Key Takeaway
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Know your state’s minimum requirements and decide how much additional coverage you need before you start shopping.
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Compare quotes from at least three insurers using the same coverage levels and deductibles to find the best price.
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Look beyond price: check insurer financial ratings, customer satisfaction scores and claims handling reputation.
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Reshop at every renewal, bundle policies and raise your deductible to lower your premium without sacrificing coverage.
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Jerry compares quotes from 100+ insurers and handles the switch so you don’t have to do it manually by yourself.
Shopping for car insurance means comparing quotes from multiple insurers to find the right coverage at a price that fits your budget. Doing it the old way by going to one insurer website at a time can take 15 to 30 minutes just to gather a handful of quotes. With Jerry, you answer a few questions once and see quotes from up to 100+ insurers in minutes.
Jerry has helped 1,213,407 drivers compare car insurance quotes in the last year, turning what used to take hours of phone calls and paperwork into a few minutes on your phone.
Get personalized car insurance rates now.
What to know before you start shopping
Before you start requesting quotes, it helps to understand what coverage you’re legally required to carry and what additional protection makes sense for your situation.
Every state except New Hampshire requires drivers to carry a minimum amount of liability insurance, according to the National Association of Insurance Commissioners. But state minimums are often not enough to fully protect you financially after a serious accident, which is why many drivers go with full coverage instead.
Here’s a quick look at the main types of car insurance you’ll encounter when shopping.
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Coverage Definitions
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Who it pays: The other person, for injuries when you’re at fault in a crash.
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What it covers: Medical bills, lost wages and legal costs for people injured in an accident you cause.
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How it pays: Up to your policy limits, shown as two numbers. For example, 50/100 means $50K per person and $100K per accident.*
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Do you need it? Required by law in every state except New Hampshire. Your state sets a minimum, but Jerry recommends considering limits of at least 100/300.
Property damage liability (PD)
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Who it pays: The other person, for property you damage in a crash.
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What it covers: Costs to repair or replace another person’s car, fence, mailbox or other property you hit.
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How it pays: Up to your policy’s limit. For example, $50K.*
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Do you need it? Required by law in every state except New Hampshire. Your state sets a minimum, but Jerry recommends considering limits of at least $100K.
*Bodily injury liability and property damage liability are typically shown as three numbers on your policy, like 100/300/100. The first two numbers represent your bodily injury limits per person and per accident, while the third number represents your property damage limit.
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Who it pays: You, for damage to your own car.
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What it covers: Costs to repair or replace your own car after a crash with another car or object, like a guardrail or pole.
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How it pays: You pay a deductible first, then insurance covers the rest, typically up to your car’s current market value.
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Do you need it? Required if you’re financing or leasing your car. Optional otherwise, but recommended if your car is worth more than $5,000. May not be worthwhile for older, lower-value cars.
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Who it pays: You, for damage to your own car.
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What it covers: Damage from non-crash events like theft, vandalism, hail, flooding, falling trees, fire or hitting an animal.
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How it pays: You pay a deductible first, then insurance covers the rest, typically up to your car’s current market value.
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Do you need it? Required if you’re financing or leasing your car. Optional otherwise, but recommended if your car is worth more than $5,000. May not be worthwhile for older, lower-value cars.
Uninsured/underinsured motorist (UM/UIM)
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Who it pays: You and your passengers, for injuries and property damage.
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What it covers: Your own injuries and property damage when the at-fault driver has no insurance or not enough to cover your costs, including hit-and-runs in many states.
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How it pays: Up to your chosen limits, which often match your BI limits. There’s usually no deductible for UM, but UIM may have one.
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Do you need it? Required in some states, but Jerry recommends every driver get it, since about 1 in 8 drivers does not have car insurance.
Personal injury protection (PIP)
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Who it pays: You and your passengers, for medical bills and lost income, no matter who caused the accident.
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What it covers: Medical bills, lost wages, childcare, funeral costs and other expenses after an accident, regardless of fault.
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How it pays: Up to your policy limit. There’s usually no deductible, though this varies by state.
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Do you need it? Required in no-fault states. If available in your state, it’s worth considering.
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Who it pays: You and your passengers, for medical bills.
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What it covers: Medical expenses after an accident, regardless of fault.
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How it pays: No deductible. Pays up to your policy’s limit.
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Do you need it? Optional in most states, but can be valuable if you don’t have health insurance or have a high-deductible health plan.
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Key takeaway: Know your state’s minimum requirements and decide how much additional coverage you need before you start comparing quotes.
How to shop for car insurance in five steps
Whether you’re buying car insurance for the first time or looking to switch insurers at renewal, these five steps will help you find the right policy without overpaying.
Step 1: Figure out how much coverage you need
Start by thinking about how much car insurance you need. Your state’s minimum liability requirements are the legal floor, but they may not be enough. For example, most states require only $25,000 per person in bodily injury liability, which can be used up by a single emergency room visit. The Insurance Information Institute suggests evaluating how you use your car, what risks you face and what assets you need to protect before choosing your coverage levels.
A good rule of thumb: buy as much car insurance as you can comfortably afford. Higher coverage costs more per month, but it protects you from paying thousands out of pocket after a serious accident. Here are four common coverage tiers to help you decide.
Minimum
$77 – $171/mo
Meets your state’s required liability limits to keep costs low, but doesn’t cover damage to your own car. Best for drivers on a tight budget with older, low-value cars.
Full
$158 – $351/mo
Adds collision and comprehensive coverage, which are typically required if your car is leased or financed.
Standard
$187 – $428/mo
Includes uninsured motorist and medical payments coverage, which is especially valuable since about one in seven U.S. drivers is uninsured. A strong option for drivers who want well-rounded protection.
Preferred
$215 – $489/mo
Offers higher liability limits, lower deductibles and extras like towing and rental reimbursement for maximum protection. Best for drivers with significant assets or newer, high-value vehicles.
Based on Jerry customers with clean driving records who found savings in the past 12 months. Savings depend on coverage and other factors. Potential savings will vary.
If you’re not sure where you fall, start with full coverage and adjust from there. If you use Jerry to compare quotes, the app will let you choose different coverage levels so you can see exactly how your rate changes.
Jerry recommends: The most important thing is to be legally protected on the road, but buy as much coverage as you can comfortably afford beyond your state’s minimum. According to theNational Safety Council, the average cost of a disabling injury from a car crash is about $167,000. If your liability limit is $25,000 or $50,000, the gap between your coverage and the actual cost comes out of your pocket.
Step 2: Gather your information
Having a few key details ready will speed up the quoting process. Most insurers will ask for:
- Your driver’s license number and the license numbers of anyone else on your policy.
- Your vehicle identification number, or the year, make and model of your car.
- Your current insurance details, including your insurer, coverage limits and what you pay now.
- Your driving history, including any accidents or violations in the last three to five years.
- Your estimated annual mileage and how you use your car.
Step 3: Compare quotes from at least three insurers
Every insurer uses its own formula to calculate your rate, weighing factors like your driving record, age, location, credit history and vehicle differently. That means two companies can look at the same driver and come up with prices that differ by hundreds of dollars per year. Getting quotes from at least three carriers gives you enough range to see where the real deals are, and where you might be overpaying.
When comparing quotes, make sure you’re looking at the same coverage levels and deductibles across all quotes. A lower price might mean less coverage, not a better deal. You can get quotes directly from insurance company websites, through an independent car insurance broker or by using Jerry, which can compare side-by-side quotes from 100+ insurers and also help you buy, switch and manage your policy.
Unlike many comparison sites, which may sell your information with external insurers or agents, Jerry never shares your data for marketing purposes. Our DataLock Guarantee ensures that you won’t get spam calls or emails from third parties. Instead, Jerry lets you compare real quotes and buy your policy in one place, with no phone calls required. And if you need help choosing between policies or understanding your coverage options, Jerry’s licensed agents are available seven days a week by phone, email or in-app chat.
Step 4: Look beyond the price tag
The cheapest quote is not always the best choice. Before you buy a policy, check a few things about the insurer:
- Financial strength: Companies rated “A” or higher by AM Best are considered financially stable and more likely to pay claims without issues.
- Customer satisfaction: J.D. Power publishes annual auto insurance satisfaction studies that rank insurers based on real customer experiences.
- Claims process: Read reviews about how an insurer handles claims. A company that’s hard to reach after an accident can cost you time and money.
- Available discounts: Some insurers offer more car insurance discounts than others, which can significantly lower your price.
Your state’s department of insurance website can also show you consumer complaint data for each insurer, which gives you a sense of how well they treat their customers.
Learn more: The best car insurance companies
Step 5: Review your policy before you buy
Before you finalize your purchase, review the policy details carefully. Confirm your coverage limits, deductibles and listed drivers are all correct. Double check that any discounts you were promised are reflected in the final price.
Make sure your new policy starts before your old one expires so you don’t have a lapse in coverage. Even a single day without insurance can lead to higher rates in the future and may violate your state’s laws.
Key takeaway: Compare at least three quotes with the same coverage levels, check insurer ratings and reviews, and make sure your new policy starts before your old one ends.
Why quotes can change during the shopping process
If you have ever gotten a car insurance quote and then seen a different price at the point of purchase, you are not alone. This happens because insurance quoting is a multi-step process, and each step involves a different level of verification. Understanding how it works can help you avoid surprises.
A quote is an estimate, not a final price. When you request quotes, insurers use the information you provide, like your age, ZIP code, car details and coverage preferences, to generate an initial estimate. This is sometimes called an RC1 rating. It gives you a useful starting point for comparing carriers, but it is not yet your confirmed rate.
The carrier then verifies your information in stages. After your initial quote, the insurer checks your claims history and, in most states, your credit-based insurance score. This produces a refined second quote that is closer to your actual rate. When you select a policy and move to purchase, the carrier runs the most detailed check: your Motor Vehicle Report from your state’s DMV. This report returns your full driving violation history and is the biggest factor that can change your final price. If your record is clean, your rate often stays the same or even drops. If the report shows a violation that was not in your initial information, your rate may go up.
This process is standard across all insurers, not something specific to Jerry or any one company. Every carrier goes through the same stages of verification before confirming your final rate.
The best way to get a quote that closely matches your final rate is to provide complete and accurate information from the start. Have your driver’s license, vehicle identification number, current insurance documents, driving history and home address ready when you begin. And when comparing quotes, always use the same coverage limits and deductibles across carriers so you are making an apples-to-apples comparison. Jerry recommends starting with liability limits of at least 100/300/100.
When to reshop. Your rate is not locked in forever. You should compare quotes again at every renewal, after a violation drops off your record, which typically takes three to five years, and after major life changes like moving, getting married, adding a teen driver or buying a new car. Jerry monitors market rates and lets you know when it may be time to reshop.
Learn more: How to compare car insurance quotes
How to shop for car insurance with Jerry
Finding the right car insurance doesn’t need to be complicated. Jerry makes it easy to compare quotes from 100+ insurers and buy your policy entirely online, with no phone calls required.
- Compare quotes. Answer a few questions and Jerry pulls up side-by-side quotes from 100+ insurers in minutes. No long forms or phone calls.
- Customize coverage. Adjust your coverage limits and deductibles to see how different options affect your price and find the right balance of protection and affordability.
- Switch and save. Once you find the right policy, Jerry handles the switch. We take care of the paperwork and can even cancel your old policy so you don’t have to.
Jerry keeps an eye on market rates and lets you know when it’s time to reshop. You’ll also get payment reminders and help with any changes to your policy. And if you ever need help, Jerry’s licensed agents are just a chat or phone call away.
What factors affect your car insurance quote
Understanding how car insurance is calculated can help you anticipate what you’ll pay and identify areas where you can save. According to the NAIC, insurers evaluate risk based on two main things: underwriting and rating. Here are the biggest factors that affect what you’ll see when you get quotes.
The Jerry difference: Your rate depends on factors like your driving record, location, car and credit history, and every carrier weighs these factors differently. Jerry keeps track of how these variables affect your price across 100+ insurers, so you don’t have to research each one on your own.
How to save money when shopping for car insurance
You don’t have to settle for the first quote you get. There are several ways to lower your premium while still getting the coverage you need.
Compare quotes every time you renew
Car insurance rates change frequently. The company that gave you the lowest rate last year might not be the cheapest option this year. If you buy your policy using Jerry, we’ll let you know when it’s time to reshop.
Bundle your home and car insurance
Jerry customers can save up to 40% when they bundle car and home insurance. Jerry is unique in that we allow you to mix-and-match companies so you can find the best bundle, because sometimes pairing the cheapest car insurance from one company with the cheapest home insurance from another saves you more.
Raise your deductible
Your car insurance deductible is the amount you pay out of pocket before insurance kicks in. Choosing a higher deductible lowers your monthly premium, so choose the highest deductible you could comfortably afford to pay if you ever file a claim. Most Jerry customers pick a deductible between $501 to $1,000.
Ask about discounts
Most insurers offer discounts you might not know about. Common ones include safe driver discounts, good student discounts, low-mileage discounts, pay-in-full discounts and discounts for safety features on your car. Ask your insurer about every discount they offer, because not all of them are applied automatically.
Drop coverage you don’t need
If you drive an older car that has a lower market value, it may not make sense to carry collision and comprehensive coverage. Jerry recommends considering dropping full coverage if your car is worth less than $5,000. You can check your car’s value for free using Kelley Blue Book or NADA.
Build and maintain good credit
In most states, insurers use credit-based insurance scores to help price your policy. Keeping your credit in good shape can help you qualify for lower rates. This doesn’t apply in California, Hawaii, Massachusetts or Michigan, where this practice is prohibited and insurers aren’t allowed to use credit score to determine your rate.
Key takeaway: Compare quotes at renewal, bundle policies, raise your deductible and ask about every available discount to lower your car insurance costs.
Learn more: Liability insurance vs. full coverage
Common mistakes to avoid when shopping for car insurance
A few common missteps can cost you money or leave you without the protection you need. Here are the biggest ones to watch out for.
- Only looking at price. The cheapest policy might have coverage gaps, high deductibles or come from an insurer with poor claims service. Always compare coverage levels side by side, not prices.
- Sticking with the same insurer out of habit. Loyalty doesn’t necessarily pay off with car insurance. Rates change, and your current insurer may no longer be the most competitive option for your profile.
- Buying only the state minimum. State minimums are designed to meet a legal requirement, not to fully protect you financially. According to the National Safety Council, the average cost of a disabling injury from a car crash is about $167,000. One serious accident can blow past a $25,000 or even $50,000 coverage limit, leaving you personally responsible for the difference.
- Skipping uninsured motorist coverage. About one in seven drivers on U.S. roads lacks insurance, according to the Insurance Research Council. If an uninsured driver hits you and you don’t have uninsured motorist coverage, you’ll pay out of pocket for your own medical bills and car repairs.
- Letting your policy lapse. Even a short gap in coverage can result in higher premiums when you buy a new policy. Time your switch so your new coverage starts before the old one expires.
Jerry recommends: Don’t choose a policy based on price alone. Compare coverage levels, check insurer ratings and avoid letting your policy lapse when switching.
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faq
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How often should I shop for car insurance?
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Is it better to buy car insurance online or through an agent?
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How long does it take to get a car insurance quote?
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Can I switch car insurance at any time?
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Does shopping for car insurance affect my credit score?
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What’s the minimum car insurance I need?
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Should I bundle my car and home insurance?
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What if I’m a first-time buyer with no insurance history?
Methodology
Data included in this analysis comes from policies that Jerry has quoted within the last 6 months for drivers with a clean record and that have full coverage, unless stated otherwise. Data related to violations, accidents or credit scores pull from quote data from the last 18 months. Jerry services 48 states and offers a range of insurance companies to choose from. Read Jerry’s car insurance data methodology to learn more about how we collect, verify and share real-world insurance data.
Ben Moore is a writer and editor at Jerry and an auto insurance expert. He previously worked as a writer, editor and content strategist on NerdWallet’s auto insurance team for five years. His work has been published in The Associated Press, Washington Post, Chicago Sun-Times, MarketWatch, Nasdaq and Yahoo News. He also served as a NerdWallet spokesperson, with appearances on local broadcast television and quotes in Martha Stewart and Real Simple magazine.
Ben has an extensive background in digital marketing, working on affiliate and programmatic advertising campaigns for brands like Cabela’s, H&R Block and Sears. He holds a bachelors degree in marketing from Olivet Nazarene University.
