone that long, they know they need to get the quote to you quickly.

The next drawback occurs once you are at the point to negotiate prices. It is far easier to have a productive discussion with an agent than with a telephone customer service person. In leveraging rates, having quotes from other actual agents will give you more power to get lower rates. Talking to agents who have a vested interest in getting new clients, especially if they own their own franchise, will get you much better attention and customer service. They are also going to be more responsive when you call with questions, want to modify your policy, or need help with an accident or claim.

Online companies also offer insurance policies that fit most people. They use online forms that lump aspects together. This may or may not work for you. Do you want a policy truly geared to your needs, or one that is kind of close? And what happens when life changes and you need to tailor your policy in ways they do not cover?

Staying long-term with a reputable, agented company can earn you lower rates in the long run than you can get with an online company, especially if you take out multiple insurance policies, such as auto, house, and life insurance. You might be surprised that the company we think of as old-fashioned turns out to be cheaper and a more pleasant experience.

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