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What do you pay for insurance?

brianl0202brianl0202 Posts: 26
edited April 2014 in Honda
Well it seems like everyone I talk to pays less then me in insurance. I am a single male, 25yrs old, and live in NJ. So it couldn't be much worse for me as far as insurance goes. One good thing is I have no tickets or accidents. I just bought a 2004 V6 Accord Coupe. and how much am i paying for insurance? $260/month..and yes i have shopped around. which isn't that easy to do in NJ because half the places you call won't even quote you. this is with a 500 coll. ded and 250 comp. ded. yeah so im paying 3120/year. god forbid i ever get in an accident, i'd have to sell my organs to pay my insurance. i just got rid of a 2001 malibu and that was 220/month. yeah i turned 25 and it went down 4 bucks a month! i just have the one car on my policy. anyone else
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Comments

  • ms_mayorms_mayor Posts: 113
    For a 25 yr old male, just over $3k a year is actually pretty cheap in NJ. I've known guys who pay/have paid in excess of $6k a year because of their driving records and other factors.

    On two cars, my husband and I pay $2500/yr here in NJ. One is 3yrs old, the other brand new. Both have $500 deductibles, comp/collision. No accidents, no claims. The fact that we're married, over 40 yrs old and have all our insurance with one company helps.
  • pluto5pluto5 Posts: 618
    1. drive a 6+ yr. old GM with no collision coverage
    2. get married
    3. take the train to work
    4. move to a southern state
    5. get a company car
  • eharri3eharri3 Posts: 645
    Good credit, no accidents or claims in the last three years. I just moved from right in Philadelphia to Delaware County, a suburb about 10 minutes south of the city. I was on my parents' policy with my old truck in their name for awhile, but when I purchased my new Dakota Quad Cab I figured it was time to pony up for my own policy so I wouldnt be sweating bullets about getting caught in the case of the unthinkable.

    I was astonished to find that changing my zip code and getting a new vehicle with more safety tehcnology more than made up for getting off the parents' policy. Im now at approximately 20 bucks less per month, at 167 per month or so, than if I would have kept my 8 year old 107 thousand mile vehicle while continuing to be on my parents' policy at their address in the city. This is keeping in mind I have my rental insurance with the same commpany.

    Essentially, for the exact same vehicle, I save about 600 dollars per year by moving 10 minutes outside city limits. Not to mention Im now in a non wage tax locality, not having that 100 bucks per check taken covers more than half my montly payments.

    Face it man, Jersey drivers just plain suck behind the wheel and they get charged accordingly.=)
  • Ok since I can't figure out to add this , i will post it here. I am in the last 9 months of my lease on my audi, the car had now been totaled, it was the others drivers fault, he was cited for reckless driving. Now what? Do i recieve a new Audi??
  • dtownfbdtownfb Posts: 2,918
    I'll take a guess at this. My guess is you would receive a check for the Audi for whatever the value of it is based ont he mileage. And you will have to work out some agreement with your leasing company. By contract (the lease agreement), you owe them the last 9 months of the lease plus the residual value of the car. I would assume this is what they would expect form you. I woudl make sure the check you receive from the other person's insurance company covers that amount. If the Audi was not worth that much, you will have to make up the difference unless you have Gap insurance.

    In the meantime, I would scour the internet (KBB, NADA< Edmunds, etc.), local newspapers, car lots to find out as much information on the value of the Audi with the amount of miles you had on it to help you negotiatie with the insurance company. Also talk to your insurance agent. he/she should be able to help you. I don't know how well Audi hold their values but there are others on this board who deal with used cars all day. They can tell you what the car is worth.

    BTw, What type of Audi is it and what year?

    Hope this helps.
  • Hi driccardo. I believe that the insurance company that pays your claim will cut a check to the bank that you are leasing your vehicle through. Hopefully this check is enough to cover all of the money that you owe on your car at this point. If not, and you have Gap insurance, it will cover the difference. If you do not have Gap insurance you may be have to pay the difference out of your own pocket. Even though it does not specifically discuss this situation, you may find the following article helpful: How Auto Insurance Companies Total Your Vehicle After You Total Your Vehicle.

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  • kaohakaoha Posts: 4
    I'm 29, have two cars fully covered with $250 deductible comprehensive and $500 for collision. 5 years of good driving. I've increased coverage far beyond the state minimums and pay $620 every six months for both. I guess what we suffer in gas prices we save (and probably more than make out) in car insurance.
  • i shopped around, as much as i can for being in NJ and found a rate of 2995/year. it beats 3200 which allstate just raised my insurance to. i'm 25 and have had a perfect record for over 8yrs. what makes me mad is my twin sister pays half of what i pay just because she is a girl. i have a 2004 accord, she has a 2003 maxima, so the cars aren't too different, and we live in the same town. i understand statistics show males get in more accidents, but give me a break. after us both driving 8 years, i don't think i should be paying 1500 more a year just because im a male. i just think it sucks and need to vent. sorry. i think i might get a 1000 coll. ded., it will save me 430/year compared to a 500 ded. seems to make sense for me to change it. as long as i dont get in an accident the day after i change it..knock on wood.

    hey kaoha, do you have AIG? i use to work there and i know they were big in hawaii. i've heard it can be pretty expensive to live in hawaii but insurance doesnt seem to bad.
  • prophet2prophet2 Posts: 372
    Insurers can only rate drivers on the following criteria:

    1) driving record (citations);
    2) at-fault accident history;
    3) type of vehicle (high-performance/sports cars are surcharged;
    4) type of driving (pleasure; to/from work; business/commercial).

    It is illegal to base rates on the following:

    1) gender;
    2) age;
    3) length of driving experience;
    4) marital status.

    These regulations went into effect in 1973.

    Some companies, including national writers State Farm, Allstate, and AIG, persisted in utilizing these factors in their rate calculations, as did other local and regional carriers. For years, people who were insured with these companies scoffed at my observations about this. It took almost three decades, but our state insurance department finally came down on these companies for these illegal tactics. What relief will be offered to the consumers who were defrauded is still undecided.

    I pay $1618 per year for my '96 Acura RL and '01 Honda Odyssey EX, both full coverage (300/500K bodily injury liability, 50K property damage, 60K medical [PIP], 500 ded. collision, 250 ded. comp). Minimum coverages are 20K BI, 10K PD, 10K PIP. Uninsured (UM) and underinsured motorist (UIM) coverages work differently here as it is limited to PIP losses only. Rates for UM/UIM vary wildly among the companies.

    My coverage is through GEICO, one of the few companies NOT cited for using the illegal criteria,
  • kaohakaoha Posts: 4
    I have GEICO. I did have AIG, but they raised their rates, so I went to Liberty Mutual. Then my car got stolen and it took them SO long to settle my claim, or even return my call, that I immediately switched to GEICO. Even though insurance companies don't admit to taking my claim for an auto theft into consideration when determining rates, I know for sure that AllState did. I even asked them why, since it wasn't my fault. AIG was still high, as well as the other local companies. I checked Progressive, but no go. GEICO's rates were lower for two cars than most companies' rates for one car!
  • unfortunatley since i live in NJ i dont even have the option of GEICO. NJ sucks and doesnt have half the options for insurance that other states have. as far as i know, it is pretty common that rates are higher for males then females. it seems to be pretty widely known. im not sure of the law in nj but if its against the law then all the companies i know of are breaking it.
  • kaohakaoha Posts: 4
    That's ridiculous. Do they take ethnic background and English language proficiency into consideration also?

    Not only do the rates suck, but forget about filing any type of claim.
  • prophet2prophet2 Posts: 372
    At this writing, insurance is regulated by the individual states, although there is a movement to put it under federal control. Some are full tort-liability, some are no-fault, others (like Hawaii) are partial no-fault. The definitions and coverage of uninsured and underinsured motorists also vary.

    At the same time, we have seen the reduction, amendment, and/or elimination of various discounts that had previously been available. Such as good student discount (3.0+ GPA), loss-free experience (36-month period increased to 60, discount reduced from 25% to 15%), multi-car, and security systems (active vs. passive alarms).

    There have been changes in the minimum mandatory coverages and limits, some legislated in response to public outcry. Companies here have been granted the right to non-renew (at their discretion) up to 2% of their policyholders. This despite a state financial responsibility law which, in effect, requires all registered vehicles to carry car insurance. So, you're required to get the insurance, but the companies are not required to sell or renew coverage to everyone.

    Assume that you are trying to comply with the law and you try to get car insurance. Some companies don't like military business. So, they'll get the rates from a subsidiary carrier for "sub-standard" business (like State Farm Fire or State Farm General instead of State Farm Mutual). These rates are 80-200% HIGHER even if you have a "clean" record. So, you will either accept these exhorbitant rates and get skinned for three years, or leave in a huff. They have "offered" you a policy and therefore have not broken the law.
  • I came across the following interesting article this morning that I have a feeling many of you who visit this Message Board will enjoy: Forbes.com - The Most Expensive Cars To Insure.

    Car_man
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  • Edmunds.com recently published a new series of "Top 10" articles that include two very interesting pieces on insurance. Here are links to them: Top 10 Least Expensive Cars to Insure for 2004 and Top 10 Most Expensive Cars to Insure for 2004. Please feel free to use the following discussion to post your thoughts on these articles. Thanks and Enjoy.

    Car_man
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    Smart Shoppers / FWI Message Boards
  • I pay $1788 a year for both my husband's and my insurance. However, my car is a 94 Accord and his a 97 Lexus so that may be why. However when they quoted me insurance for a 2004 V8 Limited 4Runner, the premium was only $20 higher, so who knows.
  • We pay $2400 a year in GA for full coverage (including uninsured motorist) on the following:

    2004 Honda Accord EX-L
    2003 Honda Civic SI
    1995 Lexus GS300
    1994 Lexus LS400

    Surprisingly, or maybe not considering the price when new, the LS400 is the most expensive to insure even though it is the oldest and is driven the least (only 10,000 miles in almost 3 years). Both the Accord and Civic have loan/lease payoff just in case. We are very happy with what we pay.
  • linhsylinhsy Posts: 7
    I'm 30 years old, 11 years driving, but never actually got insured before under my name as the owner of the car. My sister adds my name into her insurance. I've just got a ticket for reckless driving in November 03. I am planing to buy the toyota 04 4runner. I did ask state farm for the price but they said they could not do that if I haven't got the car yet...

    Need help on price that I will pay for insurance...
    Thank You in advance
  • prophet2prophet2 Posts: 372
    Try another insurer, like GEICO, for a quote. It pays to know what insurance will cost BEFORE you get the car.

    I suspect that you're going to get hit hard for that "reckless driving" citation. In some jurisdictions, "reckless" ranks higher in severity than "heedless" or "careless" driving. SUVs and Toyotas in general are higher-rated by many insurers.
  • lemkolemko Philadelphia, PAPosts: 15,306
    ...am 38 years-old and pay $2,142 a year in Philadelphia for my 2002 Cadillac Seville STS and 1989 Cadillac Brougham. I'm with Erie and have been with them ever since I started driving in 1981. I also have homeowner's amd life insurance with them so that keeps my auto rate lower.
  • prophet2prophet2 Posts: 372
    Having homeowners can result in premium savings for your auto policy, and vice-versa.

    But, I doubt that having your life insurance there has any effect. Life insurancee is sold through different companies than auto and homeowners (property and casualty - P&C) and while they may be affiliates of the same holding company, their underwriting and reserve requirements are separate and unrelated.
  • Hey folks. A while ago Edmunds.com published lists of the least and most expensive vehicles to insure. Many of you who visit the Finance, Warranty, and Insurance Message Board may find these articles interesting:

    - Top 10 Least Expensive Trucks to Insure for 2004

    - Top 10 Most Expensive Trucks to Insure for 2004

    - Top 10 Least Expensive Cars to Insure for 2004

    - Top 10 Most Expensive Cars to Insure for 2004

    Enjoy and please feel free to use this discussion to post your thoughts on these articles or to post your thoughts on which vehicles are more / less expensive to insure than they should be. Thanks.

    Car_man
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    Smart Shoppers / FWI Messgae Boards
  • ezshift5ezshift5 West coastPosts: 858
    .....not entirely fair.

    I've been driving since Woodland High School back in the stone age. Had the same insurance company since my Ensign USNR days.

    The moral of the story? Don't drink and drive.
    It's that simple. After driving into a swamp after a hellacious all day bash, I spent the nite in jail and have been paying ever since.

    About the best I currently can do is 1450 annually for two cars. This is 50/100/25 with no collision/comp on the old diesel pickup and 1000 deduct. coll/comp on the car. Good thing I kept my reserve commission....ez
  • bmolloybmolloy Posts: 23
    I've been quoted $1900 for 6 months insurance for a 4year old 4Runner !! I'm from the UK and will be moving to Los Angeles this summer so I asked Progressive & Geico for insurance quotes so I know what I'd have to pay. But I didn't expect that much. They said that my 10years clear driving here in the UK counted for nothing so I would be loaded just like a novice driver even though I'm 48 years old!

    If anyone has any names/web sites of other auto insurance companies I can try, I'd be very grateful. (oh and I tried Costco but they wouldnt touch me until I've been in the US for 18 months)
  • ms_mayorms_mayor Posts: 113
    Unfortunately for you, you're moving to a large city where insurance rates are, as a rule, higher than rural areas. In addition, coming from a country that drive on 'the wrong side of the road' (grin) you are seen as a 'new driver' who may not be totally comfortable and experienced with the roads, just like a teen.

    Good luck finding anything cheaper, and be happy you aren't moving to NJ...you're rates would probably be even HIGHER.
  • ezshift5ezshift5 West coastPosts: 858
    ..bienvenidos a California.....

    My English blood leads me to point you to 21st.com; hopefully they'll do for you what they did for me...all the best, ez.....
  • bmolloybmolloy Posts: 23
    Their online quote system looks very promising .. should I look at the "Basic" coverage rather than the "Minimum". As you may know, over here in the UK we don't have to specify levels of coverage, its all taken care of under one policy. My instinct is to go with the bare minimum, but, would that leave me with a huge bill to pay in the event of an accident ?

    Cheers Bill
  • I used to live in NJ and when I bought my 95 Jeep Wrangler new, it was $2500/yr to insure. (I was 19 at the time)

    Since I moved to WI, I pay about $820 a year for the JEEP. Just sold the JEEP and I bought an '03 Galant and my insurance went up to $1146/yr. I was really upset (I have a perfect record and am 27 now). I am shopping around now and was quoted at $950/yr, so I think I am going to switch.
  • jlawrence01jlawrence01 Posts: 1,828
    In the Chicago suburbs, I pay $320 A YEAR for full coverage on a 1996 Olds Ciera. Still another advantage of driving a USED car. And being older.

    BTW, my company has a GROUP auto insurance program with Met P&C. Offers some phenomenal rates.
  • akanglakangl Posts: 3,662
    $2504/year for full coverage on a 1999 Dodge Ram 3500 4x4 V10 and a 2004 Ford Explorer XLS Sport V6/4WD. That's through Allstate in Alaska. Hubby had an accident in February, but other than that and a comp claim in October we have a clean driving record for the past 3 years. Before that I had a 83 in 65 mph zone ticket 2/28/01.

    We were with AIG and paying $3110/year, but after hubby's accident ($1700 claim) they jumped it to $3996/year. Never again with AIG, horrible claims service, took them a month to send the check to the body shop, they fought it the whole way.
  • manamalmanamal Posts: 434
    $1200 / yr, two cars (02 Camry and 02 Sienna).
    Full coverage with high liability limits, $500 deductables. No tickets, but one big at fault accident (50K in damages). Insurer: USAA
  • steine13steine13 Posts: 2,769
    ..where we have "My Fault" Insurance... aka no-fault... we pay similarly $1,260/year for full coverage with $500 and $250 deductibles and high liability limits.
    This covers an 03 Sienna and an 04 Vibe.
    No tickets or at-fault accidents.
    But it would be much higher if we officially "commuted" with the cars... since it's under 3 miles, I get to call it "leisure use only".

    BTW, great topic... I thought we paid a lot of money, but comparatively speaking, we're pretty lucky... It's with Citizen's BTW.

    -Mathias
  • leomortleomort Posts: 451
    Question.....when do you decide drop full coverage on your car and just go to liablity? I dropped full coverage on my '94 Toyota when it was 9 yrs old w/ 200K miles on it and went to just to liability.

                            Leo
  • manamalmanamal Posts: 434
    I drop full coverage when (1) the car is paid for, and (2) a 'total' will not cause too much financial problems.

    The reality is that when (1) occurs, I am usually can affort to not have full insurance. (I will maintain high liability limits
  • akanglakangl Posts: 3,662
    Full coverage on our 94 Chevy K3500 with 157k on it. Retail book says its worth $8k, but reality if we totaled it we'd probably only see around $5k. Its paid for and if we total it we can just say "Whoa, cool, wanna do it again??"
  • leomortleomort Posts: 451
    of dropping full coverage to just liability when my Toyota was 8 yrs old, but at the time it was our only car.

    Now that I have two cars ( '01 Explorer and '99 Prizm) with full coverage, I was curious as to when it would make financial sense to drop full coverage and go with just liabilty. So I'm thinking when a car hits 8 yrs old?

    Isn't insurance just a booger! ;)

                          Leo
  • tornado25tornado25 Posts: 279
    "It is illegal to base rates on the following:
    1) gender;
    2) age;
    3) length of driving experience;
    4) marital status.
    These regulations went into effect in 1973.
    Some companies, including national writers State Farm, Allstate, and AIG, persisted in utilizing these factors in their rate calculations, as did other local and regional carriers. For years, people who were insured with these companies scoffed at my observations about this. It took almost three decades, but our state insurance department finally came down on these companies for these illegal tactics. What relief will be offered to the consumers who were defrauded is still undecided."

    States, of course, are free to set any law they want, IMO. But, you realize that if you are 1) female, over 25 (or 30 for men), a new driver, or single, that you pay MORE than you would have to if the companies were allowed to use age, gender, experience, marital status to set the rate, don't you?

    Think of it this way: Company has 100 single, male, 22 year old drivers and 100 single, female, 22 year old drivers. That's it. Statistics one year later show the male group had losses 20% higher than the females (which, depending on location) probably is pretty close to reality. Now, most companies will then set a rate for males 20% than females to account for the additional risk. If they don't, they still need to collect appropriate premium to at least break even. That means, everybody's rates go up 10%, instead of the males going up 20. Guys get a break, girls get increase. Not so fair, anymore, huh?

    No matter what the legislature thinks, it's not discriminatory if the company can prove that group is higher risk than another. WI is very much a consumer-protection state and it's allowed here. This defense coming from 28 yo single guy who pays more than any female over 25 and any married guy over 25.

    "Having homeowners can result in premium savings for your auto policy, and vice-versa.
    But, I doubt that having your life insurance there has any effect. Life insurancee is sold through different companies than auto and homeowners (property and casualty - P&C) and while they may be affiliates of the same holding company, their underwriting and reserve requirements are separate and unrelated."

    Not entirely true. State Farm provides the discount when any of those policies are in force. It could be auto and life, auto and Homeowner's, auto and renter's, etc. This is a disadvantage for Progressive and GEICO types, IMO because that discount can help offset any price difference plus you have the added benefit (a big one, IMO) of having all the coverage in one place. Not 3 diff carriers sending bills or 3 diff withdrawals from your checking.
  • leomortleomort Posts: 451
    For full coverage on a '01 Explorer XLT AWD V8 and '99 Chevy Prism it's costing me $690/6 months.
  • janzjanz Posts: 129
    "Not 3 diff carriers sending bills or 3 diff withdrawals from your checking."

    We just received a solicitation from our current home and auto carrier, Farmers, for life ins.

    There are definate discounts to carry more than one category of coverage with a single insurer, however, each policy is a different contract with different coverage, terms, renewal date, etc. This would require a separate payment for each policy/contract or "withdrawl from your checking."
  • anonymouspostsanonymousposts Posts: 4,202
    $2400 a year for full coverage (comp and collision) + uninsured motorist on the following:

    1994 Lexus LS400
    2003 Honda Civic SI
    2004 Honda Accord EX-L 4 cylinder
    2004 Honda Odyssey EX

    Interestingly enough the 1994 LS400 is twice as much to insure as the next closest car (the Accord) and the deductible is twice as much as the other three. With gas prices going up, up, up the LS is beginning to seem more like expensive garage furniture and less like a car worth keeping.
  • roadrascalroadrascal Posts: 35
    I pay about $850 a year for full coverage with Progressive (500 deductable comp/coll) for a '99 Taurus 24v and a '01 Windstar Sport in the Twin Cities suburbs. I'm 34, wife is 32, no tickets or accidents. I had State Farm for 10 years but their rates are almost double what Progressive's is. I even have my house insured with State Farm, and used to have my two motorcycles insured with State Farm (now with Progressive). You need to shop around every 12-18 months.
  • anonymouspostsanonymousposts Posts: 4,202
    We were with Allstate and were paying twice as much as we are now with Progressive. And that was with a 2001 Protege, the 94 LS400, and a 93 Civic.
  • stickguystickguy Posts: 37,947
    That $2400 figure would probably double if you and G moved to NJ, and still drove 80 miles to work, and that is assuming you have a clean record. At least gas is a little cheaper here, but not enough to offset the insurance!

    2019 Acura TLX A-spec 4 cyl. (mine), and 2020 Acura RDX tech SH-AWD (wife's)

  • tornado25tornado25 Posts: 279
    "There are definate discounts to carry more than one category of coverage with a single insurer, however, each policy is a different contract with different coverage, terms, renewal date, etc."

    I know this. I sell insurance for a living.

    "This would require a separate payment for each policy/contract or "withdrawl from your checking.""

    You would only have a separate payment if you were not on monthly. (That is, if you chose to pay annually, you indeed would have a separate bill). However, on monthly plans, all policies are on one account and one deduction is made per month. This was the only point I was trying to make. If you had auto with Progressive, Homeowner's with State Farm and life with Northwestern Mutual, you either have 3 annual/semi-annual bills or 3 monthly deductions.
  • janzjanz Posts: 129
    I've just never experienced this. I guess because I try to avoid monthly payments whenever possible as generally there are additional charges for this "service".
  • anonymouspostsanonymousposts Posts: 4,202
    everything would double if we moved to NJ from GA. House prices, insurance, etc.

    janz: We pay our policy in full every 6 months. Progressive charges a couple hundred bucks more if we were to do it on a monthly basis.
  • tornado25tornado25 Posts: 279
    No offense taken Sorry if I bit your head off a little.

    Just from the perspective of the company I work for, a regular monthly bill is $3/mo and automatic withdrawal is $1/mo. Not too unreasonable, I don't think.

    I have seen it with some companies where the actual premium is different when you want to pay monthly or some other kind of installment plan. When you look at those differences, then it's an ouch. I have also seen monthly service fees of $5/mo. It's only a couple bucks, but I probably wouldn't pay $5 to get a bill in the mail. $1 to have it automatically paid, though, works for me.
  • prophet2prophet2 Posts: 372
    Insurance is state-regulated, not federal. In our jurisdiction, it is illegal for companies to base rates on gender, marital status, age, or length of driving experience. It is likewise illegal to REQUIRE the purchase of other types of insurance in order to get auto insurance.

    It is legal for companies to design and offer multi-peril policies (combined homeowner and automobile), often with a premium reduction. It is also legal for agencies and carriers to limit agent compensation to SUPPORTED business - they will not pay commissions on single-line auto policies if the client has no other policies (homeowner, liability, etc.) in force wit that company.

    Prudential got into trouble when they attempted to offer homeowners policies ONLY to Prudential life insurance and annuity policyholders when there was a homeowners insurance crisis in the mid-'90s after a major hurricane hit. They also imposed a one-year waiting period to qualify for HO insurance. When faced with sanctions for these unfair and deceptive trade practices, they opted to leave the state in regard to their property and casualty (P&C) business. Existing policies were non-renewed. They left a number of disgruntled life and annuity "clients" who had bought such policies to qualify for the HO plans which were no longer available.
  • tornado25tornado25 Posts: 279
    "Insurance is state-regulated, not federal."

    <sigh> I know this. I NEVER said anything about insurance being federally regulated.

     "In our jurisdiction, it is illegal for companies to base rates on gender, marital status, age, or length of driving experience. It is likewise illegal to REQUIRE the purchase of other types of insurance in order to get auto insurance."

    Good for your state, then. I'm just glad I don't live there. Not allowing a company to base auto rates on the very things that are the strongest predictor of risk means that some people are paying more than they need to and some are paying less. That is truth--just because your state is set up the way it is, doesn't mean it is fair. The legislature must sincerely believe it is discriminatory to charge 16 year old boys more than married 45 year old women. Fine, but it is absolutely, 100% illogical. Do you not realize that because the insurance company cannot charge the 16 year old boy MORE, then all rates must be raised to compensate? Do you understand that if they could charge the boy more, the 45 year old married woman's rates would drop?

    In WI, since insurance companies are allowed to use those factors in their rates, I know I am paying the proper rate for the risk I pose.

    "It is legal for companies to design and offer multi-peril policies (combined homeowner and automobile), often with a premium reduction. It is also legal for agencies and carriers to limit agent compensation to SUPPORTED business - they will not pay commissions on single-line auto policies if the client has no other policies (homeowner, liability, etc.) in force wit that company."

    Feel free to preach to the choir, if you think you must. Again, I never stated anything about the legality of multiple line discounts, etc. I know our agents receive the same commission on each line regardless of whether a household has other lines. That is, the agent gets x% of every auto renewal, regardless of whether it's a single auto or a 4 line household. That's our company, others may be different. The benefit of the multiple line household and policies per household is in the bonus structure.
  • prophet2prophet2 Posts: 372
    Hawaii does not consider it fair to charge higher rates for those who have not yet caused accidents or cited for moving violations, be they teen-agers, single, male or female. Based on the premiums I've read here from those in other states, our rates seem to be quite reasonable. Perhaps because we don't have the influx of drivers from other states, who may not be familiar with our area, crossing the border.

    There is an unfair situation in regard to our financial responsibility law, however. If a driver is "uninsured" for even a day because he missed the premium due date (he may have been out-of-town) inadvertently, he is tagged as an extra "risk" even though he may have a spotless 20-year driving and claims record. To have his coverage re-instated, he will likely lose all discounts previously earned, be surcharged 10-45% or more, or be placed in an assigned risk carrier (State Farm Fire vs. State Farm Mutual) where the extra premium is not identifiable.

    Collision repairs are expensive. My car was bumped in the parking lot last week on the side of the right rear quarter panel. No dent on the panel, a scrape on the rear bumper cover, lamp lenses intact (thank goodness). There's a maximum separation of the panel from the cover of 5/8". No crash parts needed. The estimate is $925: repair of panel and cover - $260; Pearl White paint materials - $210; refinishing - $420. The rest is tax. I'm submitting this to the other driver and leave it to them to pay it out-of-pocket or put in a claim. If it's their only claim in the last 36 months, the surcharge will be 10% for the next three years, but the increase could be more as they may lose a 15-25% discount in addition. This one's a tough call.
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