Large Auto Insurance Increases Coming

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tj
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Re: Large Auto Insurance Increases Coming

Post by tj »

anon_investor wrote: Tue Feb 22, 2022 6:10 pm
Broken Man 1999 wrote: Mon Feb 21, 2022 5:44 pm Farmers bought out MetLife Auto last year. Just got my Farmers renewal for 3/2022 -3/2023. Up 5.85% from 3/2021-3/2022.

Still a little lower than 3/2020-3/2021.

Not as bad as I was expecting.

Broken Man 1999
That is good to know, my Farmers (formerly MetLife) auto insurance renews in April.
Same - Mine will renew in August, though I have Auto, Condo and Umbrella.
Carguy85
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Re: Large Auto Insurance Increases Coming

Post by Carguy85 »

Just sent out the year premo for 2 late model vehicles..(2-4 years old), home, and umbrella... $4300...yikes!! Both cars went up about 10%. Home went way up.. from about $1500 to $2100! The insured values did go up from about $1m to 1.2m) In the past I had tried to drop the value back down but didn’t raise the issue this year...insured for double what we paid to have it built 6 years ago. Thankfully and oddly the $2 million umbrella dropped about 15%. No claims or tickets. Not sure if a new pool last spring or lack of credit had much to do with it. Getting a letter from lexis nexus prompted me to get a credit card instead of using debit cards to pump up our credit(we have no debts)
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Metsfan91
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Re: Large Auto Insurance Increases Coming

Post by Metsfan91 »

retiringwhen wrote: Tue Feb 22, 2022 10:32 am
Metsfan91 wrote: Mon Feb 21, 2022 9:45 pm Renewed recently. AAA. Lexis Nexis score went up. Premium went down by about 20%. Big surprise!!! Totally unexpected.
What is a Lexis Nexis Score? I have gotten a report, but never saw a score.
I have never seen a Lexis Nexis report. I have no idea what's on there... I assume it is insurance risk score. Found the following in a lexisnexis document:
LexisNexis® Attract™ scores help insurance carriers conveniently and accurately classify insureds and applicants according to their risk potential, leading to improved underwriting.
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mmmodem
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Re: Large Auto Insurance Increases Coming

Post by mmmodem »

OP,

Just got my Geico auto renewal for April. It was 7% less than what I paid last year. Honestly? If you had written this, I wouldn't believe you. I am shocked. :confused I have never had a decrease in premium with no changes in coverage or circumstances.

Apparently, last year's premium wasn't just a teaser rate. :twisted:
sport
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Re: Large Auto Insurance Increases Coming

Post by sport »

I just received a renewal notice on auto insurance from State Farm. It is up 3% from last year.
Loon11
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Re: Large Auto Insurance Increases Coming

Post by Loon11 »

Got my auto insurance bill from Geico this week for 6 months, went up 41%. Called and was told the reason is because cars cost more now, etc.
Mentioned that my spouse and I,for the past 2 yrs have driven no more than 2K (true we have 4 cars - 2 very old and still run but rarely driven). No matter, they would not budge even though we have been with them > 30 yrs and 1 small claim years ago (broken headlight), discounts for excellent driver, etc.
So, got quote from USAA for less than half of Geico, plus the liability coverage is higher.

So much for caring about customer loyalty.
tj
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Re: Large Auto Insurance Increases Coming

Post by tj »

Loon11 wrote: Tue Mar 15, 2022 8:44 pm Got my auto insurance bill from Geico this week for 6 months, went up 41%. Called and was told the reason is because cars cost more now, etc.
Mentioned that my spouse and I,for the past 2 yrs have driven no more than 2K (true we have 4 cars - 2 very old and still run but rarely driven). No matter, they would not budge even though we have been with them > 30 yrs and 1 small claim years ago (broken headlight), discounts for excellent driver, etc.
So, got quote from USAA for less than half of Geico, plus the liability coverage is higher.

So much for caring about customer loyalty.
Wow, you've been USAA eligible and never bothered to get a quote before?
JoeNJ28
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Re: Large Auto Insurance Increases Coming

Post by JoeNJ28 »

GEICO renewal came in a 2.3% increase for us here. 3 cars, 2 newer and 1 older.
MrBeaver
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Re: Large Auto Insurance Increases Coming

Post by MrBeaver »

Makefile wrote: Mon Feb 21, 2022 5:42 pm I haven't (yet?) had 20% but it goes up every year for sure.

In addition to what you mentioned, the deterioration in driving habits since the pandemic has set back crash statistics by 15 years or so.
IMO, the proposition/assumption that ‘reckless driving’ is mainly to blame for increased crash damage and deaths is a lazy journalist-proffered ‘assumption as news’. The shifting of more vehicle miles traveled to periods of low congestion when speeds are higher is a much more reasonable hypothesis that will be tested as NHTSA releases data for 2021 and 2022.

https://www.theguardian.com/us-news/202 ... eaths-2020

But likely the biggest impact to insurance rates is simply because the blue book value of used cars (and average value of all cars on the road for liability rates) is much higher than previous insurance rates assumed. If the liability of the insurance company goes up 20% because payouts for totaled cars goes up 20%, then rates have to go up 20% as well.
pshonore
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Re: Large Auto Insurance Increases Coming

Post by pshonore »

MY USAA Auto policy renewing in May in CT, just dropped 7.5%. Same limits, coverages, etc. Not sure why but I'm not complaining. Renewal premiums are about what they were five years ago.
Makefile
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Re: Large Auto Insurance Increases Coming

Post by Makefile »

MrBeaver wrote: Tue Mar 15, 2022 11:03 pm
Makefile wrote: Mon Feb 21, 2022 5:42 pm I haven't (yet?) had 20% but it goes up every year for sure.

In addition to what you mentioned, the deterioration in driving habits since the pandemic has set back crash statistics by 15 years or so.
IMO, the proposition/assumption that ‘reckless driving’ is mainly to blame for increased crash damage and deaths is a lazy journalist-proffered ‘assumption as news’. The shifting of more vehicle miles traveled to periods of low congestion when speeds are higher is a much more reasonable hypothesis that will be tested as NHTSA releases data for 2021 and 2022.
I suppose we'll see. The prospect that a driver's safety is best improved by having another car in front to "govern" their speed sure doesn't speak well for human intelligence.

For what it's worth, I recently had a footnote on GEICO bill about a new rating program, and called and switched from "GEICO Casualty" to "GEICO Secure" for a much lower premium.
boglegirl
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Re: Large Auto Insurance Increases Coming

Post by boglegirl »

UALflyer wrote: Tue Feb 22, 2022 4:29 pm
CaptainT wrote: Tue Feb 22, 2022 9:34 am Call them. I have had good luck in past getting my rates lowered by calling and politely but firmly asking and letting them know you are willing to switch to their most disliked competition
Auto insurance rates are all regulated, so there's no such thing as premium negotiations. This isn't your cable provider or your cell phone provider, which offer retention rates. With auto insurance it doesn't matter if you threaten to leave and it doesn't matter whether you'd be switching to "their most disliked competition."

Having said that, it never hurts to have your insurance company go over the policy to see if they've opened up another program/insurance pool that would save you money. This just doesn't have anything to do with any threats to take your business elsewhere.
I agree with the suggestion to call & ask your insurance company about discounts you might be eligible for. When we had a vacation home that USAA declined to insure ( :shock: ) we went with an independent agent - I think we had Allstate for a while and later Farmers. When I called to complain about a rate increase (although I should have just been happy that they were willing to insure this high-risk property, see note about USAA haha), the agent went over a bunch of discounts with me. Turns out that since my husband had recently reached a milestone age (50 maybe), by making him the primary insured, it reduced our rates. They also had some affinity rates, such as being in certain professions.
7eight9
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Re: Large Auto Insurance Increases Coming

Post by 7eight9 »

Geico - 2 cars - Las Vegas, NV metropolitan area.
Rate increased 12.0%.
I guess it all could be much worse. | They could be warming up my hearse.
brennok
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Re: Large Auto Insurance Increases Coming

Post by brennok »

Progressive just came in with a 18% increase. I will have to quote USAA again. Usually Progressive was on par with USAA for monthly but came out ahead when I paid 6 months at a time due to the savings.

EDIT: Checked USAA and matches Progressive with increase for same coverage.
Last edited by brennok on Thu Mar 17, 2022 8:28 pm, edited 1 time in total.
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dwickenh
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Re: Large Auto Insurance Increases Coming

Post by dwickenh »

I just renewed in February with Esurance and received no increase.
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Loon11
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Re: Large Auto Insurance Increases Coming

Post by Loon11 »

tj - got usaa quote years ago and at that time Geico was less and we never bothered to recheck. So glad Geico went up because we switched
umbrella, rental property insurance and auto to uSAA and saved >$1000 this year alone.
Funny thing is we got a letter this week informing us that our rate increase was based on Transunion info. and the factors were: not any loans, too many credit cards (I have 5), credit history too short). Called Geico and said this is ridiculous - have a FICO score of 825 and no mortgage (4 houses paid for)
had mortgages up until 2008. We had an unfavorable renewal due to no loans? The insurance "expert" said they do not look at FICO but these other factors. When I explained that we have no debt, no need for loans, etc and credit going back 50 years, made no difference.
we had geico for 34 years and this is so ridiculous but in the end, it was a good thing.
I have ordered a credit report and hope to determine why this happened.
LawEgr1
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Re: Large Auto Insurance Increases Coming

Post by LawEgr1 »

I've had tremendously low rates with progressive for 11 years. I have looked far and wide but no one ever came close to them no accidents, tickets etc

They've never raised rates on our vehicles without a change of vehicle, location or coverage.

For the first time this year, I received a staggering increase of 31%. I did one quick rate checks and, unsurprisingly, it's still lowest with progressive so far so I'm staying. Plus I've had good service for those times.

OTOH our home insurance is out of control, I blame the cedar shake roof
andypanda
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Re: Large Auto Insurance Increases Coming

Post by andypanda »

"I have never had Geico for two years straight because they always go up so much."

I have never had Geico rates go up very much. I've had auto coverage since '67.
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mmmodem
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Re: Large Auto Insurance Increases Coming

Post by mmmodem »

It's interesting that some people are getting large increases. Some people are getting small increases and a select few are getting decreases. It's as if this is perfectly normal and all the noise about the pandemic and wars makes people think prices will only go one way. :confused Good luck.
TheGiantess
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Re: Large Auto Insurance Increases Coming

Post by TheGiantess »

We have AAA and just this year heard about Lexis Nexis because my wife's score went down and her premium increased over $50. She is going to call AAA and ask why she is higher risk this year. And she ordered her Lexis Nexis report which takes two weeks. She had one claim in 2019 when she scraped the bottom side of our 2019 car on a concrete wall which is on our parking pad. It seemed minor but apparently that part of the car is an extremely important safety feature as it cost $7000 to fix.
TG
orlandoman
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Re: Large Auto Insurance Increases Coming

Post by orlandoman »

You want to consider an insurance compay that issues 12 month policies instead of 6 month policies, so, rate increases may be limited to 1x a year not 2x. For AARP members, The Hartford, only issues 12 moth policies.
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tomd37
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Re: Large Auto Insurance Increases Coming

Post by tomd37 »

My first full year of retirement was 2003 and back then I was paying $1,082 annually for my two-car auto insurance. Twenty years later I am now paying $1,739 annually for my two-car policy. I have had USAA for the entire period and carry their highest level of protection in the various categories including $1,000 deductible for collision. Two cars have been declared totaled over those years when we were struck by two drivers in no-fault to us situations. The last one was the totaling of a 2017 Lexus ES-350 that was 14 months old with only 3,400 miles on it. Actually, got paid $1,000 more than the cost of a replacement 2018 Lexus ES-350 that was better equipped.

I have been a member of USAA since 1961 and have auto/VPP/umbrella/homeowner insurances with them. Did have one other no-fault auto claim with them back in 1978. No claims in other categories. :D
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veggivet
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Re: Large Auto Insurance Increases Coming

Post by veggivet »

Just received renewal rates for two vehicles; one is 20 years old, the other 8. Increase of 7% from Progressive. I thought they might have policies for people who drive much less than the average person given all those working from home...nope :?
talzara
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Re: Large Auto Insurance Increases Coming

Post by talzara »

veggivet wrote: Fri Apr 01, 2022 10:57 am Just received renewal rates for two vehicles; one is 20 years old, the other 8. Increase of 7% from Progressive. I thought they might have policies for people who drive much less than the average person given all those working from home...nope :?
Traditional auto insurance policies only offer small discounts for low-mileage drivers. Someone who drives 1 mile a year will typically pay 80% as much as someone who drives 12,000 miles a year.

Pay-per-mile policies are now available in most states. Someone who drives 1 mile a year could pay 30-50% as much as someone who drives 12,000 miles a year, depending on the company's fixed and variable rates. However, you have to be willing to let the insurance company monitor your driving.

Nationwide Smartmiles is available in all of New England except Massachusetts. Allstate Milewise is available in Massachusetts.

If the PPM insurer is not competitive, you could consider Progressive Snapshot, which is its Usage Based Insurance policy. Mileage is an important factor in the rate, but UBI policies are also rated on acceleration, braking, and cornering.
veggivet
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Re: Large Auto Insurance Increases Coming

Post by veggivet »

Thanks for the info, talzara 👍

I might consider Progressive Snapshot for my daily driver. Wouldn't want to use that on the other car, though, which sees several track days over the season.
CorradoJr
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Re: Large Auto Insurance Increases Coming

Post by CorradoJr »

It's been awhile for me since I shopped around. I've had Geico for years, and received my renewal notice as well. It's up roughly 20% from my last bill.

Are the aggregator type websites any good, or will I have to get quotes from each individual company separately?

For example -
Insure.com
Policygenius.com
Zebra.com
gabi.com (related to Experian), etc.
Chardo
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Re: Large Auto Insurance Increases Coming

Post by Chardo »

CorradoJr wrote: Sun May 01, 2022 7:41 am It's been awhile for me since I shopped around. I've had Geico for years, and received my renewal notice as well. It's up roughly 20% from my last bill.

Are the aggregator type websites any good, or will I have to get quotes from each individual company separately?

For example -
Insure.com
Policygenius.com
Zebra.com
gabi.com (related to Experian), etc.
You could have an independent agent do all that for you.
tomd37
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Re: Large Auto Insurance Increases Coming

Post by tomd37 »

My six-month USAA auto insurance bill for two newer cars increased three-quarters of one percent ($17) on this month's billing.
Tom D.
RudyS
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Re: Large Auto Insurance Increases Coming

Post by RudyS »

Just got 12 month renewal notices. GEICO automobile went up $1.00 . Yes, one dollar. Renters (Stillwater) remained the same, as did GEICO umbrella. My state (MA) doesn't permit using credit score to set rates.
jharkin
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Re: Large Auto Insurance Increases Coming

Post by jharkin »

Just got my Amica renewal for 2022-2023. 12 month rate declined again from $1110 to $1075

This is for full boat coverage - max liability (500k)/property damage(100k)/collision/comprehensive on two ('14 and '17) Honda/Toyotas.


My auto insurance pretty much always declines each year as the cars get older. Even my homeowners only increases very slightly, generally in line with home appreciation. Not sure why so many of you get such massive increases each year, possibly its from living in states with lax regulation of the insurance industry and/or a lot of natural disasters, etc?
Alan S.
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Re: Large Auto Insurance Increases Coming

Post by Alan S. »

Just received auto 6 month RN from American Family (Costco program), slight decline of 4%. No physical damage coverage.
Vanguard User
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Re: Large Auto Insurance Increases Coming

Post by Vanguard User »

I don’t have any citations on record or accidents and my DriveEasy score is really good so I am expecting a decrease.

If they going to raise it then I would shop around.
CletusCaddy
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Re: Large Auto Insurance Increases Coming

Post by CletusCaddy »

jharkin wrote: Fri May 06, 2022 9:00 am Just got my Amica renewal for 2022-2023. 12 month rate declined again from $1110 to $1075

This is for full boat coverage - max liability (500k)/property damage(100k)/collision/comprehensive on two ('14 and '17) Honda/Toyotas.


My auto insurance pretty much always declines each year as the cars get older. Even my homeowners only increases very slightly, generally in line with home appreciation. Not sure why so many of you get such massive increases each year, possibly its from living in states with lax regulation of the insurance industry and/or a lot of natural disasters, etc?
That's crazy. I'm in CA and I pay Amica $1900 for one car. Granted, the car is a 2021 Volvo XC90, but still!
HIinvestor
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Re: Large Auto Insurance Increases Coming

Post by HIinvestor »

Our local auto insurer policy premium was about the same as it’s been for years, insuring 2 cars, leisure low mileage driving. Our D’s policy was about same as it’s always been as well via USAA.
stocknoob4111
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Re: Large Auto Insurance Increases Coming

Post by stocknoob4111 »

Just received my 6 month renewal from Progressive, 16% increase... no change in any parameters

I still have my policy set to "Commute" which is wrong since I work from home, thinking that should decrease the rate a bit... will also shop around, although I'm paying only $82/month (with the increase) for full coverage on a 2017 Mazda3 Grand Touring which isn't too bad I guess.
mrc
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Re: Large Auto Insurance Increases Coming

Post by mrc »

After two consecutive years of lower premiums (Aug 2020 and Aug 2021), this year auto is up 20%. Home Owners up 11%. Umbrella is level. No policy changes. About what I expected given economic conditions.
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Go Blue 99
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Re: Large Auto Insurance Increases Coming

Post by Go Blue 99 »

Geico just raised our auto by 10%.
Nowizard
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Re: Large Auto Insurance Increases Coming

Post by Nowizard »

Interesting. We just got ours for our Odyssey and Highlander, both 2020 years. Odyssey had a 10% decrease, Highlander an 11% increase. No claims or accidents in long periods of time. State Farm with other insurance bundled.

Tim
Calico
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Re: Large Auto Insurance Increases Coming

Post by Calico »

I switched from State Farm to Geico in June due to a huge increase with State Farm (and Geico was also higher, but it was still lower than State Farm). I live in rural Maryland and have a 20 year-old car that hardly ever gets driven (once or twice a month) and a newer, 2-year-old car that is my daily driver. I have a teenage daughter, but she's away at college with no car.

Now I have my Geico renewal due in December and it went up 20% to $912.

I guess I will touch base with State Farm again. Maybe I will check out another company as well.
I am a mere Boglehead apprentice... even after all these years.
stw
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Re: Large Auto Insurance Increases Coming

Post by stw »

Loon11 wrote: Tue Mar 15, 2022 8:44 pm Got my auto insurance bill from Geico this week for 6 months, went up 41%. Called and was told the reason is because cars cost more now, etc.
Mentioned that my spouse and I,for the past 2 yrs have driven no more than 2K (true we have 4 cars - 2 very old and still run but rarely driven). No matter, they would not budge even though we have been with them > 30 yrs and 1 small claim years ago (broken headlight), discounts for excellent driver, etc.
So, got quote from USAA for less than half of Geico, plus the liability coverage is higher.

So much for caring about customer loyalty.
We got our Geico premium notice this week for the next 6 months. It went up 53% since last November. No claims in years. Like you, I called in to see what the deal was and got a similar schpiel from them. This is for two cars; one 11 years old, the other 8 years old. We've been with GEICO for almost a decade without big increases until this year (a few small ones, but nothing that seemed crazy).

Our home insurance is going through the roof as well. I got a quote from USAA yesterday, too. They were in the same level as GEICO, pricewise. Looks like I will be getting more quotes in the coming days.
Loon11
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Re: Large Auto Insurance Increases Coming

Post by Loon11 »

when we looked into the reason more thoroughly for the rate increase, it came down to our credit report which had been run routinely. this is crazy - our scores are in the mid 800's, never any bad marks. The decreased rating was due to "not having enough loan paments" or some BS like that. We have 3 houses paid for, no mortgage, etc but we had our rating decreased by geico because we don't have enough payment history. Unreal! The customer service rep said - they don't go by FICO scores but look at other factors -
Fortunately, had USAA which we have been happy with - also much reduced umbrella premiums as well.
Jags4186
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Re: Large Auto Insurance Increases Coming

Post by Jags4186 »

Progressive lowered our rate from $1359 to $1166. No change in coverage. Paid with Apple Pay and Discover IT during the double cash back promo and got $116.60 Cashback :sharebeer
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changingtimes
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Re: Large Auto Insurance Increases Coming

Post by changingtimes »

Any of the folks reporting big increases live in Florida?
Fpdesignco
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Re: Large Auto Insurance Increases Coming

Post by Fpdesignco »

Mine stayed the same, no increase
exarkun
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Re: Large Auto Insurance Increases Coming

Post by exarkun »

My upcoming USAA auto (actual USAA, not the other tiers) renewal in Jan 23 is listed at a 40% increase!!!
No accidents, traffic violations, or anything else has changed for us in the last year.
I'm in FL.
Boatguy
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Re: Large Auto Insurance Increases Coming

Post by Boatguy »

Almost all of these rate increases are being driven by an increase in severity. Used car prices have increased by 40% in many cases, so insurers are paying 40% more for totaled cars than they had anticipated. Now they’re reacting to their data and raising rates. Progressive was the first to move, as they generally are, and then the others reacted once they saw the trends appear in their data.
exarkun
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Re: Large Auto Insurance Increases Coming

Post by exarkun »

exarkun wrote: Sat Dec 10, 2022 9:27 am My upcoming USAA auto (actual USAA, not the other tiers) renewal in Jan 23 is listed at a 40% increase!!!
No accidents, traffic violations, or anything else has changed for us in the last year.
I'm in FL.
Got a ton of quotes, compared apples to apples, and switched to progressive for same coverage at 50% the price of the new USAA policy, 35% less than my existing USAA policy.
Also looking forward to receiving the large subscribers balance I have at USAA in 6 months.
Normchad
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Re: Large Auto Insurance Increases Coming

Post by Normchad »

Boatguy wrote: Sat Dec 10, 2022 11:15 am Almost all of these rate increases are being driven by an increase in severity. Used car prices have increased by 40% in many cases, so insurers are paying 40% more for totaled cars than they had anticipated. Now they’re reacting to their data and raising rates. Progressive was the first to move, as they generally are, and then the others reacted once they saw the trends appear in their data.
Interesting. I just renewed my Progressive policy last week, and it did not change. (It is $590/6 months. 2 late model quasi-luxury cars…

Everybody should just get in the habit of shopping the auto policy around every couple of years. I will do that next June.
DIFAR31
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Re: Large Auto Insurance Increases Coming

Post by DIFAR31 »

exarkun wrote: Mon Dec 12, 2022 6:41 pm
exarkun wrote: Sat Dec 10, 2022 9:27 am My upcoming USAA auto (actual USAA, not the other tiers) renewal in Jan 23 is listed at a 40% increase!!!
No accidents, traffic violations, or anything else has changed for us in the last year.
I'm in FL.
Got a ton of quotes, compared apples to apples, and switched to progressive for same coverage at 50% the price of the new USAA policy, 35% less than my existing USAA policy.
Also looking forward to receiving the large subscribers balance I have at USAA in 6 months.
I dropped my USAA property and casualty coverage almost six months ago after 30+ years. When I switched, USAA was insuring three cars, two houses and valuable personal property. Their customer service had rapidly declined over the last several years. I now have Amica, and am very pleased. Lower premiums and better service when I have policy questions or want to change coverages. Oh yeah, I should see a check in the next several weeks for the nearly $10,000 balance in my USAA subscribers account.
meebers
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Re: Large Auto Insurance Increases Coming

Post by meebers »

Farmers here, previous was 1K/6 months, 2 vehicles. Now $ 1700 :(
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