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Related: Culture Forums, Support ForumsNot normally a Lounger, but this has me scratching my head....
So, my car insurance rates are freaking outrageous. My home owners insurance too. Not sure why they are so damned high. We don't not drive fancy or even new vehicles (the newest car is 5+ years old). I got quotes from other companies that are like 25%(!) of what I am paying my current company. Anyone else see stuff like this?
MOMFUDSKI
(5,765 posts)run wild. Money talks.
leftieNanner
(15,190 posts)Car insurance going up $250 per year for a 2010 car!
cbabe
(3,552 posts)its not the car its the zip code.
Fancy zip code means fancy cars means more thefts and break ins means higher rates.
Only available minimal discount is safe driver rate and/or low annual mileage.
My car gets older and my rates go up.
Happy Hoosier
(7,454 posts)In any case, I got another insurer that offered me a rate that is less than a THIRD of my my insurance company offered. And that's with better coiverage and a lower deductible!
Also saved $1000/yr on home owners insurance.
KT2000
(20,601 posts)On my homeowner's policy I happened to notice the replacement value of belongings was $350,000. No way do I have that much. If there was an incident I would need to account for every kleenex, sock, etc. By reducing that amount I saved over $100 a year. The fellow argued with me to keep it high though.
Barry Markson
(254 posts)It's also the cost of repairs and medical expenses that you might be liable for if you are involved in an at-fault claim.
Like if the brakes fail on your 20-year-old vehicle and you barrel into some guy's $100,000 Tesla.
Ask me how I know.
Happy Hoosier
(7,454 posts)soldierant
(6,945 posts)and I can tell you that the premium on your auto policy is mostly not based on your car. Comprehensive and Collision coverahe, yes. But the big bucks are generally in liability coverage. And if you take agent's advice and set your liability coverage at roughly your net worth - because thats what you could be sued for if you are at fault in an accident - that's even more true.
Cars can't be rebuilt the way a house can, so yes, your homeowner policy is largely based on your home, but not on its current resale value, but instead at the cost to rebuild it from scratch. The figures can indeed be jaw-dropping - but if you opt for lower coverage and your home is destroyed, you'll be out of pocket trying to rebuild. Also, homeowners policies include personal liability as well - not for criminal acts, but for things you or someone in your household might do which are not criminal but are serious enough to by civilly litigated (things which are called "torts" .. Here too it's smart to have coverage in the neighborhoold of one's net worth.
ProfessorGAC
(65,337 posts)Homeowners policy went up 57% in 4 years. Started shopping around.
Found a new policy with identical coverage for only $30 higher than I was paying 4 years prior.
Car insurance too, but not close to the same scale. Still got a reduction when I switched.
I think they keep raising rates of existing customers hoping nobody puts 2 & 2 together.
Happy Hoosier
(7,454 posts)Last edited Thu Jan 25, 2024, 05:01 PM - Edit history (1)
My old company was quoting me $2400/6 months. For three cars (all three Hondas, the NEWEST one 6 years old). 3 drivers. One is young.
The NEW company quoted me $700/6 months and had higher coverage and lower deductibles.
That's crazy
The new company also saved me $1000/yr on home owners insurance with higher limits.
Nuts. I just saved $4400/yr
ProfessorGAC
(65,337 posts)Last edited Thu Jan 25, 2024, 05:10 PM - Edit history (1)
I switched 4 years ago. No need to switch now.
Thing is, that original company was our HO coverage for 25 years. Suddenly, rates started going up at 3x or more, the rate of inflation.
The first company has more than 5x assets under management. They were just gouging & hoping to get away with it.
Happy Hoosier
(7,454 posts)WE've used this company for 30+ years and rates been reasonable. A couple of years ago, was the Year from Hell for us and my mind was elsewhere when they jacked the rates.
We've finally recovered financially and emotionally from that disastrous year, and I started checking up on thing.... hoo boy!
I am pissed at myself for letting it slip, but I had no reason to think they were going to suddenly screw me like that.
willamette
(124 posts)Who is the new company? Do you have to belong to a limited group of people to qualify for "membership?"
I am in the midst of a forced sale ('totaled') to my current insurance company, and am looking for a replacement insurer. I've been with them over 40 years. I ran over a low planter curb, with no visible damage ... and the car still drive-able.
edits to deal with use of quotation marks
Marthe48
(17,090 posts)It'll be over 100.00 dollars increase for this year. I drive less than 5000 miles, never had an accident in 45 years. In their letter, they blame inflation. How ironic. I am required by state law to carry insurance, have minimum need for it and yet, get gouged every year for more.