Insurance - all of em

[Tony Radford]

It all started with an ad on USA Today posing a rethorical question "are you paying too much on insurance?" I've been with Allstate for decades, raised two kids on the auto policy etc. Cobra, three drivers, life and house. I expected my rate to drop dramatically when my 25 year old daughter and Accura came off my policy, but it hardly dropped at all.

Anyway, I filled out the form on the ad and started receiving quotes. Following a few rounds with three or four agencies, I focused on a non-demonitational local agent who's hooked me up with a list including Travelers (two daily drivers), American Family (house) and Atlas (Cobra). The net result is a 50% savings across the board for policies with similar coverage to my Allstate policies. Another $150 buys me a $1M umbrella (with Dave Ramsey highly recommends). Why wouldn't i pull the trigger? My Alstate policy expires at the end of this month.

[Silverback51]

What I have found is that you need to change every 3 to 5 years to get lower rates. It's just a game you have to play it seems.

You stay with the same company and they raise your rates every year since they have you in their grips so to speak. But if a new customer comes along with the same requirements, they will get a lower rate. It sucks.

[trularin]

Tony, you are doing the right thing.

I call my agent a number of times a year and he gives me the best numbers and from who. then I assess if it is worth the move. AAA has been within a few dollars every year for the past 6 years.

When I turned fifty, my home owners dropped to half of what is was before. Same with my auto.

Go for it!

[Archrms]

My renewal policy for my daily drivers came in the mail the other day, so I decided to shop it around. All the other companies came in $300-$400 cheaper. I then called my original company posing as a new customer, and they quoted me a policy for $300 less than my renewal statement indicated for the same coverage and vehicles. What a scam they have going.

[4RE KLR]

There could be many reasons the quote is different.

If your original quote (and policy) were issued with a past history of a claim (of any kind) or a ticket (even if it was five years ago) will show up and your rates will be in accordance with those issues.

If you have moved from one county to another, and did not ask for a reduction in premium (if it is a lower rated county) you will not get it.

The problem here is not so much the Insurance Company, as it is your agent. It is his/her job to contact you EVERY YEAR to go over your policy, to run new history, credit and MVR reports to see if the old tickets have fallen off, or if they have been off long enough to no longer matter, to check your new county rates, to check if you have maintained your car or added anything (safety), to check if you have gone to any driver training schools, to check to see if your policy still adequately covers your needs.

If you have a problem, like the one stated above, you need a new agent. If you shop insurance for the absolute cheapest price you can find anywhere in the country, that is exactly what you will get, the most piss poor service in the country. Thank Goodness you didn't have a loss while you were covered with the no-service agent. Who would help you if the adjuster didn't have a clue about your particular car?

Guys, you get what you pay for!

[cobra de capell]

It pays, big time, to survey the market, in CA "Wawanesa" out of Canada offers the best deal on drivers - State Farm on Cobra's - limited use.

The big companies make a lot of money from lazy people.

[Tony Radford]

I have a plan. My "new" agent informed me that my Allstate homeowners policy is unbeatable for the price as it's 25 years old and not written anymore. I'll save 50% or around $1,100/year by moving the cars.

[4RE KLR]

Tony,

UH OK,

Did he also tell you that you would (could) loose your multi-line policy discounts when doing so?

[Tony Radford]

I do lose the multi-policy discount. That's 8% or around $65. I'll take that to get 50% on the cars.

[4RE KLR]

As long as you know, and can make the best decision, that's cool.

Sometimes the numbers are not that far apart.

[joe g]

Switched from nationwide to aig 2 cars dropped $1500 a year, a few years back then caught aig sneaking up there rates. went to state farm this spring and it dropped 250.00 more. pays to check
joeg

[Dan40]

Car insurance is not TOO bad in our lightly populated area. But homeowners insurance, due to hurricanes, is awful, statewide. I'm about to start shopping for new soon, as ours is up in Sept. Changing every year now is almost certain. Last year ours went up over 60% [NO claim] and the year before, that company refused to renew. Same as the one the year before, but they did pay a claim that was 50% more than the insured value. Had mucho hurricane damage and 'replacement cost' insurance.

[4RE KLR]

Dan,
Unfortunately everyone's insurance in Florida went up to off-set the loses in your state. Even though most Floridians were not impacted by the Hurricanes, everyone is paying the price for it (them)

[jhv48]

Originally Posted by Silverback51

What I have found is that you need to change every 3 to 5 years to get lower rates. It's just a game you have to play it seems.

You stay with the same company and they raise your rates every year since they have you in their grips so to speak. But if a new customer comes along with the same requirements, they will get a lower rate. It sucks.

Untrue and highly illegal.

[jhv48]

Originally Posted by 4RE KLR

There could be many reasons the quote is different.

If your original quote (and policy) were issued with a past history of a claim (of any kind) or a ticket (even if it was five years ago) will show up and your rates will be in accordance with those issues.

If you have moved from one county to another, and did not ask for a reduction in premium (if it is a lower rated county) you will not get it.

The problem here is not so much the Insurance Company, as it is your agent. It is his/her job to contact you EVERY YEAR to go over your policy, to run new history, credit and MVR reports to see if the old tickets have fallen off, or if they have been off long enough to no longer matter, to check your new county rates, to check if you have maintained your car or added anything (safety), to check if you have gone to any driver training schools, to check to see if your policy still adequately covers your needs.

If you have a problem, like the one stated above, you need a new agent. If you shop insurance for the absolute cheapest price you can find anywhere in the country, that is exactly what you will get, the most piss poor service in the country. Thank Goodness you didn't have a loss while you were covered with the no-service agent. Who would help you if the adjuster didn't have a clue about your particular car?

Guys, you get what you pay for!

Do you go to the cheapest Doctor? Cheapest lawyer? Buy the cheapest clothes or furniture? Then why would you gamble with your families financial security by going with the cheapest insurance company?

I totally agree with the above. If you pay peanuts, you get monkeys!

[Tony Radford]

I took my current policy and applied to AARP, Geico, Farmers and Travelers. All were cheaper and with the exception of AARP, all were close to half. Are you suggesting that all of these other insurance companies are a risk? I was told by my Allstate agent that I could get a reduction, but I have to ask for it. I'm done with agents that are tied to one brand.

I've had this policy for 20 years and covered two kids to age 25. Wrecks, tickets, the whole ball of wax. Yet despite tickets timing out, kids leaving the policy, vehicles getting old, my rates have never been significantly reduced. From the research I've done so far, I think I would have to be stupid to continue down my current provider.

[Dan40]

Originally Posted by 4RE KLR

Dan,
Unfortunately everyone's insurance in Florida went up to off-set the loses in your state. Even though most Floridians were not impacted by the Hurricanes, everyone is paying the price for it (them)

I completely understand the reason. We had TOTAL destruction of 2 bedrooms, the living room and the kitchen. The only things with no damage were one bedroom and 2 baths. Even my shop in the garage [UNDER the house] had some water damage. 8 feet of roof from east to west on the north end gone along with the entire gable end. and 4 feet of roof, east to west GONE from the south end. We lived in an 8 X 27' Camper on the lawn for 10 months while the place was rebuilt. But it was rebuilt like a fortress. Just the reinforcing in the trusses used more wood than the original trusses did. Cross bracing everywhere and 'rat runs' from one end to the other.
The roof sheathing is now all solid plywood, no OSB, and covered in 1/4" rubber under the metal roof, screwed down every 6 ". And steel shutters on every window.

That company refused to renew. They took it in the shorts so I don't blame them. New company gave us fits every other month over rates even tho the rebuild got top ratings for hurricane prep from a licensed contractor[from the ins, co.] the building inspector, the State inspector and a specialty inspector I hired. Then they said they would not renew due to being too close to the water! Next one, no problems or claims from me, and no new hurricane damage statewide, but they raise the rate out of sight?
I understand underwriting, how did the risk assessment change, dramatically, with no storms?

[4RE KLR]

Originally Posted by Tony Radford

I took my current policy and applied to AARP, Geico, Farmers and Travelers. All were cheaper and with the exception of AARP, all were close to half. Are you suggesting that all of these other insurance companies are a risk? I was told by my Allstate agent that I could get a reduction, but I have to ask for it. I'm done with agents that are tied to one brand.
I've had this policy for 20 years and covered two kids to age 25. Wrecks, tickets, the whole ball of wax. Yet despite tickets timing out, kids leaving the policy, vehicles getting old, my rates have never been significantly reduced. From the research I've done so far, I think I would have to be stupid to continue down my current provider.

OK, One thing at a time.
In the BOLD BLACK:
Absolutely not saying they are all a risk. I didn't say that nor did I insinuate it. What I am saying is you get what you pay for. If you shop for the lowest rate, instead of the best coverage, you will get the worst service if there is a loss.

Think about this for just a second. Do you really think the company with the cheapest rates can afford to give you top notch claim service if there is a loss, when you paid the smallest amount for the premium?

Come on, your smarter than that. If the premiums are the cheapest you can find, the service will be the worst. OK, WHY? Well, to begin with, the agents do not even make a decent commission with those policies. They will make change, literally. So, they have to write hundreds or thousands of policies to make a living. They are so covered up with the day to day efforts of selling more policies they don't have time to help you. They can't, they have to sell, sell, sell.. in order to feed their families.


In the 'BOLD RED'
You should re-think this as well. Here is why:
If you have a 'Captive Agent' as your agent and you have a loss, you will receive better claims service than you would if you have an independent agent.

WHY?

OK, Think about this. If you live in an area that has just been devastated by a hurricane. Would you rather call your 'Captive Agent" that has an ARMY of people behind him/her to come to your area to get the loss valued and your immediate needs taken care of quickly?

Or would you rather call your 'Independent Agent' that has to call this adjuster for your loss, that adjuster for your neighbors loss, and still another adjuster for third loss... all in the same neighborhood? You will have ONE adjuster that has to come to the area and look at hundreds upon hundreds of loss claims. No telling when he will get to you.

Yes, it happens just like that! Now you know why.

[4RE KLR]

Originally Posted by Dan40

I completely understand the reason. We had TOTAL destruction of 2 bedrooms, the living room and the kitchen. The only things with no damage were one bedroom and 2 baths. Even my shop in the garage [UNDER the house] had some water damage. 8 feet of roof from east to west on the north end gone along with the entire gable end. and 4 feet of roof, east to west GONE from the south end. We lived in an 8 X 27' Camper on the lawn for 10 months while the place was rebuilt. But it was rebuilt like a fortress. Just the reinforcing in the trusses used more wood than the original trusses did. Cross bracing everywhere and 'rat runs' from one end to the other.
The roof sheathing is now all solid plywood, no OSB, and covered in 1/4" rubber under the metal roof, screwed down every 6 ". And steel shutters on every window.

That company refused to renew. They took it in the shorts so I don't blame them. New company gave us fits every other month over rates even tho the rebuild got top ratings for hurricane prep from a licensed contractor[from the ins, co.] the building inspector, the State inspector and a specialty inspector I hired. Then they said they would not renew due to being too close to the water! Next one, no problems or claims from me, and no new hurricane damage statewide, but they raise the rate out of sight?
I understand underwriting, how did the risk assessment change, dramatically, with no storms?

Dan,
Your insurance may or may not have gone up the next renewal depending on when the renewal actually happened. For example, the date or number of months AFTER, the loss and /or losses in the area.

The insurance and re-insurance companies may not have had time to 'realize' all the losses at the time of your renewal. If your renewal came with-in a couple of months of the loss, then it is possible the TOTAL looses in the area had not been fully realized at that time.

Basically the risk never changed, it was just realized.