Getting and comparing auto insurance quotes is now something you can complete in a couple of minutes. After all, you no longer have to confine yourself to visiting the insurer’s office to get the quote. Instead, you can leverage what auto insurance quotes platforms offers drivers, and you’re good to go.
But before taking this route, you should find answers to some of your burning questions. And that’s what this simple guide will help you today. Below are some of the auto insurance quotes frequently asked questions.
Does Getting a Car Insurance Quote Affect Your Credit?
If you think getting auto insurance quotes will affect your credit score, then you might be in for a big surprise. Actually, the simplest answers to this question is No. Insurance companies employ a ‘soft pull’ credit inquiry, which will appear on your credit repair but won’t affect your credit rating. But ‘hard inquiries’ conducted by lenders have the potential to affect your credit score if you frequently apply for credit.
Can You Get an Auto Insurance Quote Without Owning a Car?
It is actually possible to get an auto insurance quote without owning a car. In fact, requesting quotes for an automobile before you buy it makes good financial sense. Keep in mind insurance is a primary expense in car ownership. Certain makes and models of vehicles have safety issues or high theft rates, which can drastically increase the cost of insurability.
What is the Difference Between Quote and Rate?
Auto insurance rates are like the building blocks providers leverage to determine the cost of a premium. Certain risks can put you in a higher rate category, while applicable discounts tend to lower your rate.
Things tend to be different with an insurance quote since it is an initial estimate of how much you’ll pay for insurance, based on a limited amount of personal data. The underwriting process helps insurers pinpoint the risk an applicant poses and arrive at a premium price.
Hopefully, this simple guide will come in handy the next time you decide to compare auto insurance quotes.