Good Sam Insurance Rip Off Washington State

[Jpony56hd]

The wife went on line to re-new our Insurance on our class A and pick up truck this morning. The web site gave her No Other Option than to pay in Full! We've had NG for 9 years now, never late on payments. When we called we were told that National Generals Product Manager for Washington State had reviewed our policy and based on some secrete code system decided that we are and Insurance Risk. I been driving for 50 years with only one accident back in 2003 when some kids lost control of their car spun out and crossed into opposing traffic and hit my classic 1953 Ford. I just retired from Boeing with 18 years in, I've been a member of Boring Credit Union since 1988 and have an excellent Credit Rating. So what was our crime?? The best as the rep could tell us was that our Visa is Maxed Out! Seriously! Time for a new Insurance Company..

[Jpony56hd]

I can't see where one maxed card qualifies for Deep in Debt. Our total debt is less that 15k. We just bought new tires for the MH and used the card to do this. After hours on the line with National General we were informed that we had three Points on our record? Just got my DMV Driving Record and it's Clean, talked to DMV and found Wa state does not put points on driving records. Finally got the Insurance company to explain that this last march another driver and I backed out opposite each other and touched in the middle. I gave the other driver my info, the other driver went to his car and took off. I reported this to our insurance agent and noted that their was No Damage to my truck and a small bump on the other car. The other driver was an apparent Illegal (No License, no insurance, No English). So due to this I get three Insurance Points on my Insurance Record, My rates go up, and They want me to pay up front with cash.

[darsben]

Of course the OP could have passed some magical age bracket he states driving 50 years. Some insurances rate when you get older.
What the rip off is I do not know but the OP is wrong it is not a rip off it is their way of doing business. So I would just go elsewhere and save the rip off cloche for situations that warrant it.

[westernrvparkow]

ugh wrote:
Just to be clear to everyone. Having too many CCs or maxed out CC does not impact your insurance rate. Those things impact your credit scores which in turns impact your rates. Just like mortgage rate, car loan rates, etc. The better your credit score, the better your rates and it is not equal for insurance companies. That is why it pays to shop around even if you have great rates now.

A well stated, factual, explanation and course of action for the OP's situation. Things like that are not welcome here. You should be ranting about someone is somehow ripping people off. Just because insurance companies have proven to government regulators that credit scores are a reliable indicator to use when calculating risk and setting rates is no reason not to instead believe some guy named Joe who says it's all bullpoop.

[ugh]

Just to be clear to everyone. Having too many CCs or maxed out CC does not impact your insurance rate. Those things impact your credit scores which in turns impact your rates. Just like mortgage rate, car loan rates, etc. The better your credit score, the better your rates and it is not equal for insurance companies. That is why it pays to shop around even if you have great rates now.

[ugh]

Jpony56hd wrote:
The wife went on line to re-new our Insurance on our class A and pick up truck this morning. The web site gave her No Other Option than to pay in Full! We've had NG for 9 years now, never late on payments. When we called we were told that National Generals Product Manager for Washington State had reviewed our policy and based on some secrete code system decided that we are and Insurance Risk. I been driving for 50 years with only one accident back in 2003 when some kids lost control of their car spun out and crossed into opposing traffic and hit my classic 1953 Ford. I just retired from Boeing with 18 years in, I've been a member of Boring Credit Union since 1988 and have an excellent Credit Rating. So what was our crime?? The best as the rep could tell us was that our Visa is Maxed Out! Seriously! Time for a new Insurance Company..

I used to work for two different insurance companies that provide auto insurance. The rates are not based on if you maxed out your CC. It is based on your credit score along with other factors. If you maxed out your CC, then your credit score will go down and that can bring up your premiums. How can you fix this, well first shop around for new insurance as different companies have different way of rating it. Then, get your credit score back up to and shop for new insurance again in 6 months.

[Cordelia]

Lucky you didn't add a teen driver! Years back I added a teen driver and they tripled my 6 month rate. I expected a rate increase, but not that much. I went shopping around and ended with Liberty Mutual who gave me a one year quote for less than Good Sam's new 6 month quote. (yes all the coverage was the same) It pays to shop around.

[rr2254545]

So does the fact you are highly in debt make Good Sam a rip off - I think not

[OkSixpack]

It could be the CC. At one time I had several store credit cards, all with low balances and for mostly one time purchases. My insurance went up because of too many cards.(5 maybe, not twenty!) My parents were with the same company but a different agent. There insurance went up because they didn't have any major credit cards. Yep, it's a rip off imho.
Jim

[Bird_Freak]

DownTheAvenue wrote:

Jpony56hd wrote:
The best as the rep could tell us was that our Visa is Maxed Out!

That is quite common in the insurance industry. In fact, not only will they not allow monthly payments, but they will probably raise your rates as well. While I am not sure why poorly managing your debt to income ratios makes you a greater insurance risk, this is what you can expect when you max out your credit cards.

I think you are out of line with the OP. You don't know the reason his card may be maxed. A lot of things can happen to cause this and it could be a short term thing. Just to assume it was poor money management is just wrong.

[louiskathy]

Just because he's max'd his card out doesn't mean it's a high amount of money. I intentionally called cust. service and lowered my credit card limits to make my credit score higher. (and to protect me from someone running up my card if it were stolen.)

[DownTheAvenue]

Jpony56hd wrote:
The best as the rep could tell us was that our Visa is Maxed Out!

That is quite common in the insurance industry. In fact, not only will they not allow monthly payments, but they will probably raise your rates as well. While I am not sure why poorly managing your debt to income ratios makes you a greater insurance risk, this is what you can expect when you max out your credit cards.

[TOMMY47]

Jpony--That's probably the reason. I read about this a few years ago. High CC debt supposedly makes you a risk? In reality, just a scam to raise rates or get everything up front.

[Robyn_Barnes]

Hello Mr. Johnson,
I apologize for the trouble you are having with your renewal. If you would like me to look into this further with our Good Sam Insurance Agency, please send me a private message with your phone number and billing zip code.

Sincerely,
Robyn Barnes

[louiskathy]

Seems odd... I guess my first thought is that you need to look into the possibility that there's been identity theft... and your credit report will show if there's been activity you don't know about.

https://www.annualcreditreport.com/cra/recdata.jsp
clicky
Go to the above… it’s the only way to get a free credit report.
2013 got both of ours from Experian.