Advantages and Disadvantages of direct car insurance


Direct Insurance is an insurance company that does not work with insurance brokers or insurance agents. It can also mean a situation where people in need of insurance carry it out without external help from agents or brokers.

direct car insurance

As such, direct car insurance is just a form of direct insurance. It involves purchasing coverage directly from the insurance company without the assistance of an insurance agent. It is also known as online insurance. This form of insurance has become increasingly popular especially with the new generation as a result of the shift to the internet. Direct car insurance programs that provide free quotes and works for the benefit of consumers.

Now, getting car insurance is as easy as looking through the internet on your phone, getting quotes, and then making a selection with ease. From this, you can already tell the convenience of direct car insurance. It is convenient, easy, simple to understand, and lots more. However, there are so many reasons insurance brokers and agents still have their jobs – they are still largely useful. Hence, there are also certain disadvantages of bypassing them and using direct car insurance. Direct car insurance is essentially a program to provide ease, with its flaws. Here is an overview of the various advantages and disadvantages of direct car insurance.

Advantages of Direct Car Insurance

There are numerous advantages of direct car insurance. Some of them are outlined below:

  • Free Quotes

Most of the activity carried out by a person that is looking to direct car insurance, is online. They simply visit the websites of their choice and obtain quotes. These quotes would give them a general idea of how much they would be required to pay in car insurance premiums and most of these quotes are given for free. This is one of the major advantages of actually using a site or program that provides direct car insurance. Note that the initial quotes you receive online are subject to change after your driving and claims history and sometimes your credit score, has been duly reviewed.

  • Convenience

A prime advantage of direct car insurance is the convenience it comes with. To get a direct car insurance can be as easy as one click. You do not have to chase agents or car insurance brokers to get yourself deals – you can do all of it yourself in the comfort of your homes. This type of quote research program would help you to be able to save time, receive reliable information and improve your quality of living generally.

  • Little or no paperwork

When using insurance agents and brokers, you may need to fill out a whole lot of paperwork. From the stage of securing the insurance provider, to joining and signing up, to even paying the premiums. Now, so much change has blown through the insurance industries and all others as well, that almost no paperwork is necessary.

  • Save Money

There are various ways by which you save money when using direct car insurance. First, you can save a whole lot of money by comparing the different insurance companies. To do this, you get quotes and compare them while still looking at quality and preference of course. You then just need to compare different insurance providers via the Internet and be able to read reviews about these and make your decisions with ease. The other way is that you save the extra money you would have paid to agents. A whole lot of agents are overpriced and may not offer more than you can already do on your own. So why bother?

  • Speed

Another great advantage of using direct car insurance is speed of delivery. The online quoting process is usually way faster than purchasing insurance through an agent, as a result of the paperwork and so on. Hence, if timing is a factor for you, going through direct car insurance may be the best option to take.

Disadvantages of Direct Car insurance

There are also various disadvantages of using direct car insurance. Essentially, the disadvantages of using direct car insurance would serve as advantages of using insurance agents and insurance brokers.

  • You may not get the right answers to your questions

When using an insurance agent, you would have all your questions answered with ease. While it may be true that you could contact the customer care representatives on the websites of these companies, you would not be able to get the honest answers that would be in your best interest. Auto insurance comes with a lot of options, and the choices you need to make can sometimes be confusing. You need an insurance agent to walk you through it.

  • When Crisis comes

When crisis comes and you made use of direct car insurance, you may be completely found wanting. When an accident occurs and it is time to receive your claim, it is best to have somebody to fight for you – it may be required sometimes. Having an agent to work directly with is a great way to move through the red tape and all the unnecessary paper work. The truth is that a good agent will fight for you and ensure that you get your claims from the insurance company.

  • You may pay for the wrong coverage

When using a direct car insurance, you may get carried away by all the juicy benefits you see and get a policy or coverage that is not in your best interest. You see, insurance companies understand that you are comparing their services, so they show the juicy side and tell you what you want to hear. Independent insurance agents are working for you and do not gain anything from selling you short.  Policies would usually include a lot of fine print that an agent can explain better to you.

  • Cool discounts

Direct car insurance may offer you juicy deals, but agents would be able to find the best discounts available for you. Asides pairing you with the right insurance providers that would suit your specific needs, insurance agents would help you get these cool discounts that you would not have ordinarily gotten. They could even negotiate cooler deals for you or or organization.

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