Car Insurance Increasing, more than expected

[Aerides]

We switched from Geico to SF in March to save about $150 per year and to simplify when we moved our homeowners to them as well (no multiline as the issuer isn't SF, they are just the broker).

6 month renewal came up today, wiped that out, up $150 already - instead of $1100, it's $1250. Looked at Geico to maybe switch back to the old $1174, and now it would be $1715! (re-ran the quote twice, no changes, no new/diff cars, no accidents, etc.) We're in Florida, and of course these things differ by state/region, but yeah...sticker shock.

Looks like car insurance is going up with everything else, but both of these were way up and beyond inflation or other known factors: https://www.bankrate.com/insurance/car/rate-increases-in-2022/

 

[VanWinkle]

We switched from Geico to SF in March to save about $150 per year and to simplify when we moved our homeowners to them as well (no multiline as the issuer isn't SF, they are just the broker).

6 month renewal came up today, wiped that out, up $150 already - instead of $1100, it's $1250. Looked at Geico to maybe switch back to the old $1174, and now it would be $1715! (re-ran the quote twice, no changes, no new/diff cars, no accidents, etc.) We're in Florida, and of course these things differ by state/region, but yeah...sticker shock.

Looks like car insurance is going up with everything else, but both of these were way up and beyond inflation or other known factors: https://www.bankrate.com/insurance/car/rate-increases-in-2022/

I just renewed my car insurance on a 2019 Highlander for 265.00 for 6 months. It is up 12.00 over the last 6 month premium. Your increase seems excessive with no losses or points. It always pays to shop around. Amazon is an internet company everyone uses. There are many internet Insurers that help reduce the cost of insurance. They are likely tied to major insurers and have good claims experiences. Try to get some additional quotes from several companies.

Good Luck,

VW

 

[Montecfo]

Get an independent agent

They will shop for you among highly rated companies that you have never heard of and do not have access to. And they will shop every year if you want. You keep a relationship with your agent, not the insurance co. And they will shop every year if you want.

You can still shop GEICO, Progressive etc if you want. They will not be shopping those.

 

[COcheesehead]

Start a relationship with a good, independent broker and have them shop your coverages every year. Our broker shops many including Progressive. That is our current provider. Our cost went up $30 this year, but its still the cheapest provider.

 

[VanWinkle]

They will shop for you among highly rated companies that you have never heard of and do not have access to. And they will shop every year if you want. You keep a relationship with your agent, not the insurance co. And they will shop every year if you want.

You can still shop GEICO, Progressive etc if you want. They will not be shopping those.

They may be blinded by the highest commission.... but YMMV. A good agent is like finding a good advisor. They are out there, but not always easy to find.

(Former agent and retired insurance professional)

 

[COcheesehead]

They may be blinded by the highest commission.... but YMMV. A good agent is like finding a good advisor. They are out there, but not always easy to find.

(Former agent and retired insurance professional)

Should I care if the broker is compensated fairly if they save me money?

 

[Aerides]

We had a broker for Homeowners for years, then shopped outside them to go lower with SF.

I also had SF for as long as I've been driving, until we switched to Gieco about 3-4 years ago and were quite happy with them, but went back to SF just this year when we had to get creative for homeowners...

I guess a Car broker is in our future (and I really don't want to go with someone I've never heard of...) but still, mainly meant for a heads up rates are going up crazy in some areas, it's not just me!

 

[VanWinkle]

Should I care if the broker is compensated fairly if they save me money?

No, but you should care if he is compensated highly to put you with a certain company that gives him extra incentives, including an annual trip to Hawaii.
I think a good agent is worth his commission. Everyone is sure their agent is good, but all of them are not the same. Beware and check rates for yourself every 2-3 years just to be sure.

Best to you,

VW

 

[Stormy Kromer]

I work part time in an auto body shop taking care of the billing and invoicing. Parts and labor costs are on the rise, and still climbing. Insurers are kind of like "the house". They work on their predicted profit margin and pass costs on to consumers. They are businesses after all.

Insurance is not all the same and not all companies pay to fix your car the same. One observation I have is that the dumber their ads are on TV, the harder they are to work with when you have a claim and have to collect.

If you're shopping for auto insurance and know a body shop, ask them who pays to fix your car right and who doesn't.

I would also give a nod to getting an independent agent. Nice to have an advocate that knows you when you need help.

 

[wdwwildbill]

In New orleans, I just got my auto renewal up 30% homeowner renewal doubled !!
Do have independent agent but not a great area foe insurance !! no claims either Yes I am shopping but like Florida, many companies are moving out !! very limited

 

[Bamaman]

Insurance companies will get new customers by quoting a teaser rate. Give'em 2 years and you'll be paying out the nose for insurance--increases on Cars and especially Homeowners' insurance. I just got off the phone with an insurance company as it's my biggest expense in retirement--too many cars and houses.

Where they get you on homeowners is after 1 claim in the last 3 years. It's about the same on autos.

My daughter dinged my 2020 F150 bumper. The part was $850 plus the cost of getting it painted. She hit a dog with my 2022 Toyota Venza, and plastic bumper parts were $750. It was very time consuming to repair too. I fixed both out of pocket.

A windshield for my Toyota with the sensors underneath was $1,100.

You can see why auto insurance is increasing--with auto parts increasing exponentially as the years go on.

 

[scrabbler1]

I don't know about the rest of you, but my car insurance rates dropped quickly in 2020 with the first few months of the pandemic. My rates have mostly returned to their 2019 levels but are not quite all the way back yet. The recent increases are nearly as large as the decreases in 2020 were. Collision on my aging car was always on the slow decline, so the rate for that coverage won't return to its 2019 level.

 

[aaronc879]

My insurance is going down when the next payment is due in September. It will go from $225/6 months to $185. That is due to using State Farm's monitoring system. I didn't drive a lot and drove safe so I got a good discount. This is for a 2022 Kia Seltos with 2000 miles on it.

 

[braumeister]

I've been with USAA for 50 years, and I've never seen anything outrageous.

I just looked at my car's insurance bills for the last few years. No changes in coverage.

2020, up 6.6%
2021, up 2.3%
2022, down 3.1%

 

[jollystomper]

Our GEICO policy next six month renewal has not changed, even with DW being in an accident that was deemed her fault.

To the OP, the higher GEICO rate might be due to you being seen as a new customer again. We have always had GEICO auto insurance (40+ years) and that may help our rates.

 

[FlaGator]

Reading the responses, this may be a Florida thing.

I'm in the Panhandle and with Progressive. I have three cars, two young drivers and a street-legal golf cart. Last year, I had a 14% increase, but no significant change since. Quotes from other companies, where I was able to get them, were not materially different.

And let's not speak of homeowner's insurance in our state either. OK?

 

[Magus]

Our vehicle insurance went up on renewal last month - roughly $100 more every 6 months for 2 vehicles. Home insurance barely went up this year a few months ago - was pleasantly surprised. Even more surprising was my primary home's property tax bill I just got in the mail this week was a $11 increase for 2023 and same on one of my rental properties in NC. Unfortunately, last week I got a notice in SC one of my rental properties the property tax was doubling sigh.