Prevention is better than cure. But with the “bahala na” attitude prevalent in our culture, Filipinos don’t usually plan ahead. It is evident by the fact that only 30% of Filipino households have savings. It is also true that car insurance companies only have a limited 3% to 5% penetration rate among car owners. Given these numbers, a lot of car owners are willing to take the risk on the road, than to take a car insurance policy.

Given these circumstances, it is possible that a lot of car owners barely know car insurance policies. Therefore, it is also common that they encounter mistakes when they purchase a policy that will supposedly protect them from risks on the road.

These days, a lot of people are relying on car insurance comparison websites to get the best deals. Though it can simplify the selection process, it is still possible that you are going to commit errors. Here are five common car insurance comparison mistakes that people make.

1. Base the decision on the price alone

You have to always make sure that you consider different factors when dealing with a car insurance company. Though car insurance comparison websites can provide a number of cheap options to choose from, you have to look beyond the price and check other factors as well. Try asking if the company you are dealing with has a sufficient amount of experience, or do they have a good reputation in the industry.

2. Not check the company’s reputation

Though the comparison website generated options for you, as a consumer, you still need to do your homework. Try to look for any useful information regarding a company. Don’t be impulsive in getting a car insurance policy. In fact, it is better if you can call them if you don’t understand the parts of the policy.

3. Not do your own assessment

What online comparison websites assume is that you’ve done your homework. You have to assess what you need. How do you do this? As a rule of thumb, you have to know the risks that you are getting into. Next, you also want to learn more about the jargon of car insurance. This way, it is possible to determine if you need certain coverage or not.

4. Buying a used vehicle prior to checking car insurance comparison sites

Not all companies are covering used vehicles. You have to keep in mind that used vehicles may or may not be covered by top car insurance firms. It is a common scenario wherein vehicles older than 9 years old are no longer protected by car insurance policies.

5. Failing to check the review on online car insurance comparison websites

Not all car insurance companies are the same. There are those that offer superb services, affiliated with some of the best car insurance companies that the industry could offer. However, you have to also do your own research if you landed on the right car insurance comparison site. Try checking the reviews and opinions of other customers to see what you are going to get.