An estimated premium is a preliminary amount you might pay for auto insurance coverage based on information you provide in an initial quote. This amount may change after the insurance provider completes a more detailed review of your risk profile during the underwriting process.
What is an insurance premium?
An insurance premium is typically the amount you may pay for your car insurance coverage, usually billed monthly, semiannually, or annually. The estimated premium you receive after requesting a quote may reflect factors such as your age, location, vehicle, and driving history.
What is the difference between an estimated premium and a final insurance premium?
Understanding the difference between an estimated and final insurance premium can help set expectations for possible adjustments. An estimated premium may be useful for you when it comes to comparing carrier options, but your actual cost for auto insurance may be higher or lower after the carrier completes their underwriting review.
Tip for policyholders
If you’re looking for a policy, you may be nervous that your insurance premium could be more expensive than your insurer’s initial estimate. To receive the most accurate estimated premium, you may want to provide complete, detailed, and truthful information when requesting a quote. Providing accurate information to the best of your ability may reduce unexpected rate changes later in the process.
Learn about your policy options with Infinity Insurance Agency, Inc. (IIA)
IIA works with over 20 different auto insurance carriers that can offer a variety of coverage options. Call us at 1-855-478-3705 or get a free quote online today.