ron.dittmer wrote:
It has been our experience that any insurance claim regardless how minor, and "yes" even simple inquiries to determine if we should file a claim to our insurance company, auto or home policy, the rates jump up so badly that we have to switch insurance companies.
Once we learned how the insurance system actually works, we get the highest deductible plans, and pay out of pocket without informing our insurance, even when exceeding the deductible by "reasonable" amounts. We save BIG money over-all this way.
And if you wonder, we had so few claims over our 42 year driving and home ownership history. All claims were very minor incidents that we felt did not warrant such high increases in our policies. The few claims we had were smaller than the cost of coverage for that given year.
Ron, Insurance companies can NOT raise your rates for simply making an inquiry regarding a potential claim. All insurance companies share common data base so they will know if you have filed claims with other companies and that can affect the rates they charge so there is little to be gained by jumping from company to company.
About 2 years ago I had my first ever potential claim, I had caught the edge of the scale at the refuse transfer station and did what was largely cosmetic damage below the door sill. After hearing what the paint and body shop proposed - replacing a fully functioning door to the tune of $2,500 I canceled the claim and did the repair myself. A little tapping with a maul to flatten out the gouged metal trim and some touch up paint have it looking decent.
The claim was dropped and as far as GEICO {and the rest of insurance industry} is concerned it never happened. This was confirmed today when my adjuster noted that I had no {zip, zero, nada} claims in my insurance history. I agree one can save on premiums up front by opting for higher deductibles but if you are afraid to use insurance there isn't much point in having it.
Self insuring becomes and option but given the low interest rates currently available it does not always pencil out. You still are legally obligated to have liability insurance and when bundled with full coverage the costs are not that much higher.
I have made it a habit over the last 30 years to get quotes from multiple insurance companies every 3 - 5 years on all of my insurance products. Usually my existing insurance is competitive but if it is not for whatever reason I simple shop for another carrier.
:C
