HD Truck insurance Q?

[monkey44]

Yeah - I know another insurance Q ... but I ask it here because our trucks do not include TT haul, or are not MH - just trucks, no additional pull toys, just the TC.

Last renewal, my 2500HD 4x4 insurance went up about eleven percent in six month policy. Again, this renewal that just arrived, again up twelve percent from last time. So, if that keeps up, that's double in about four years ... we're in Florida and with State Farm.

I'm wondering if you all are getting the same rate increase percentages over the six months past year or so?

We're in an economy that shows a mini-COLA the past couple years, and many of us retired and get virtually ZERO increase $$$ annually. Yet, prices go up way more than this one or two percent COLA on us - and particularly this insurance issue --

I'm curious if anyone thinks insurance companies just give a lower rate to first year (we've been with SF two years, this is three) and then bump large increases until you quit and look elsewhere, or just stick without concerns - makes no sense to me that it bumps that much every renewal (six month) in this low inflation economy ...

Gonna pay it this time - as we're leaving in a couple weeks for an extended road trip - but will be comparing rates next time around for certain if it bumps another ten or twelve percent.

[ajcal225]

My rates with Geico were static for 5 or more years, then jumped almost 50% last year. Priced around and it was still cheaper than any other option.

I got a ticket once about 15 years ago (J-walking) but otherwise have no points or claims in my adult life. I have no idea why it went up, but everyone else was still more expensive so I let it go.

[monkey44]

QFamCA wrote:
Take a look at this article from Forbes. Basically reiterates what is happening with rates over the past five years.

http://www.forbes.com/sites/ccasazza/2017/05/23/why-are-car-insurance-rates-still-going-up/

The interesting part about all these "reasons" - well, none apply to us (and probably more RV folks too) -- we don't drive long miles in a year, we don't DUI, we don't text and drive, or even talk and drive - etc. We don't drive in storms either - we sit them out.

SO, no matter how good a driver (no tickets or accidents in thirty years or so) we still get hit with a HUGE rate hike anyway. I'm a little tired of paying or "other people" mistakes. I'd much prefer to pay for MY mistakes, and get my insurance based on MY driving record, not some other drivers.

I also prefer staying with the same company and developing a good relationship between agent and ME ... but it looks like that ain't gonna happen here in Florida ... and, I sure see some mighty fine looking headquarters for insurance companies, and lots of "extra benefits" for the management. If the companies are going to complain about "profits" then quit paying such high bonuses ... that will reduce expenses more than the $50 higher premium every six months they charge me ... or others that pay the fees.

End Rant 🙂 🙂

[QFamCA]

Take a look at this article from Forbes. Basically reiterates what is happening with rates over the past five years.

http://www.forbes.com/sites/ccasazza/2017/05/23/why-are-car-insurance-rates-still-going-up/

[monkey44]

QFamCA wrote:

Kayteg1 wrote:

QFamCA wrote:

Driving record and annual mileage are key factors. Lots of factors go into developing rates per each vehicle, repair costs etc.

.

Nope.
LOCATION LOCATION LOCATION.
I moved this year form 15 miles east of San Francisco to 10 miles east of Las Vegas.
Both good neighborhood for the area.
My AAA insurance tripled. I've been with them for over 10 years and don't recall any noticeable premium changes. Annual 300k liability for Mercedes in CA was in $300 range.
Than in Vegas - Geico gave me better quote.

Yes location is another factor as well as others. My point was there are multiple factors that go into rating and it depends on the carrier. Some weigh certain factors more then others. Another whopper depending on your state and company is credit. In other words lower credit can affect rates.

Unfortanautely insurance is like everything else we consume. If you want the best rate you have to always look around.

Do I have the lowest rate now. No, but they have taken care of claims have a good website

interface, etc. So I only check rates every so often.

We moved from the city to more rural, and rate dropped. Then, next renewal bump ten percent, next renewal bump eleven, last one twelve ... and we have perfect driving and credit. So, something else is raising rates ... and that's over thirty percent over a couple years. Adds up pretty quickly ...

[QFamCA]

Kayteg1 wrote:

QFamCA wrote:

Driving record and annual mileage are key factors. Lots of factors go into developing rates per each vehicle, repair costs etc.

.

Nope.
LOCATION LOCATION LOCATION.
I moved this year form 15 miles east of San Francisco to 10 miles east of Las Vegas.
Both good neighborhood for the area.
My AAA insurance tripled. I've been with them for over 10 years and don't recall any noticeable premium changes. Annual 300k liability for Mercedes in CA was in $300 range.
Than in Vegas - Geico gave me better quote.

Yes location is another factor as well as others. My point was there are multiple factors that go into rating and it depends on the carrier. Some weigh certain factors more then others. Another whopper depending on your state and company is credit. In other words lower credit can affect rates.

Unfortanately insurance is like everything else we consume. If you want the best rate you have to always look around.

Do I have the lowest rate now. No, but they have taken care of claims have a good website interface, etc. So I only check rates every so often.

[Old-Biscuit]

Came off the road in 2014
Changed insurance on truck from FTrs (Truck/trailer combo policy) to standard truck ins. policy with State Farm.

1st 6 mos cost was VERY reasonable
2nd 6 mos there was a $40 jump....ask agent WHY. He came back----oops a 'discount' wasn't applied ---OK
3nd 6 mos there was a $90 jump....ask agent WHY. He came back---unsure! Then cost adjustment
4th 6 mos another $50 jump....ask agent WHY. He came back Don't know but if you cancel I can write NEW policy for close to original policy cost.

Yep........I cancelled
And then got insurance thru Hartford (AARP) for more coverage/1 year policy (vs the 6 mos with SF) and for just a few $$ more then that SF 6 mos policy.

Renewal comes up early next year---will see if increases over 1st year happen



Personally I think they ALL play that NEW policy game...low initial costs then slow/steady increases until folks go elsewhere OR keep paying.


According to all of the ins. commercial (Avg. savings is XXX dollars when you switch) THEY should be paying me by now :B

[Kayteg1]

Shopping for insurance after moving I remember State Farm coming with quote 6 times higher than my previous CA insurance, or double what Las Vegas quote from other companies.
You will find some companies that don't play the games, at least not to degree the other do.
AAA in California offer me the best rates for truck and they guarantee that they will never drop you, what if you are making claims can be big hit on the premium.
I had 21Century for cars and they had best quotes ever - unchanged for decade. But they would not insure truck.

[Oyabun]

Just renewed my Geico, up 10%. So you are not the only one with an increase. Haven't received an infraction since the late eighties, never a claim. The premium seems to increase, never decrease? Why is that?

[monkey44]

QFamCA wrote:
COLA I would say has a negligible impact on the insurance rates (I could be wrong). It's more income vs claim payouts that contribute to rate increases. Also, regulations that require insurance companies to carry specific cash reserves to pay potential claims (so they don't go bankrupt after a natural disaster,etc.).

Rates often roll in several year cycles. Rates are low while they capture new business but claims start biting into profits thus rate adjustments begin to occur. It's not a bait and switch, as insurance carriers are so large they are not looking at each policy individually (even driving records are not always looked at every renewal). It's all mathematical models determining what they think they should charge based on potential risk.

Driving record and annual mileage are key factors. Lots of factors go into developing rates per each vehicle, repair costs etc.

The agent may be able to make some minor adjustments to save your $$$ like adjusting annual miles. However, your best bet is to see what company is hungry this year for market share and switch. Or go through an independent insurance agency as they often have numerous companies they work with.

Probably too much info but I wrote home and auto insurance for over 10 years....

Good info here, thx... When I asked my agent about it, he sent me an article that "explained" why the rates increased ... lots of 'items' we don't do at all - for example, too many people text and drive. We don't text and drive, and then a variety of other reasons in the article, DUI, etc. Again, the article stated lots of reasons, none of which apply to us ... But we're expected to pay for the mistakes or the idiocy of other drivers. We drive low miles, and no tickets, etc. But, regardless, eleven percent, and twelve percent every six months adds up quickly - and we all know it never goes down, even in good years for the insurance folks.

Would prefer to skip the 'shop insurance' game every time too ... but was curious if other companies are raising rates at that percentage, or just State Farm ??

We moved from an insurance controlled state, Mass, and we never had this kind of issue - and the companies stayed in business, and stayed in the state as well. Did not "abandon the state" due to losing $$$.

[deserteagle56]

monkey44 wrote:
Yeah -
I'm curious if anyone thinks insurance companies just give a lower rate to first year (we've been with SF two years, this is three) and then bump large increases until you quit and look elsewhere, or just stick without concerns - makes no sense to me that it bumps that much every renewal (six month) in this low inflation economy ...

I've found this to be the case multiple times. As soon as my current insurer starts this game I shop around and always get a rate lower than my renewal rate would have been. Play this game every few years.

[Kayteg1]

QFamCA wrote:

Driving record and annual mileage are key factors. Lots of factors go into developing rates per each vehicle, repair costs etc.

.

Nope.
LOCATION LOCATION LOCATION.
I moved this year form 15 miles east of San Francisco to 10 miles east of Las Vegas.
Both good neighborhood for the area.
My AAA insurance tripled. I've been with them for over 10 years and don't recall any noticeable premium changes. Annual 300k liability for Mercedes in CA was in $300 range.
Than in Vegas - Geico gave me better quote.

[kohldad]

State Farm rates go up and down based on actual losses for the last year and anticipated losses for the next premium cycle.

Couple things to do is check to make sure they haven't dropped off any of your deductions. Another is to make sure they aren't charging you for any accidents or tickets that don't belong.

Lastly, check around for other carriers. Just make sure your are comparing apples to apples.

[QFamCA]

COLA I would say has a negligible impact on the insurance rates (I could be wrong). It's more income vs claim payouts that contribute to rate increases. Also, regulations that require insurance companies to carry specific cash reserves to pay potential claims (so they don't go bankrupt after a natural disaster,etc.).

Rates often roll in several year cycles. Rates are low while they capture new business but claims start biting into profits thus rate adjustments begin to occur. It's not a bait and switch, as insurance carriers are so large they are not looking at each policy individually (even driving records are not always looked at every renewal). It's all mathematical models determining what they think they should charge based on potential risk.

Driving record and annual mileage are key factors. Lots of factors go into developing rates per each vehicle, repair costs etc.

The agent may be able to make some minor adjustments to save your $$$ like adjusting annual miles. However, your best bet is to see what company is hungry this year for market share and switch. Or go through an independent insurance agency as they often have numerous companies they work with.

Probably too much info but I wrote home and auto insurance for over 10 years....

[azrving]

Maybe they are lying about inflation numbers.