Choosing an auto insurance can be a nerve wracking event. There are literally hundreds of different companies out there, all offering different benefits for signing with them. How does one choose? Well, you didn’t buy the very first car that you looked at or even test drove, did you? Doing a little research and comparison shopping will save you money in the long run, and that starts with the review of the auto insurance companies themselves.

First, consider this: will you be looking for a totally online company, or will you go with a local agent for your insurance needs?

Yes, having an actual person to go with your agent’s name can be good, but you must weigh the different costs before signing anything. The cost of an actual agent will almost always be higher than online agents because of expenses such as staffing, building overhead and travel to and from the office to sign papers.

Online companies not only save money on a policy, it will also save the environment with reduced paper use, and no driving back and forth. It can also save you time; instead of driving down to an office, waiting for the agent to be ready and then driving back home, you click on to a website, fill out a form, chose a policy and then print it out. You are done, sometimes in less than ten minutes.

Shopping for insurance is easier online for price comparison as well. Some sites will show you a side by side analysis of several different companies, and you can choose the one that is the best for you. Remember, cheaper is not always better, but only you can tell what is the best for you. Some agents will agree to meet with you for comparisons at a reduced fee, or even free, so remember to ask. Take your quote page with you and ask for an explanation of anything you are unsure of.

If you truly want to play it safe, then stick with the names that you know, but if you research carefully, the lesser known companies can prove to be very economical. Just make sure that you read any reviews that are available about their service, including any that may be posted on the Better Business Bureau website. Do not rely simply on reviews found on the website itself, some companies will lace their pages with “bought and paid for” reviews. Look before you leap, and do not give out your personal information until you are sure of what you are getting into and are comfortable with the company and the coverage.

We all know the ads and the mascots for the various insurance companies, but do you want adequate coverage at a price that you can live with, or do you want a talking lizard with an urbane British accent? Know what is and is not covered with the policy offered, and the benefits that will come with signing with the company. How are claims handled, for instance? How quickly will your call be answered if there is an emergency? If you go with an online company, is there a toll free number in case you have questions that you would like answered by a human?

Just because a company has more name recognition than another, does not make it any better. Know what you need coverage wise, and then decide what you would like service wise, and choose your insurance company from there.