How to Choose Insurance Coverage

An insurance company is a business that offers coverage by contract. There are different types of insurance, such as medical, auto and home. Depending on the policy, any number of services may be included in a contract. An individual who purchases an insurance policy is the insured. When determining which type of coverage is right for you and your family, evaluate how well a specific plan meets your overall needs.

Instructions

• 1

  Decide which plan options are right for you. Insurance carriers offer a variety of plans, which you can request, view and compare side by side or individually. Choose plan options for your zip code and enter any required information, such as your gender and age.

• 2

  Compare premium costs to determine which insurance carrier offers the greatest annual savings. Don't be misled by sweeping promises of low rates. Instead, inquire about hidden fees and request a complete explanation of benefits for each plan.

• 3

  Select a plan with an attractive mix of billable services to ensure you have sufficient coverage. A billable service means you can submit a claim for payment or reimbursement.

• 4

  Evaluate the quantity of limits and exclusions. Choose a plan that offers the least amount of limits and exclusions for the amount of coverage provided.

• 5

  Shortlist your top two to five choices. Contact each company by phone and make any further inquiries about the plan's costs and benefits. Ask how the policy works.

• 6

  Weigh the level of customer service, as you may need to file a claim in the future. Inquire if customer service is available 24 hours a day.