Are you familiar with co-op car insurance? I have to admit that I hadn't heard of it, at least in those terms, until recently.
There is actually a company in the New England States that is called Co-op Insurance, but the phrase in the broader sense is what I'm actually referring to in this case.
You might be familiar with the co-op concept as it applies to food, grains, and other common staples.
In essence, a group or community band together to more or less buy in bulk so that they can then distribute the product among themselves at a more affordable cost than if they had to purchase the same products individually.
A co-op is a great and long held tradition.
But I hadn't realized in my early years of dealing with the insurance industry that auto insurance was being promoted in the same manner. How about you?
I tend to lean toward programs that have a group dynamic, particularly when they are run well and are transparent in their dealings. A group car insurance organization is no different.
You can usually save money on an insurance policy purchased through a co-op because they don't have as much overhead as the large companies selling insurance.
Some co-op car insurance groups even disperse the excess profits back to their customers at the end of the financial year, which is also a great incentive.
Finding a group car insurance company that functions as a co-op may be a little difficult, depending on where you live. Generally speaking, a co-op auto insurance group will only offer membership to those within a specifically local and targeted area.
You may find a company that targets your state, or better yet, your county. You'll have to do a search including the name of your city, county, or state and the words "co-op car insurance" to see what kind of options you have available.
Now that you've got a general idea of how a co-op insurance provider works, I do want to caution you to still shop around. Don't assume that the quote you receive from a local co-op is indeed the best deal you can get. Check with the big companies, too, using the free quote services.
Competition is fierce these days in the insurance industry, so prices are highly negotiable. You might be surprised at the offers you get from the big guys - particularly if you have an excellent driving record.
Regardless of which route you end up taking with your insurance options, always remember to stay safe on the roads!