Travelers Insurance Company has announced that it will begin offering a 12 month auto insurance policy. This will be used in addition to their current 6 month auto insurance policy and will be available beginning January 24th, 2010.
The annual auto insurance policy is always a good option, since it locks in your premium for 12 months instead of 6 months. The primary reason an insurance company writes a six month auto insurance policy is so they can have the flexibility to change rates more frequently, if they deem it necessary. As a consumer, we obviously prefer to lock in the rates for a longer period of time.
This continues a recent trend from many insurance companies to offer the annual auto insurance policy. In addition to Travelers, we now have annual auto insurance policies available from Safeco, The Hartford, MetLife Auto and Home, Germania, Hochheim Prairie, Republic, Encompass and Kemper.