Car insurance

[justdeb]

Well - as many probably know, most states have laws in place to do credit profiling when calculating car insurance rates *boo hiss boo* LOL - anyways, as many of us on here are in the same boat (credit was great until _____) our rates are going to skyrocket due to mods or whathaveyou.

I called our State Department of Insurance to find out if, in fact, our state was allowed to credit profile. Turns out, yes VA is one of the states allowed to do so and all but 14 states in the US are allowed. (Which 14 are exempt I do not know). The insurance agent at the Dept then told me that every year it goes up for vote and gets shot down by local officials (Fed has nothing to do with the laws) - and for VA at least, it just got shot down again a few weeks ago. (go figure ).

He was nice enough to give me names of insurance companies located in our state, run in our state (vs. outside states as well) that were in business for years and had great track records for Virginians. I wasnt aware that your Dept Of Insurance could advise you of who could have the best rates...and who uses the credit scoring to a lesser degree.. were you?

So now, when we receive our renewal next month, if it gets jacked too high (and it will go higher I know) I have 2 names of companies he provided outside of the "Big 6" (Progressive, All State, State Farm, Giego, Mutual, and Erie) that I will be contacting for rate quotes.

The names he provided are Amica and VA Mutual (for those in VA).

We'll see where they get us....

Hope everyone else calls their state Dept of Insurance to see what they can find out as well because even though there are 14 states that are exempt, SOME of those states insurance companies still try to use credit scores to up the rates. ALso wouldnt hurt to get your local ins. companies to see if you can get a better rate with an in-state carrier vs. country wide carriers.

Good luck!

[Evan Bedard]

Thanks justdeb for sharing this very useful information and I'm sure it will benefit many here

For those here in Southern Ca there are quite a few third party agencies that will find the best rate available for your situation. For example, I have been going to a place called Westside Auto Ins for the past couple of years and they have saved me well over one hundred a month with their research. I contacted all of the big 6 above and they could not offer anything under about $250 month full coverage. I'm now paying about $134 because of this third party service..

[jerefernan]

thanx deb and evan--didn't think about this--will be investigating further--

[justdeb]

Evan, thanks for that info! I'll have to see if we have something like that here. I HATE getting quotes as we have to provide SSN's and whatnot and it pulls our credit every single time - can you say "DING" - like its not taken a hit enough already? Ugh.

So what would we look for if we were searching for a third party vendor/researcher? Any ideas?

I think CA is one of the exempt states, I believe thats what the guy told me, but dont quote me on it LOL

[TeriM]

I'm an insurance agent in Ohio and I can tell you that the companies you listed do run credit for quoting....

I can't speak for every company, but the ones I work with only run it when you originally get the policy - it's not run again.... that's why I can't move my coverage...

[justdeb]

I'm an insurance agent in Ohio and I can tell you that the companies you listed do run credit for quoting....

I can't speak for every company, but the ones I work with only run it when you originally get the policy - it's not run again.... that's why I can't move my coverage...

I'm sure they do run it - any company outside of those 14 states that are exempt run credit profiling. The State Dept of Ins. agent just stated that some companies rely less on it than others, but the "big 6" listed above rely heavily upon it moreso than your driving history - whereas some others take into account your driving record moreso than credit score.

It just ****s all the way around because VA didnt have this law until the late 90's.... just another way to screw with people. Credit score has nothing to do with my driving record or ability! Our credit - like so many others on here - was perfect before our crisis hit, which happened to be my husband losing his job through no fault of his own. We are with Erie - and they run it EVERY TIME its up for renewal... its awful, although out of the big 6 - they are the cheapest - so far, for us. We've been with them for over 20 years.

Laws need to change..this is just awful *sighs*

[Evan Bedard]

It just ****s all the way around because VA didnt have this law until the late 90's.... just another way to screw with people. Credit score has nothing to do with my driving record or ability! Our credit - like so many others on here - was perfect before our crisis hit, which happened to be my husband losing his job through no fault of his own. We are with Erie - and they run it EVERY TIME its up for renewal... its awful, although out of the big 6 - they are the cheapest - so far, for us. We've been with them for over 20 years.

Sorry Deb but I'm not too sure how you would find this type of service in VA.. I actually had a friend refer me to this company and they have been great! Every six months to a year it seems my monthly dues drop slightly also..

I totally agree with you, your driving record has absolutely nothing to do with your credit score! Here in CA from what I know they base your rate off of your age and if you have prior violations or accidents.

[TeriM]

I'm sure they do run it - any company outside of those 14 states that are exempt run credit profiling. The State Dept of Ins. agent just stated that some companies rely less on it than others, but the "big 6" listed above rely heavily upon it moreso than your driving history - whereas some others take into account your driving record moreso than credit score.

It just ****s all the way around because VA didnt have this law until the late 90's.... just another way to screw with people. Credit score has nothing to do with my driving record or ability! Our credit - like so many others on here - was perfect before our crisis hit, which happened to be my husband losing his job through no fault of his own. We are with Erie - and they run it EVERY TIME its up for renewal... its awful, although out of the big 6 - they are the cheapest - so far, for us. We've been with them for over 20 years.

Laws need to change..this is just awful *sighs*

I'm not so sure I totally agree with the dept of ins - they rely heavily on credit... and I think it's a bunch of bull - the best part is... the worst drivers usually get all the discounts... doctors & the such... because of who they are.... college degree & the likes....

it's not right at all..... if I have good credit & don't pay I get cancelled.... if I have bad & don't pay - same thing....

the worst payers are those that have the best credit....

[justdeb]

I'm not so sure I totally agree with the dept of ins - they rely heavily on credit... and I think it's a bunch of bull - the best part is... the worst drivers usually get all the discounts... doctors & the such... because of who they are.... college degree & the likes....

it's not right at all..... if I have good credit & don't pay I get cancelled.... if I have bad & don't pay - same thing....

the worst payers are those that have the best credit....

do you have any proof of this - since you work for an insurance company? That qualifies as discrimination/preferential treatment/profiling in my book - and if you know that, then .... call it out and bring it to light.

If you dont pay, regardless of credit - you get canceled so I'm not sure about the analogy there and I wouldnt say the worst payers are those with the best credit - I have never been late in any payment at any time other than our mortgage payment up until my husband lost his job so...

I dont work for Dept of Insurance for our state - I only reported what they told me - because I simply wanted to know what the laws were as it pertained to credit profiling for my state - and found that it was rather interesting to know that regardless if you are in one of the 14 exempt states, they can and do still use credit as a precursor to rate increases/decreases. They may not tell you that - but he did state its still being done.

The guy was genuine enough to at least assist in providing at least 2 names of companies that, while they do use credit profiling, they consider driving record more importantly over a credit score -vs. the Big 6 that rely heavily on credit score vs. driving record - at least here in VA. How it will pertain to others in their areas, I dont know - thats why I posted this call and find out.

[faith]

Well - as many probably know, most states have laws in place to do credit profiling when calculating car insurance rates *boo hiss boo* LOL - anyways, as many of us on here are in the same boat (credit was great until _____) our rates are going to skyrocket due to mods or whathaveyou.

I called our State Department of Insurance to find out if, in fact, our state was allowed to credit profile. Turns out, yes VA is one of the states allowed to do so and all but 14 states in the US are allowed. (Which 14 are exempt I do not know). The insurance agent at the Dept then told me that every year it goes up for vote and gets shot down by local officials (Fed has nothing to do with the laws) - and for VA at least, it just got shot down again a few weeks ago. (go figure ).

He was nice enough to give me names of insurance companies located in our state, run in our state (vs. outside states as well) that were in business for years and had great track records for Virginians. I wasnt aware that your Dept Of Insurance could advise you of who could have the best rates...and who uses the credit scoring to a lesser degree.. were you?

So now, when we receive our renewal next month, if it gets jacked too high (and it will go higher I know) I have 2 names of companies he provided outside of the "Big 6" (Progressive, All State, State Farm, Giego, Mutual, and Erie) that I will be contacting for rate quotes.

The names he provided are Amica and VA Mutual (for those in VA).

We'll see where they get us....

Hope everyone else calls their state Dept of Insurance to see what they can find out as well because even though there are 14 states that are exempt, SOME of those states insurance companies still try to use credit scores to up the rates. ALso wouldnt hurt to get your local ins. companies to see if you can get a better rate with an in-state carrier vs. country wide carriers.

Good luck!

Thank you justdeb,
I have 21st century insurance since 1986 and they raised my rate every year, I paid $3760 a year for 3 cars, CA rate, full coverage but I want to ask you if you know how I can save money. I know I have to get liability, CA requires $15/30/5, but do I have to get comprehensive, collision, uninsured, rental, uninsured waiver, property damage, medical payments, this fees adds up and if I can save money by eliminating some of them, that will be great. My friend told me that 21st century insurance is the cheapest of all. I don't have problems filing a claim with them when I had a car accident in 2005 and when my daughter's car was vandalized on Jan 18 2010. But they should have lowered my premiums since I have been a customer since 1986.
Thanks for your help.

[justdeb]

Thank you justdeb,
I have 21st century insurance since 1986 and they raised my rate every year, I paid $3760 a year for 3 cars, CA rate, full coverage but I want to ask you if you know how I can save money. I know I have to get liability, CA requires $15/30/5, but do I have to get comprehensive, collision, uninsured, rental, uninsured waiver, property damage, medical payments, this fees adds up and if I can save money by eliminating some of them, that will be great. My friend told me that 21st century insurance is the cheapest of all. I don't have problems filing a claim with them when I had a car accident in 2005 and when my daughter's car was vandalized on Jan 18 2010. But they should have lowered my premiums since I have been a customer since 1986.
Thanks for your help.

Hi Faith

OMG - I'd faint if my ins. was that high holy crap! Is it because you're in CA that rates are so high? Sheesh... and here I thought paying $1683 a year for full coverage for 3 vehicles was high...now I feel bad for complaining .

I dont know how the laws are in CA - I know here in VA we are required to have liability on all vehicles, unless you pay the Uninsured motorist fee (I think its like 500-600 yearly for that), which gives you no protection at all. I thought comprehensive was an option as that covers things like windshields (at least my comp is windshield coverage - I only pay a $50.00 ded for windshield replacement and chips are fixed free) - are you saying CA requires that? Ouch. We pay alot for our comp ded. to be at $50.00 - so I know if our rates go up (and they will) - we are going to have to either switch carriers or raise our deductibles by quite a bit. Currently they're pretty low (I think either $100 or $500 for collision and $50.00 for comp), so we can save by doing that, as can most people, by raising the deductible. Our medical is I believe in the hundreds of thousands and then into millions for lifetime, so we can change that too, and it saves there.

Each state has a minimum coverage allowed per each area - I think VA is 25K for medical and 50K for other areas, but I'd have to look it up. You would have to ask your State Dept of Insurance what the minimums are for your state for coverage; if you go too low, and get into an accident, you will be liable for the remainder of any medical for out of pocket if you're at fault, so... its a tough call there.

I read yesterday that VA has some laws on the books in regards to insurance not being allowed to raise rates at certain times due to accidents and/or tickets - I guess its because we're a Commonwealth, but its some unique law on the books apparently that I wasnt aware of.

[faith]

Hi Faith

OMG - I'd faint if my ins. was that high holy crap! Is it because you're in CA that rates are so high? Sheesh... and here I thought paying $1683 a year for full coverage for 3 vehicles was high...now I feel bad for complaining .

I dont know how the laws are in CA - I know here in VA we are required to have liability on all vehicles, unless you pay the Uninsured motorist fee (I think its like 500-600 yearly for that), which gives you no protection at all. I thought comprehensive was an option as that covers things like windshields (at least my comp is windshield coverage - I only pay a $50.00 ded for windshield replacement and chips are fixed free) - are you saying CA requires that? Ouch. We pay alot for our comp ded. to be at $50.00 - so I know if our rates go up (and they will) - we are going to have to either switch carriers or raise our deductibles by quite a bit. Currently they're pretty low (I think either $100 or $500 for collision and $50.00 for comp), so we can save by doing that, as can most people, by raising the deductible. Our medical is I believe in the hundreds of thousands and then into millions for lifetime, so we can change that too, and it saves there.

Each state has a minimum coverage allowed per each area - I think VA is 25K for medical and 50K for other areas, but I'd have to look it up. You would have to ask your State Dept of Insurance what the minimums are for your state for coverage; if you go too low, and get into an accident, you will be liable for the remainder of any medical for out of pocket if you're at fault, so... its a tough call there.

I read yesterday that VA has some laws on the books in regards to insurance not being allowed to raise rates at certain times due to accidents and/or tickets - I guess its because we're a Commonwealth, but its some unique law on the books apparently that I wasnt aware of.

Thanks, now I envy you, he he he. Can I move to VA now? Oh mannn!!! And I thought that my insurance coverage is cheap. I have searched other insurance like AAA which is $1983 a year for 1 car, The General is $2200 a year for 1 car, Geico is $2100 a year for 1 car, so I thought 21st century has a good rate. I have the minimum 15/30 and 5 for medical payments. My deductible for comp and collision is $1000 and I have uninsured motorist, I think I am going to remove the uninsured but knowing me, I am a walking disaster, if lightning strikes only once, I have been hit by uninsured motorist twice 1984 and 2005. And the guy that hit me in 2005 I thought he got away with it, but in 2008 the attorney for 21st insurance sent me a letter and a document to sign like an affidavit because he's representating 21st and they have taken that guy to court. I don't know if he is in jail or they put a lien on his assets. God will protect me and my children. Thanks and God bless.

[timmywit]

We have Geiko they seem to be fair, it costs us $130 a month for 2 cars, but we have a flawless record. We have been with them for about 5years now and our rate has never flucated more then %5 up or down, same cars for the last 5 years aswell. So what is being said as we get loan modification our insurance rates will go up?
Over the past two years my credit has not been the best a few 30day lates, but my wifes credit has been flawless.

Also on my credit report I have never noticed Geiko pulling it every 6mths or 12mths.

If you want to see a high insurance bill, my brother and his wife each have had DWI's over the past two years-there monthly insurance bill is $780 for 2 cars.

[caldwell02]

Wait a minute - I'm in CA and there is NO WAY that the insurance has to be so high. I have two cars (actually one is my sons). Our car insurance and our homeowners insurance are with State Farm. My rates are no where near that high Faith. Nowhere.

Faith - you are being taken, big time. Get some quotes. Something is really wrong.

[faith]

Wait a minute - I'm in CA and there is NO WAY that the insurance has to be so high. I have two cars (actually one is my sons). Our car insurance and our homeowners insurance are with State Farm. My rates are no where near that high Faith. Nowhere.

Faith - you are being taken, big time. Get some quotes. Something is really wrong.

I have

Good morning Caldwell,
Hope all is well with you. Actually I checked on some car insurance and 32st Century Insurance which is my insurance is the cheapest of all.

I checked California Department of Insurance and checked on complaints and quotes on car insurance and this is what I've found"

For complaints: Automobile Composite

For annual car insurance premiums for 3 people: Auto Insurance Survey

I pay $325 for husband and daughter and another $145 for my other daughter which is $470 for 4 months=$1880 x 2 =$3760 for 1 year, it renews every 6 months and billed monthly for 4 months. They don't have monthly. I've checked AAA per person and a member is $1963 a year.
I've checked the general insurance and 1 car with minimum coverage is $2200 a year. I've applied at Wawanesa since the chart above shows they are the cheapest, but it only took my name and addresses but never gives me any quote online. I've been with 21st century insurance since 1988 and only have 1 car accident which was not my fault and they paid my car which was totalled a brand new honda at the time but only $13,000, I've paid more than that but they gave me back the deductible of $1000. I don't drive anymore due to my cataracts. I will probably call Farmers insurance since they owned 21st century now.

Thanks and God bless.

[faith]

Wait a minute - I'm in CA and there is NO WAY that the insurance has to be so high. I have two cars (actually one is my sons). Our car insurance and our homeowners insurance are with State Farm. My rates are no where near that high Faith. Nowhere.

Faith - you are being taken, big time. Get some quotes. Something is really wrong.

Caldwell,
I have applied to Wawanesa and they have quoted me for 3 cars full cover'veage, 50k/100k ded is 500 in the amt of $2358 for 1 year but you have to put down 20% which I don't have. No car accidents or tickets for the last 3 years. My daughter's car was vandalized on Jan 19 2010 not her fault, my husband got a speeding ticket within that 3 years and the way my oldest daughter drives from San Diego to San Franciso she has put almost 200,000 mileage for that 2004 Scion. So I am stuck with 21st Century. It's still cheaper than the ones I have checked.

thanks

[justdeb]

Faith...

Have you tried Erie? I dont know if they're in CA or not...but... so far they are the cheapest for us. I still have a few more calls to make, but so far, Erie still cant be beat for the coverage we have (Full for 3 vehicles, with comprehesive and collision)