Security National Auto Insurance: What to Check Before You Buy

The short answer

If you are weighing a Security National auto policy, first confirm exactly which company you are dealing with. Several unrelated insurers and financial firms in the US use "Security National" in their names, and not all of them sell car insurance. Once you know the exact legal entity, check five things before you buy: that it is licensed for auto insurance in your state, its financial strength, whether the coverage matches your needs and your lender's requirements, its complaint and claims record, and the full price over the policy term. Your state, driving record, vehicle and how you buy (agent, broker or online) can each change the answer, so compare quotes for the same coverage before committing.

Step 1: Identify the exact company

Similar names cause real confusion in insurance. A company called Security National may belong to a larger insurance group, may only write certain lines such as commercial or life coverage, or may only operate in a few states. A quote or ID card may also show a brand name, a managing agency or a program administrator rather than the company that actually carries the risk. The company that carries the risk is called the underwriter or insurer of record, and it is the one responsible for paying claims.

Find the full legal name of the insurer on the quote, declarations page or application. Note the company's NAIC number if it is listed; this five-digit code identifies a specific insurer and removes name ambiguity. Ask the agent or seller whether they are the insurer itself, an agency, or a third-party administrator that handles policies or claims for the insurer. Check whether the policy is issued by the company you expect or by an affiliate within the same group.

Step 2: Confirm the state license

Auto insurance is regulated state by state. Your state's department of insurance keeps a lookup of licensed insurers and agents. Search it using the exact legal name or NAIC number and confirm that the company is authorized to write private passenger auto insurance in your state. Also confirm that the agent or agency selling you the policy holds a current license. A policy from an unlicensed seller or an insurer not admitted in your state can leave you without the protections state law normally provides, including state guaranty fund coverage if an insurer fails.

Step 3: Check financial strength

An insurer's financial strength affects its ability to pay claims, especially large ones. Independent rating agencies such as AM Best publish financial strength ratings for many insurers. Look up the specific company, not just its parent group, because ratings can differ between affiliates. If you cannot find a rating, ask the agent why. A lower or missing rating is not automatically disqualifying, particularly for small regional carriers, but it is a reason to weigh price savings against the risk of slower or disputed payments.

Step 4: Match the coverage to your situation

Comparing prices only makes sense when the coverage is the same. Review each part of the quote and make sure the limits and deductibles meet your state minimums, your lender's or lessor's requirements and your own risk tolerance.

Coverage | What it does | What to check; Liability (bodily injury and property damage) | Pays for injuries and damage you cause to others | Limits at or above your state minimum; higher limits if you have assets to protect; Collision | Repairs your car after a crash regardless of fault | Deductible amount; usually required on financed or leased vehicles; Comprehensive | Covers theft, weather, fire, vandalism and animal strikes | Deductible amount; glass coverage terms; Uninsured/underinsured motorist | Covers you when the at-fault driver has no or too little insurance | Whether limits match your liability limits; state rules on rejection; Personal injury protection or medical payments | Pays medical costs for you and passengers | Required in some states; how it coordinates with health insurance; Optional add-ons | Rental reimbursement, roadside assistance, gap coverage | Whether they are offered and whether you already have them elsewhere

Also read how the policy handles parts and repairs. Some policies allow aftermarket or non-original equipment parts for repairs, while others pay for original manufacturer parts. If you drive a newer vehicle with advanced driver assistance sensors, ask how calibration after windshield or bumper repairs is handled, since that can affect both cost and safety.

If you were referred to a nonstandard policy

Some smaller insurers focus on nonstandard auto insurance, which is coverage for drivers that larger carriers decline or price heavily, such as those with accidents, violations, lapses in coverage or an SR-22 filing requirement. If that describes your situation, check whether the insurer can file an SR-22 or similar certificate in your state, how long you must keep it, and whether the policy has tighter terms such as restricted drivers, lower available limits or stricter cancellation rules. Nonstandard coverage can be a useful bridge; review your options again once your record improves, since standard carriers may then offer lower rates.

Step 5: Look at complaints and claims handling

Price matters most on the day you buy; claims service matters most on the day you need it. Many state insurance departments publish complaint records, and the National Association of Insurance Commissioners compiles complaint data by company, often expressed as a complaint index that compares a company's complaints with its size. Search by the exact company name or NAIC number. A single complaint means little, but a pattern of delayed payments, claim denials or poor communication is worth noting.

How do I report a claim, and is reporting available outside business hours? Who handles claims: the insurer's own adjusters or a third-party administrator? Can I choose my own repair shop, or must I use a network shop? How are rental cars handled while my vehicle is being repaired? How is a total loss valued, and what happens if I still owe more than that value on a loan?

Step 6: Compare the real cost

Get at least two or three quotes using identical drivers, vehicles, limits and deductibles. Then look beyond the headline premium. Monthly installment plans may carry fees, and some policies charge for policy changes, reinstatement or early cancellation. Ask whether the quoted price is for a six-month or twelve-month term, which discounts were applied, and whether any discount depends on something you must still provide, such as proof of prior insurance or a telematics device.

Step 7: Read the documents before you pay

Declarations page: confirm names, vehicles, VINs, garaging address, limits and deductibles are correct. Exclusions: note who is excluded from driving and what uses, such as rideshare or delivery work, are not covered. Cancellation and refund terms: understand how unused premium is returned if you cancel. Proof of insurance: confirm you will receive ID cards right away and that your lender is listed as loss payee if required. Accuracy of your application: errors or omissions about drivers or vehicles can lead to claim problems or cancellation later.

Choosing your next step

If the company is properly licensed in your state, has acceptable financial strength and a reasonable complaint record, and its quote compares well for equivalent coverage, it can be a sound choice. If you cannot confirm the exact insurer, its license or who handles claims, pause and get those answers from the agent or your state insurance department first. When an unusually low price comes with thin coverage or unclear claims handling, paying somewhat more for a carrier you can verify is often the safer trade-off.