Time to switch auto insurance again

[utrecht]

It looks like Im back on the auto insurance merry go round again. After 3 good years, Geico just hit me with a 32% premium increase. Not gonna happen!

 

[Big_Hitter]

Wow, that's a big increase - looks like they are trying to make up for some bad experience by passing it on to safe drivers

 

[Car-Guy]

I've gone thru most of the majors in the past 40+ years. They have all PO'd me at times but so far Framers has been the best. If you can say any insurance company is the best. I've been with them over 20 years now and have generally been "ok" with their service/support. Of course, I have a pretty good agent that fights for me. YMMV.

I'm sure glad inflation is in check , according to the government.

 

[kyzymurgist]

I've also played this game for 40 years and despise spending hours on the phone price shopping. I tried a new strategy with my current insurer.

I made very clear to my agent that he can expect no loyalty if I'm forced to price shop due to rate increases and so far that's paid off. The one big increase that I saw was rolled back after a brief email - they managed to find another 'discount' for me.

If they know you're a price shopper, they may make an effort to keep you and limit the rate increases since replacing you is even more costly It''s probably worth a call before bailing ship.

Good luck.

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[ExFlyBoy5]

Just got my renewal with Amica. For the 2nd year in a row, my premiums have GONE DOWN. That never happened with USAA.

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[MissMolly]

Our premiums have gone down every year with Progressive. We have been with them for 5 years now. I switched to Progressive because of outstanding service I received from them when I was hit by one of their insureds. I was not a customer of Progressive at that time. They were very professional and quick to respond to my needs, allowed me to choose my own repair shop and paid all charges without a discussion. I figured if they were that good to me when I was not even their customer, they were a company I wanted to do business with. Fortunately, I have not had a need to avail myself of their claims service in the 5 years I've been with them, but have always received professional, knowledgeable and courteous service whenever I have called them about policy changes and find their website easy to navigate.

 

[tulak]

Just got my renewal with Amica. For the 2nd year in a row, my premiums have GONE DOWN. That never happened with USAA.

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I left Amica last year because our premiums kept going up every year. I'm up for renewal with Pemco in a couple of months and I'm curious to see how that pans out. Based on my experience, you need to shop around for different insurance every few years.

Congrats on the lower premiums!

 

[utrecht]

I went to insurance.com. I entered all my details. 2 cars and 3 drivers. We currently pay about $210 per month (we have a 16 year old). Geico wants to raise our rates to about $278 per month.

Here are the quotes from insurance.com
Mercury Insurance...$764 per month.
Travellers................$693
esurance.................$$1196

That was a colossal waste of time.

 

[Blaineatk]

I had a terrible experience with GEICO. I was insured with them for a little over 6 years and never filed a claim or anything like that in the entire life of the policy, throughout my time with them my rates continued to increase every 6 months with no explanation.

One day I needed to use my roadside assistance as I was pulling my boat trailer and somehow got a flat tire on the very rear axle of the trailer. I had no way to lift trailer with the boat on it so I called them to see if that was covered. They informed me that though they had the best roadside service in the industry, it was not covered because it wasnt attached to my truck. I explained that it was attached to my truck but through my creative and elaborate situation I painted, they were not budging. I asked what the difference was when I was still stranded on the side of the road with a flat tire in my truck? I mean I dont see what the real difference is if you are paying to change the tire whether is it on my driver side or on the trailer behind me but that is beside the point I guess. I ended up walking and getting it all done myself.

Few days later I get a letter in the mail about a renewal and that my rate was going to be 20 or 25 dollars a month higher. I called them and asked what the deal was as I had just turned 25 and heard that the rates were supposed to drop at that time. The woman I was talking to informed me that the new price reflected my discount along with the many other discounts I was already receiving. My new rate was something like $185 a month, my previous was something like $160. She was trying to convince me that my new rate was cheaper.... This went on for about thirty minutes and her math eluded me to how the number 185 is LESS than 160, she was dedicated to it so I moved along.

I called around and found insurance, which I carry now for $96 dollars/month and have slightly more coverage. When I called GEICO to inform them that I would be switching, I apparently got in touch with the owner of the company because this lady seemed personally offended that I was switching and got rude with me about it. I let her know that I was paying roughly half with the new company (State Farm). She told me that they would more than double my rates within the next billing cycle and that I should stay with GEICO because they give me so many valuable discounts! This is when I really couldnt deal anymore, I asked how with all of these discounts am I paying more than double the rate. She told me that they are just a better insurance company and that I get better service with GEICO, besides, they have an industry leading roadside service! LOL I almost lost it...

I gave her one chance to explain how their service was any better. I told her that the only thing I have eve received from an insurance company was the proof of coverage card and a receipt. If she could prove to me that her receipt was worth more than double what the other insurance receipt was, I would reconsider and stay. She paused for a minute and said "Sir, you get more than a receipt with us...." I said "You mean the envelope that it comes in?" She replied "Sir, you get peace of mind!" I laughed and continued to cancel my policy.

I really dislike dealing with insurance companies, it seems that they do everything they can to minimize their coverage when you need it and then up your premiums. They really irritate me which explains why I just went on this long rant hahah

Sorry, thats my insurance story.

 

[Big_Hitter]

I went to insurance.com. I entered all my details. 2 cars and 3 drivers. We currently pay about $210 per month (we have a 16 year old). Geico wants to raise our rates to about $278 per month.

Here are the quotes from insurance.com
Mercury Insurance...$764 per month.
Travellers................$693
esurance.................$$1196

That was a colossal waste of time.

maybe or you have a good deal with Geico given the 16 year old who I'm guessing wasn't on your insurance earlier?

 

[fh2000]

I am wit Geico for a little more than a year. I am in Southern California with 2 cars (one full coverage; one liability), 4 drivers (2 away-from-home college students so they only drive during break, and summer).

My original premium was $633 every 6 months. In September, they lowered my 6 month premium to $440 with 29% discount. I thought it was an error, so I called them.

They said it was due to various of discounts:
I am a share holder, and I also carry umbrella insurance with them. My two college kids have GPA > 3.0, etc.

I will watch when next premium is due in March.

 

[utrecht]

maybe or you have a good deal with Geico given the 16 year old who I'm guessing wasn't on your insurance earlier?

Yes our 16 year old was already on the policy. We paid about $110 per month without him and it jumped to about $210 when we added him.

 

[frank2009]

GEICO did the same to me. No tickets or accidents, no good reason for the rate increase. Have Amica for home and auto now. It seems that insurance companies have no loyalty to good customers so I remain loyal to my wallet only. Its a pain but I will switch if necessary.

 

[utrecht]

Ive switched several times in the past because like you said, they have no customer loyalty, but I cant understand how these other companies are triple Geico's rates.

The best Ive found besides Geicos $278 per month is $435 from State Farm. These rates are ridiculous. We have 2 drivers that are 45 and 50 years old with no tickets or accidents and one new 16 year old driver with nothing on his record. I know the rates are higher because of our 16 years old...and they did almost double when he started driving, but this seems to be out of line. I guess I'll have to pay the 30+% increase and be happy with it?

Anyone else is Florida care to tell us how much you are paying?

 

[JOHNNIE36]

I have found that you have to shop every year or two for the lowest rate. I understand that every year the insurance companies change the parameters on their policies and if you fall into one of their changed parameters your rate may go up. Maybe the demographics changed for the area in which you live. I had the lowest rate for the last five years through 21st Century. Something changed and I fell into another category and my rate went up. I went to my insurance agent that carries my homeowners policy and she found a lower rate with Auto Owners. As an independent agent, she writes for three different companies for auto and also home. For now, I'm thinking an independent agent might be the best answer to solving the rate change problem.

 

[zinger1457]

Our premiums have gone down every year with Progressive. We have been with them for 5 years now.

Same experience here, have been with Progressive for over 10 years, the rate on my last car either stayed steady or went slightly down each year. Every other insurance company I tried before them would offer a nice 'teaser' rate to start out but always withing a year or two I would see a 30-50% increase (with a clean record).

 

[Lakedog]

Ive switched several times in the past because like you said, they have no customer loyalty, but I cant understand how these other companies are triple Geico's rates.

The best Ive found besides Geicos $278 per month is $435 from State Farm. These rates are ridiculous. We have 2 drivers that are 45 and 50 years old with no tickets or accidents and one new 16 year old driver with nothing on his record. I know the rates are higher because of our 16 years old...and they did almost double when he started driving, but this seems to be out of line. I guess I'll have to pay the 30+% increase and be happy with it?

Anyone else is Florida care to tell us how much you are paying?

Probably not much help to your situation since I'm single with one vehicle, but I've been with Geico for a few years due to their much cheaper rates for RVs. Even though I no longer have an RV, Geico is still the best deal for me in FL. I have compared quotes recently with the closest being Allstate -- Geico @ $225 for 6 months, Allstate quoted $254.

Your numbers seem extremely high to me, even for multiple autos/drivers. Florida rates are higher than most other states I have called home (paid $189 per 6 months in AL previously). Even with the RV and one auto, my 6 month rate was under $400 with Geico (in Alabama). My policies are with $1 million liability coverage.

 

[braumeister]

My rates have been stable for many years, but took a huge jump after our recent move. The current state (Kentucky) has a big surcharge which accounts for most of the increase. Didn't expect that, but the rates are still good enough to stay with the company.

 

[Mo Money]

I'm with Chubb. Insuring one car -- a (pollution-spewing) diesel VW wagon -- but with two authorized drivers (me and SO). Just got bill. Went up a hair to $1050/year (i.e. $87.50/mo). It used to go up substantially but I bit*hed to my broker and the increases have (so far) been reasonable.

 

[jpjr]

We usually shop our insurance once every two to three years, as most insurance companies have a tendency to ignore their current customers while tempting others with discounts that aren't voluntarily provided to our renewals. One thing to note, it is almost always better to bundle all your policies with the same insurer for a better overall premium. Another thing we do is look for an annual auto policy. Having a six month policy just provides the insurance company an opportunity to increase your premium that much sooner. This year I went to an Allstate agent, called Liberty Mutual as well as, The Hartford, through AARP (felt dirty doing that, but was compelled to give it a try.) I also told our independent agent to get quotes from all his carriers. Our current carrier, Travelers, remained our best option. Do yourself a favor and make sure you read all the coverage details when comparing policies. What once looked promising, turned out to have significant gaps in both coverage and limits of liability. Final thought, if you are on this forum, most likely you have assets to protect. An umbrella policy is warranted for most of us and is usually dirt cheap.

 

[RAE]

Yep, we've had to play this game every few years also. The last switch was about 3 years ago, to AAA, and so far the rates have remained about the same (very small increase, maybe). So, I will stay with them until they start raising rates too quickly. I have yet to file a claim with AAA, so I can't vouch for their service.

Based on several posts in this thread, it sounds like Progressive would be one to go to next, if I have to. I have no experience with them.

 

[rdy2go]

Some insurance companies are notorious for raising rates until they lose too much business then lower the rates again to where they maximize their profit and keep their better customers. Travelers, for one, is very good at this tactic. Some companies are regional companies and are not available in all states, such as Amica, Country Companies, Auto owners, etc.

Most insurance companies have been losing money on commercial and personal auto insurance for the past few years and are raising rates to get back in the black. They no longer price their business on whether you are a good customer or not, they price according to zip code, "insurance score" (like a credit score, but different") , age and other factors. Some companies are very stable and only raise rates when profitability suffers and others go for the max they can get away with. Insurance pricing is getting like medical treatment. They no longer treat you as a patient but prefer to treat you as a member of a population and you get what the population gets. Insurance is sort of the same way.

 

[Fedup]

I have AAA and their service is. Rey good. But I expected a decrease but got an increase, so I have to call them. I pay less than $400 a month but very high coverage,maybe I don't need them that much. 4 cars and 4 drivers.


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[Bamaman]

Insurance companies often price their auto and homeowners' premiums by loss ratios state by state. My state has sky high homeowners' policies because we have the Gulf Coast--but 400 miles from my house. I'm paying high premiums because of a hurricane potential--and for what happened 10 years ago.

I've been watching my "replacement" homeowners policies increase 15% to 20% per year, and I'm paying by the $1,000's. My house ended up being insured for almost 2x what it cost to build--and I was paying out the nose. But if my house burned down and I chose not to rebuild, they might pay me retail value but not the "replacement cost" I'm paying premiums on. It's just not right.

Their other angle is if you want to insure a house, they'll only write the coverage at normal rates if they also have your cars insured. Met Life charged me 2x a normal rate on a 13 year old pickup truck because I didn't have 2 cars insured with them.

I finally insured my 2 most expensive homes and 2 cars with Allstate, and my daughter's house and 2 cars with State Farm. Allstate's deteriorated as a company in recent years, but my local auto adjuster is supposedly great. Now I'm looking for them to up my premiums after 1 year of "teaser rates."

 

[adrift]

I've had Geico auto insurance for almost 30 years. In all that time, my only claim was a window chip a couple of months ago. It was a minor incident and they handled it fine. We shopped around for insurance a year or so ago and didn't find a better option. So, they been taking my money and I've been assuming we're covered. So, far it's worked.

At least for now, I'm a Geico customer. Apparently, there's up to an 8% discount available for Geico customers if they own Berkshire Hathaway stock. Geico Car Insurance 8% discount for owning berkshire hathaway stocks YMMY - Slickdeals.net.

I've made a minor contribution to Warren Buffet's success. Perhaps, there is a little reciprocity, I'm considering buying a share of BRK.B to get this discount. Any comments? I also have a Geico Umbrella policy. Do I get a discount there?