Cost is important, but there are many other factors to consider in addition to price when selecting the best auto insurance company for you. Here are the main points to keep in mind as you start the auto insurance quote process:

•  Financial Stability — You buy car insurance to protect you financially and provide peace of mind, so it is best to select a company that is financially sound. Independent rating agencies measure and report the financial strength of insurance providers, so make use of this excellent resource to help you make a wise decision.

•  Service and Claims — While assessing financial strength is one of the most important elements to consider in choosing the right insurance company for you, it is equally vital to research a company's customer service record. Your company and its representatives should answer your questions and handle your claims fairly, efficiently and courteously. You can get a feel for customer focus by talking to other customers who have used a particular company. Also, your state insurance department will be able to tell you if the insurance company you are considering doing business with had many consumer complaints about its service relative to the number of policies it sold. The better a provider's service and claims record, the better your chances of having a good experience in the event you have a question or need to file a claim.

•  Price and Product — The rule here is to make sure that you get the coverage that's best for your circumstances at the price that is best for your pocket. Many companies sell insurance policies and prices vary greatly from one to another, so it really pays to shop around. Get at least three price quotes from companies, agents, brokers, and from the Internet. Your state insurance department may publish a guide that shows what insurers charge for different policies in various parts of your state.

•  Licensing — Not every company is licensed to operate in each state. As a general rule, you should buy from a company licensed in your state, because then can you rely on your state insurance department to help if you have a problem. To find out which companies are licensed in your state, contact your state insurance department.