As a student or a recent graduate, you’re probably in the early stages of building wealth. Generally, that means that your insurance needs are pretty low. You may need some basic car insurance on your vehicle (if you even own one) and some renters insurance, but that’s about it.
However, if you’ve been diligently growing your income, paying down student loan debt, and investing, your insurance needs may have grown. When you have more assets to protect, you need to start thinking about reducing your risk of loss.
Reducing risk can mean a lot of things. It can mean don’t text and drive or eat healthy food instead of pizza. It can also mean reviewing your asset allocation and checking your insurance coverage.
When it comes to checking your insurance coverage, an insurance agent recently told me that he recommends that all high earners or people with high net worth look for the “trilogy,” which he defined as auto, homeowners and umbrella insurance coverage. Bundling all three of these coverages together usually reduces rates on all three.
But where should you go to buy your insurance trilogy? One place to consider shopping is Esurance. The company offers car insurance, but it also offers homeowners, renters, umbrella insurance, and so much more. Here’s what you need to know about Esurance.
- Online insurance platform with competitive prices
- Offers homeowners, car insurance, renters insurance, and more
- Competitive prices, but not for everyone
What Is Esurance?
Esurance is an online insurance platform powered by insurance giant, Allstate. The company offers instant online quotes for car insurance, homeowners insurance, renters insurance, motorcycle insurance, life insurance, umbrella insurance, and much, much more. Nearly any kind of insurance you want to buy can be purchased through the Esurance platform.
The company insures over 5.2 million vehicles in 43 states. According to its website, Esurance settles and pays out most of its claims within 10 days of filing.
In addition to selling its own insurance products, Esurance operates as a marketplace for auto insurance. Users can easily log in and compare quotes on auto insurance from multiple leading insurers.
Esurance prides itself on its technology-forward approach to insurance. Customers can shop and file claims online. In my opinion, it consistently outranks other insurance sites in terms of usability.
Does Esurance Offer Better Prices Than Other Insurers?
However, that won’t always be the case. I recently worked with an insurance agent, and that agent found me better coverage (i.e., lower deductibles) at lower prices than the prices I was quoted at Esurance.
Given my relatively robust insurance needs, it’s not surprising that an agent beat Esurance for me. Esurance is only designed to help people shop for one type of insurance at a time (especially car insurance). If you need to do more than shop for car insurance (or homeowners and car insurance bundles in 31 states), Esurance won’t likely offer the best prices for you.
Bottom Line: Should You Get a Quote from Esurance?
I don’t think it would hurt for you to get an insurance quote from Esurance. The process is easy, and it’s easy to compare rates from different car insurance companies. That said, I wouldn’t bank on it being the lowest price. In particular, if you need a lot of insurance, you may find that working with an agent is your lowest cost option.
- Pricing - 90
- Ease of Use - 80
- Products and Services - 80
- Customer Service - 80
Robert Farrington is America’s Millennial Money Expert® and America’s Student Loan Debt Expert™, and the founder of The College Investor, a personal finance site dedicated to helping millennials escape student loan debt to start investing and building wealth for the future. You can learn more about him here and here.
He regularly writes about investing, student loan debt, and general personal finance topics geared towards anyone wanting to earn more, get out of debt, and start building wealth for the future.
He has been quoted in major publications including the New York Times, Washington Post, Fox, ABC, NBC, and more. He is also a regular contributor to Forbes.