Let's talk auto insurance

I'm thinking of switching auto insurance carriers 'cause I'm trying to save a little coin, just like everyone else. I've been with Geico for...10 years or something, can't remember. I'm 34, married, neither my wife or I have EVER had an at-fault collision. Paying about $95 a month for two vehicles, one's a '02 minivan and the other is a '98 two-door.

Was just messing around on the Progressive site and they quoted me for $65 a month, so I'm thinking a little more seriously.

Anyhow, I want to hear thoughts on insurance carriers---war stories, recommendations, etc.

Off topic, Geico can't come up with a decent ad campaign to save their asses. Cavemen? Geckos? It's like reality TV...I just can't wait for it to die.

I was a Geico member for years. Always treated me good, but when my rates when up significantly by moving from Hawaii to Washington, I switched to USAA.

That is really cheap. Me and Crash, uh I mean SWMBO, pay almost double that monthly, but we have 2 newer cars, both on the "like to be stolen" list.

I can say, I recently re-shopped my insurance since we are in the process of a move. With my situation, Allstate was way cheaper than Progressive, Geico, USAA, and a few others. I was actually really surprised that it was significantly lower than USAA as they are typically the cheapest if you qualify for thier program (militery only).

Like you, I was just looking to save coin. Allstate has never dne me wrong in any way, so it was easy to stay with them. I would at least get a quote from them if I were you.

We've been with Geico for about the same amount of time, and have never had an issue with them regarding repairs, etc. When Lisa's car got broadsided by a deer (yep, you heard right- the deer hit her), Geico hooked us up with a Prius for three weeks and handled all the body work.

Definitely don't go with Nationwide, I'll tell you that much. When the dumb ***** rear-ended me and totally my car, Nationwide was her insurance. They took 4 weeks to issue a check and were totally non-responsive to requests for information and callbacks. Even worse, they only pay two days rental once a value is declared- which screwed me because I needed to travel for business and some pleasure in the weeks following the accident. Thankfully, my company reimbursed me for the business rental, but I still had to pay out of pocket.

Off topic, Geico can't come up with a decent ad campaign to save their asses. Cavemen? Geckos? It's like reality TV...I just can't wait for it to die.

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They didn't develop that campaign The gecko and cavemen are the creation of the Martin Agency in Richmond. I should know- I work with them

I have no real data to support this but, over the years regardless of who underwrites the insurance policy there are always increases. If you actually track the rise in cost of the policy over ten years I bet most will notice that their premiums have doubled, at the least, and that is with a clean record.

About every 3 to 5 years my wife an I get quotes from other insurance agencies for both home and auto and usually realize a savings every time.

I have State Farm for both home and auto insurance, so I get a pretty significant multi-line discount. I shop around every couple years, and State Farm has always been least expensive. They've always treated me very well too.

(And I love GEICO's gecko ads!)

Ah well, to each his own I guess.

So far $65/month at Progressive is looking pretty damn good!

SWMBO and I have our car insurance through progressive and they were much cheaper than anyone else last time I priced it out. We have a 2000 4-door sedan and 2003 compact SUV and we pay right around $400 every six months...we save almost $100 by paying the 6 months in-full rather than paying each month.

Well actualy I am an insurance agent. I work for AAA Mid-Atlantic. If you questions about anything insurance related I can help you out. Or I can even do a quote for you if you want. Just let me know.

Its been my experience that insurance co slowly jack your rates over a period of time. We left Allstate after 8 years cause they double our premiums with no accidents are new vehicles. In fact Allstate is the scum of the earth and I would avoid them at all costs. There is no reward for being a loyal customer. We moved from Allstate to Unitrin Direct which took us from 180 a month to 90. Unitrin slowly crept up to 140 a month. Now we are with geico at $60 a month. I think the best thing to do is shop for new insurance (home/auto) every 3 years at a maximum.

when i had progressive i liked it...i had one claim with them when i hit a deer with my previous car and it was taken care of well.

but crap man...$95 a month! i'm so flipping jealous. i moved from IN to KY last year and the insurance went from $500 every six, to $900. i had quotes for $1200 here as well. i guess the reason was KY is a no fault insurance state....

Boy, you guys have it good. I make a single lump sum payment of about $1200 a year for my accident free '05 Grand Caravan. Here in Manitoba it's mandatory to use our provincial insurance company, and despite what you might think, we're cheaper than other provinces that have private insurance.

GEICO is on my personal S---list and Progressive is pretty high on my list of "companies that make me happy".

If you're wondering why I dislike GEICO, it's because the G stands for "Government". But more specifically, talk to an veteran cop and ask him about "Geico guns".

Geico funded and paid for radar detectors and donated them to police departments in order to increase the number of speeding tickets issued.

Rick500 said:

I have State Farm for both home and auto insurance, so I get a pretty significant multi-line discount. I shop around every couple years, and State Farm has always been least expensive. They've always treated me very well too.

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Along with price, I think you have to look at how they handle claims as well. We've had our home(s) and car(s) with State Farm for more than ten years. In that time, we've had two cars totaled, (rear-ended once, parked hit-and-run the other), and one claim on the house for wind damage. State Farm has always handled our claims quickly, correctly, and hasn't jacked up our rates. In fact, they called us a while back to let us know that thanks to some changes in the law, we could actually get the same coverage for LOWER rates.

I'll stick with State Farm, thanks. However, if you qualify for USAA, by all means get it. USAA is a great outfit.

USAA for the win.

I attend trade group meetings once a month, and one of this dinners, I was at the same table as a man who does the insurance work for a restoration and remodeling firm. He gave us an inside line on which insurance companies were really good, and which ones to avoid like the Black Death (*cough cough Travellers cough*).

Of course, this was homeowner's insurance, but still. USAA is limited in membership but is tops pretty much across the board.

Every one of them will quote low to win you over just like cable and satellite TV companies do. They expect you to be lazy and just keep taking it up the rear for the next 10 years. Shop for new quotes every two years!

Kevin Dean said:

Geico funded and paid for radar detectors and donated them to police departments in order to increase the number of speeding tickets issued.

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Unless they get kickbacks on speeding tickets, I suspect the purpose was to reduce speeding and the accidents typically associated with speeding. The same accidents that kill people. So the insurance company doesn't have to pay out claims, the premiums stay reasonable, your car stays intact, and you and the people around you stay alive.

Where's the downside?

Fingers said:

Unless they get kickbacks on speeding tickets, I suspect the purpose was to reduce speeding and the accidents typically associated with speeding. The same accidents that kill people. So the insurance company doesn't have to pay out claims, the premiums stay reasonable, your car stays intact, and you and the people around you stay alive.

Where's the downside?

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It is because many people are with Geico and when you get a speeding ticket they can then raise your premiums.

Since you live in PA, you might try Erie. I had them for years in PA... good prices, won't accept just anyone (but you should be fine with a clean driving record), and they take care of you when you need it.

dataz722 said:

It is because many people are with Geico and when you get a speeding ticket they can then raise your premiums.

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Oh, I didn't know that.

Bastards.

I switched from State Farm to Progressive about 2-3 years ago. I don't recall my rates with State Farm but through Progressive, with one vehicle that has full coverage and the other just liability, I'm paying less than $300 a half. The full coverage is on a 2004 4-door Civic and the collision is on a 1997 2-door Civic. Never had to file a claim *KNOCK ON WOOD* but years back when I was still in school I had Progressive through my mom and had one claim and it was processed very quickly.

I suspect the purpose was to reduce speeding and the accidents typically associated with speeding.

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Take from this what you will, but the so-called "greater good" arguement falls on deaf ears for me. Speeding is a victimless crime. Smashing your car into another car... not so victimless. I have a problem when the use of force, and the threat of force, is placed over people who are not creating victims. Speed and don't crash, you shouldn't be threatened with being locked in a cage if you don't want to write a check to the city or county.

Though, the "upping your premiums" is another arguement. No matter how you slice it, GEICO sucks in my eyes.

Kevin Dean said:

Take from this what you will, but the so-called "greater good" arguement falls on deaf ears for me. Speeding is a victimless crime. Smashing your car into another car... not so victimless.

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I don't understand that logic. To me, that would be like saying it's okay for anyone to discharge a handgun anytime they want and it's only a crime if you actually hit someone. Let's face it, reckless endangerment is real and people die from it all the time. When the probability of injuring someone is high, that behavior needs to be curtailed to prevent the inevitable consequences.

Here's why speeding is so dangerous:

For arguments sake, let's say the speed limit is 60 mph. Someone looks down the road and sees a car a certain distance away. At 60 mph they know how long it will take that car to arrive. So using that information they make a decision on how they will proceed. This could be someone in another car, a pedestrian, or someone on a bike. Now that car is going much faster than anticipated. Reaction time has been dilated to some fraction less than what it should be and because of the excessive speed reaction times are reduced as well. The probability of impact is now much greater than it would be if the car was going at the posted limit.

It's a fact. Speeding greatly increases the chances of a collision. You may be the greatest driver in the world, but if you don't follow the rules, the likelihood of hurting yourself or someone else is increased. How many times have you heard 'they just came out of nowhere'?

I'm not quite as lucky as some. I drive an 08 BMW, my wife an 08 Infinity, and my daughter an 07 Ford Focus. My daughter (22) had two claims on her last year for minor accidents, but both were her fault. Can you say "BIG BUCKS"?

The question I have is, which companies will cancell on you after an accident? I've had the experience of having an auto insurance company cancell when I was younger, and then have to go shopping for new coverage. Believe me, that's a very pricy proposition.

I'm lead to believe that Allstate may raise your rates to the roof after an accident, but typically won't cancell. I've heard that other agencies will indeed drop you like a hot rock following a moderate to major claim.

I can't support it, but in general I think the whole auto insurance world is a total rackett.

Just my mindless .02 cents.

I have progressive and I am a huge fan. My former insurer kicked me off after a DWAI, and with progressive, my rates were actually lower than before the infraction...wow...I was overpaying like crazy w/ State Farm.

I am paying about $125/mo now though, with an 07' subaru WRX and very high liability coverages $100k/$300k/$100k and a $500 deductible (req by my lender). It should go down after I pay off the car in a year and raise the ded to $1000.

but crap man...$95 a month!

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Try $4K per year (discounted for paying semi-annually). Four cars, 23 year old daughter, nineteen year old son. And that's after about a 10% reduction because, I think, my daughter passed some milestone in the insurance tables. But it's through Progressive, for what it's worth, and was slightly less than GEICO last time I checked. On the couple of occasions where the insurance has come into play, they have given good service.

Rick

Fingers said:

To me, that would be like saying it's okay for anyone to discharge a handgun anytime they want and it's only a crime if you actually hit someone.

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Actually, that's EXACTLY what I'm saying. If you do a thing, and that thing harms nobody, there is NO reason to use force against you, or threaten you with force, to make you stop.

Fingers said:

Let's face it, reckless endangerment is real and people die from it all the time.

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Nobody has ever died from "endangerment". They die from loosing control of their vehicle (such as being forced off the road), from impacts (suchs as being T-Boned). Those things HARM PEOPLE and the person who caused it (through negligence, willful intent or accident) is responsible for the harm caused to other persons and property. But nobody who avoided those things has ever been killed by someone breaking some arbitrarily set number posted on some sign somewhere.

Fingers said:

When the probability of injuring someone is high, that behavior needs to be curtailed to prevent the inevitable consequences.

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I vehemently disagree. In your world, it's acceptable to use force, threats of force and theft to victimize people who cause no harm to other people. It is not acceptable in mine.

When the probability of someone being injured is high (but nobody is injured) people with concerns need to evaluate if those risks are high enough. Moving a ton of metal at 55 miles per hour is "dangerous" in comparison to living in a straight jacket in a padded room. Living life is about taking risks you deem acceptable. If you don't like those risks, don't take them. Driving is no exception. Taking people's liberty to minimize what you perceive as risks is unethical.

Fingers said:

At 60 mph they know how long it will take that car to arrive.

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Is this because they've committed the distance/time tables to memory based on 60 mph or because they look at the environment around them and made an educated and informed decision? If it's the first, holy hell! Police and ambulances break the speed limit to respond to emergencies and magically, the flow of traffic copes with this. This indicates the universe does NOT unravel when the arbitrary speed limit is exceeded. This indicates it's that whole "evaluate and decided" thing working.

And if they can evaluate at 60 miles per hour, they can evaluate at 85 too!

Personal experience talking here - when drivers aren't monitoring signs and lights, they driver safer. I wrote about an experience in Gaithersburd MD (outside of DC, so not a rural area here) when the entire city's power was out. If you're interested, the article is http://monochromementality.com/index.php/blog/show/That-which-we-learn-from-storms.html

ABC News, 20/20 and John Stossel also backup the claim that less restrictions on driver's making decisions means safer driving.

http://townhall.com/columnists/JohnStossel/2008/07/16/tear_down_the_stop_signs!

Fingers said:

It's a fact. Speeding greatly increases the chances of a collision.

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Most evidence points that severe deviation from the flow of traffic, not going faster than the speed limit, increases your chance of accidents. According to the National Motorist's Association, driving 10 mph UNDER the flow of traffic increases your chance of being in an accident 600%. Slower is not always safer.

Fingers said:

How many times have you heard 'they just came out of nowhere'?

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Argumentum ad populum. You may have heard people say that but when was the last time someone ACTUALLY materialized randomly doing excessive speeds and caused injury? I'd wager to bet "Never".

"Out of nowhere" actually means "I wasn't aware of that driver's existance". This isn't an underhanded "people need to pay attention" because there really are vision obstructions and the like, but this is an issue of horribly constructed roads (thanks to no competition in the arena of roadway safety) not people going faster than some arbitrarily set number.

Finger's Signature said:

Vices are simply the errors which a man makes in his search after his own happiness. Unlike crimes, they imply no malice toward others, and no interference with their persons or property.

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You do understand that Lysander Spooner was an anarchist like myself, and that quote was used to say exactly why I'm arguing here - a crime requires a victim.

I vehemently disagree. In your world, it's acceptable to use force, threats of force and theft to victimize people who cause no harm to other people. It is not acceptable in mine.

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So if I walk into a store where you and your family are shopping and unload my .40 with my eyes closed, pointing in random directions, if nobody's hurt your view is that I should be allow to leave unmolested? No crime committed?

Rick

If you ever get a chance read the book "Competing on Analytics" by Davenport and Harris they talk with Progressive CEOs about their business model, and in fact if you are a high risk customer (Have previous accidents, have teenagers etc.) They adjust your rates (Raise them) and at the same time show you other agencies are cheaper, to encourage you to seek out other insurers. They are interested in insuring only the best drivers who are the most profitable for them, it also makes them look good in their advertising as people who become customers claim a large savings, those who won't save don't become customers.

A summary from the book is below:

"Most auto insurance companies actually lose money on the insurance itself (and make it up by investing the pre-paid premiums). One rare exception to this strange business model is Progressive Casualty Insurance. It leverages customer intelligence to make money on insurance and differentiate itself in the marketplace, explains Harvard Business School professor Frances X. Frei. right

One of the key ways it accomplishes this feat is through its Comparison Quote service. When prospective customers go to the Progressive Web site, they receive a quote for Progressive auto insurance and an array of other competitors. What you might not realize is that Progressive's quotes are the lowest ones in less than half the cases, which usually encourages the prospect to abandon the Progressive site.

"So how does that make sense? What they're capitalizing on is that Progressive is better at data analysis than all of their competition. Comparison Quote is their clever service design that takes advantage of their data analysis superiority. They can get at the true 'riskiness' of a customer in a more refined way than anyone else can, so they know the true risk better than the competition," Frei says.

The riskiest customers, in other words, are encouraged to shop elsewhere -- and that's just fine with Progressive because they also are likely to be the least profitable. As Frei puts it: "They are happy to have the competition get those customers."

Rick_R said:

So if I walk into a store where you and your family are shopping and unload my .40 with my eyes closed, pointing in random directions, if nobody's hurt your view is that I should be allow to leave unmolested? No crime committed?

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You're likely destroying someone's property, so yes, you're committing a crime.

Kevin Dean said:

You're likely destroying someone's property, so yes, you're committing a crime.

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I hope you have a blind guy random shooting clause on your life insurance policy.

Seriously, I thought we were talking about insurance here

Kevin Dean said:

Police and ambulances break the speed limit to respond to emergencies and magically, the flow of traffic copes with this.

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You've never rode in the front of an ambulance or a police cruiser, have you? As someone who has done it for 16 years, believe me when I say I wouldn't exactly call slamming on your brakes in front of a 8-ton ambulance "coping". It certainly doesn't "flow", nor does it "cope" as easily as you make it sound.

Ultimately your argument comes down to semantics.

Virtuous said:

Seriously, I thought we were talking about insurance here

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My apologies. I lost track of which forum this wasn't.

So anyway...

Thanks for the thoughts on insurance. Yeah, $95 a month is cheaper than some of you guys but again, bear in mind I'm 34, married and neither the wife or I have ever had a collision. Cheaper insurance means more money to spend on homebrew.

Kevin Dean said:

I vehemently disagree. In your world, it's acceptable to use force, threats of force and theft to victimize people who cause no harm to other people. It is not acceptable in mine.

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Not even close. I suppose it would be easiest to argue against that sort of conclusion rather than something that makes sense, but you'd be arguing with yourself. I could draw equally ridiculous conclusions from your arguments. For instance, if someone told you they were going they were going to murder your wife, pulled out a handgun and pointed it at her head, you'd do nothing unless he pulled the trigger.

So I could conclude that you wouldn't protect your wife or anyone else from a threat to their life of limb even if it were in your power to do so.

Now, of course I don't really believe that, and I hope that you don't really believe that I support victimizing people who do no harm. The argument was whether or not speeding causes harm. As you said, I have a quote from Spooner in my sig. That should give you a better indication of my personal political views than whether or not I support speed limits.

I see you are close to me in Hanover, i have had good results with progressive, their concierge service is tops--got hit in the side in harrisburg on front street back in feb (in a car that was less than 5 months old)--guy was changing lanes into me so it was his fault--they handled all the stuff, had an appointment to estimate, then once the other company agreed to fault i simply turned in my car and got the rental (which was 100% covered). Had i been willing to fork over the deductable i could have had immediate service then reimbursement....

Very good experience and my rates arent too bad....

Tankenator said:

I see you are close to me in Hanover, i have had good results with progressive, their concierge service is tops--got hit in the side in harrisburg on front street back in feb (in a car that was less than 5 months old)--guy was changing lanes into me so it was his fault--they handled all the stuff, had an appointment to estimate, then once the other company agreed to fault i simply turned in my car and got the rental (which was 100% covered). Had i been willing to fork over the deductable i could have had immediate service then reimbursement....

Very good experience and my rates arent too bad....

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Thanks for the tip.