Time for new insurance company

[Ingomike]

So they are changing policy limits you set without notifying you or giving you an option? That is nasty.

No, that is not what I am saying. They give you low rates to get the business but once you get in the wringer and cannot get low rates from other insurers they then jack your rates because you are stuck.

I know when I see brokers they use phrases like "over insured" or will

One cannot get a $1,000,000 payout on a $25,000 car, so therefore over insured gets you nothing.

say things like "nobody has a $250 deductible anymore, lets set it to $1,000" and manipulate other policy limits to give a better price.

Your deductible should be what you can afford. Your independent agent should let you know the premium difference between the deductible amounts. I will never have a deductible less than $1000 because I will never turn in a claim that low. I wish that $3000 and $5000 deductible was cost effective but the discount is minimal so $1000 it is.

One flat out refused to include a flood quote I explicitly asked for because "he checked for me and it is not required''. I am 100% sure there are honest and hard working insurance brokers out there, friends and family just seem to recommend me the less scrupulous ones.

The flood insurance typically will be purchased from the feds through an insurance company that participates in the government program. It is not usually purchased unless the property is in the 100 year flood plain or higher.

 

[Shadow01]

SIL works at SF HQ and refuses to carry their insurance. All you need to know.

 

[WebSnyper]

One cannot get a $1,000,000 payout on a $25,000 car, so therefore over insured gets you nothing.

Over insured typically not relating to the value of the car, as that is pretty much determined by make/model, etc, but in the liability limit aspects is where I've heard that term used most often.

Also have seen it in relation to home and contents values used on home owner's policies as well.
Every super low unsolicited HO policy offer I get in the mail seems to use original purchase price to get a really low premium. That said, I've also seen where if I wasn't monitoring it on each renewal, a current company may crank up the insured value of the home well beyond what it should be even in the current market to get more premium.

I've worked with my independent agent to actually reduce out of hand values used on home value on renewals before to bring down the premium.

 

[BehindBlueI's]

Insurance is de facto gambling. Both the insured and the insurance company are at risk.

Sort of.

Gambling is you're trying to make more money than you lose. Risk mitigation is understanding you'll likely lose money regardless, but not an amount you can't afford/recover from.

I'd think of it more as risk mitigation than gambling as a result. You're paying someone to take risk off your plate and put it on their plate instead. They are willing to do this because, as you point out, it's profitable for them to do so.

 

[BehindBlueI's]

Geico (and Progressive) are what we called high risk insurance companies by in the day.

I'm not sure what you're saying here. I'm assuming by in the day is a typo, but are you saying it's risky to use them or they insure high risk people?

 

[Ingomike]

I'm not sure what you're saying here. I'm assuming by in the day is a typo, but are you saying it's risky to use them or they insure high risk people?

Back in the day.

They insure high risk drivers, and high risk vehicles like motorcycles that many will not touch. When my teenage mistakes got me canned from dad’s policy our agent said I had to get “high risk” insurance. I suspect that accurate description would upset the tender hearted today.

 

[DoggyDaddy]

Back in the day.

They insure high risk drivers, and high risk vehicles like motorcycles that many will not touch. When my teenage mistakes got me canned from dad’s policy our agent said I had to get “high risk” insurance. I suspect that accurate description would upset the tender hearted today.

Geico didn't start out that way. It was Government Employee Insurance Company... I had to carry Progressive for a couple of years when I was young and dumb.

 

[Timjoebillybob]

Over insured typically not relating to the value of the car, as that is pretty much determined by make/model, etc, but in the liability limit aspects is where I've heard that term used most often.

Also have seen it in relation to home and contents values used on home owner's policies as well.
Every super low unsolicited HO policy offer I get in the mail seems to use original purchase price to get a really low premium. That said, I've also seen where if I wasn't monitoring it on each renewal, a current company may crank up the insured value of the home well beyond what it should be even in the current market to get more premium.

I've worked with my independent agent to actually reduce out of hand values used on home value on renewals before to bring down the premium.

My house is and was insured for well over market value. And I'm glad, after a fire it cost well over market value to repair it.

 

[dprimm]

I can put you in touch w my former agent and my current agent. Former I had to leave as he could not help w the farm. Current is American Family agent.

 

[Ingomike]

My house is and was insured for well over market value. And I'm glad, after a fire it cost well over market value to repair it.

What is the 80% rule for home insurance? | Liberty Mutual

Learn about the 80% rule for home insurance and ensure your property is adequately protected against potential losses and damages.

www.libertymutual.com

 

[armalitesheepdog]

State farm canceled me after 20 years. I had 2 hail claims and a tree branch fell on the garage all within 7 years causing damage. I cant control the weather and I cut down the tree
They canceled me 2 years later. I now have Liberty
I haven't had a claim with them but I do like the service so far.