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Are you overpaying for car insurance?

What you should be doing to cut costs
Posted: 6:35 AM, Mar 12, 2020
Updated: 2020-03-12 09:37:12-04
Are you overpaying for car insurance?

Choosing a car insurance company can sometimes come down to finding the best price, but as we're finding out you could still be overpaying.

NerdWallet recently did a comparison showing how the top four companies stack up when it comes to coverage options, satisfaction, price and even apps.

"We just looked at, as a consumer, how easy is it to interact with your insurance provider? Do they respond quickly if you try to talk to them over the app or over the website?" said Kimberly Palmer, a personal finance expert with NerdWallet.

Kimberly says for service, Geico stood out - allowing customers to track car maintenance, find nearby gas stations even connect to Amazon's Alexa or Google's Assistant.

When it came to the fewest number of complaints, Progressive was ranked number one.

"If a lot of people are complaining about a company, it can be a sign that maybe something isn't working right," said Kimberly.

For the best optional coverage options, Allstate had the most, including gap insurance and new-car replacement. However, Geico did offer mechanical breakdown insurance while the others did not.

As for price, NerdWallet looked at a 40-year-old driver with good credit and a clean history. They found Geico was the best price at $1,198 a year, followed by State Farm at $1,511, Progressive at $1766 and Allstate at $1,834.

Whoever you're with, Kimberly says sticking with the same company could be what's costing you.

"[Consumers] are not going back and searching every year or at least every three years. They're not necessarily getting the best rate," said Kimberly.

To compare prices CLICK HERE