I Hate State Farm

• bigkahuna

  First of all, the worst part about living in Michigan is this No-Fault Insurance Bull Shit. I don't even want to tell you how much we pay/month for 2 Sedans, Home Owners, and my wife's malpractice.
  
  The thing that is killing me is that our insurance went down in January when my wife turned 25 and SHOULD again when I turn 25 April 1, but has risen the last 2 months.
  
  We got her age reduction in January, which was somewhere between $25-35/month-SWEET.
  
  February rolled around, and it went up $10-15 for some BS reasons. We just got our statement for this month, and it has again gone up another $10-15. So, we are essentially back to where we were before.
  
  I'm sure this isn't an isolated thing, it's just irritating that you get jobbed for these little fees. I have a ticket still on my record that will be removed in July, and my wife has NEVER been pulled over.
  
  The only thing holding us back from switching is the $$$$$$ you need to pay up front.
  
  /rant.
• Fab1b

  

  Sorry to hear that, great company though have taken care of me the last 13 yrs I have worked for them.
  
  Let me ask you this, any claims? Credit problems? Area code you live in crime increased? There are many factors as to why your rates may have changed.
• Cat Food Flambe'

  

  (Insert name of law firm you see on the TV ads) will make them PAY!!!
  
  All those bucks have to come from someplace.
• bigkahuna

  To Fab.....No to All of the Above.
  
  I looked at the statement and here is what it listed ALL for our newer car (08 Fusion)
  Change in Vehicle Rating Group for comprehensive coverage
  Rates have been changed Period
  Change in vehicle rating group for collision coverage
  Vehicle safety discount changed.
  
  Like I said before, my wife has never been pulled over, and we have never made a claim on a car, house, or malpractice.
  
  The ticket that I got was back in the summer of 08. We got married on October of 09, but I kept my Ohio License plates and stayed on my parents' insurance(was WAYYYYY cheaper because it was in Ohio). When we bought the Fusion back in September 2010, I was added to her insurance because I gave my Civic to my parents for my younger sister. We got a quote and thought we were good to go (after getting ALL of my information). We got a letter in the mail a month later stating our insurance was going to go up because they discovered a mark on my record, which should have came up right away.
  
  My wife has been a loyal customer for almost 5 years, and I have been for almost 6 months (you get the point lol).
  
  Obviously if there were claims, it'd be understandable, but there NEVER has been. I guess I'm p'oed because it's $250/month.
• Fab1b

  

  When you get an insurance quote and the price you are quoted is subject to change. Once they took your application for insurance it is sent to the underwriters for approval and final rates. They discovered the mark at that time, it is not right away. It's like that with all insurance companies sorry. Underwriting is the final say, not the agent or however you got your quote.
• Little Danny

  

  Michigan is a state that insurers have historically have lost money. The No Fault provision prevents them from pursing subrogation against the at fault parties, the PIP coverage (personal injury protection) is unlimited and becomes a secondary health insurance for life for people after a car accident, there is rampant fraud, high instances of car theft in and around Detroit, and the threshold for bodily injury keeps lowering every year. Basically the insurers charge so much in the hand state because it is tough for them to turn a buck.
  
  The best thing you can do is shop for a new carrier. Someone will give you a deal and you will have a lower rate. I would suggest getting an independent insurance agent who will get quotes from multiple carriers to get you the best deal. You indicated your have multiple lines of insurance, if you broker it all through the same carrier you could get a discount.
• bigkahuna

  Fab1b;712574 wrote:When you get an insurance quote and the price you are quoted is subject to change. Once they took your application for insurance it is sent to the underwriters for approval and final rates. They discovered the mark at that time, it is not right away. It's like that with all insurance companies sorry. Underwriting is the final say, not the agent or however you got your quote.

  I guess I knew that, just blowing off some steam.
  

  Little Danny;712578 wrote:Michigan is a state that insurers have historically have lost money. The No Fault provision prevents them from pursing subrogation against the at fault parties, the PIP coverage (personal injury protection) is unlimited and becomes a secondary health insurance for life for people after a car accident, there is rampant fraud, high instances of car theft in and around Detroit, and the threshold for bodily injury keeps lowering every year. Basically the insurers charge so much in the hand state because it is tough for them to turn a buck.
  
  The best thing you can do is shop for a new carrier. Someone will give you a deal and you will have a lower rate. I would suggest getting an independent insurance agent who will get quotes from multiple carriers to get you the best deal. You indicated your have multiple lines of insurance, if you broker it all through the same carrier you could get a discount.

  
  Would the dangers of Detroit affect me in rural SE Michigan?
  
  Yea, we're looking at other providers and seeing what the best deal can be for what we need/multiple discounts. Like I said, having to come up with all that money up front will be the challenging part.
• THE4RINGZ

  

  Our auto insurance is through Progressive ( two teenage boy's) had one claim and they handled it amazingly.
  
  Homeowners insurance is with Westfield Companies.
  
  Professional bond is through AIA.
  
  No problems at all.
• Little Danny

  

  The losses in Detroit is a factor for the whole state of Michigan. Remember insurance involves the concept of multiple individuals pooling in risk. Going back to my earlier rant however, the bigger factor is the unlimited PIP coverage. People would be amazed at the losses insurers take on this coverage up there. Ohio for insurance does not have PIP coverage It has medical payments coverage and the average policyholder has a $1,000 or $5,000 limit. That makes for hundreds of millions of dollars of losses for a company like State Farm and is a big reason why the insurance is so high in Michigan as compared to Ohio.
• bigkahuna

  PIP = No Fault or similar correct?
  
  That's an issue in and of itself, but that's for a different thread.
  
  I've made peace with the price, it's just the misunderstood/unexplained rate increases.
• mucalum49

  

  bigkahuna;712638 wrote:PIP = No Fault or similar correct?
  
  That's an issue in and of itself, but that's for a different thread.
  
  I've made peace with the price, it's just the misunderstood/unexplained rate increases.

  PIP is no-fault for injuries. First Party Medical(PIP) and auto damage can be two different things. For example, Kentucky is no-fault for FPM but it isn't no-fault for auto damage, companies can subrogate in that state.
• Sonofanump

  Is it normal in Michigan to be paying and have rates change by the month? In Ohio our contracts are yearly with a quarterly payment.
  
  How close are you to Toledo, check out an independent agent who will be able to give you quotes for a few different companies.
• Gblock

  get a qoute from california casulty...they only insure those with great driving records and it is cheap. it is mostly teachers but i dont think you have to be a teacher for sure, but it is cheaper and still great service. i used to have state farm for years and i save about 400 a year since i switched.
• Nate

  I've been w/ Progressive since the end of 2005 and they have been awesome. My rates went through the roof when I got my reckless op but after that cleared, it went down very low. I'm at $57/month compared to the old $190/month.
• bigkahuna

  Sonofanump;712778 wrote:Is it normal in Michigan to be paying and have rates change by the month? In Ohio our contracts are yearly with a quarterly payment.
  
  How close are you to Toledo, check out an independent agent who will be able to give you quotes for a few different companies.

  
  We get a statement every month. It's pretty consistent (maybe a fluctuation of literal pennies/month).
  
  I'm <5 minutes away from the border. I just assumed that you had to have insurance within your own borders, so I couldn't go to someone in Toledo.
• Skyhook79

  

  I have no problem with people in michigan paying more for anything than people in OH-IO.
  But check out Progressive for real.
• OneBuckeye

  

  I have progessive. Wife and I have our share of speeding tickets. Also had one wreck handled to perfection. Pay $160/month for 2 cars 07 and newer.
• LJ

  

  State Farm's good driver discount is what saves you money with them. I pay $47/month for full covereage at high limits on my 2010 truck.
• Sonofanump

  OK, I had to look up my rates. I pay $558 a year for two drivers on one car (I have a company car) collision and comprehensive to a top 5 insurer . That equals $46.50 a month.
• Drums of War

  Independent Ohio Agent chiming in!!
  
  If you live in Michigan, your agent must be licensed there. (Does not matter if he resides in California)
  State Farm, Allstate, and many other companies are on the rise right now in all states. I agree with Son: Find a good indie agent and let them shop the whole ball at once. I saved a family $300 a year last night and tripled their coverage with an A+ rated company. Good deals are out there if you know someone that can find them for you.
• O-Trap

  

  Wife and I have USAA. Love them.
  
  Sorry to hear, though. I would definitely follow up and get a clear explanation as to why it went up. Having worked in the cell phone industry, I have personally seen issues arise from a mere misunderstanding many times. If both parties understand one another, only then can an educated decision be made whether to stay or leave.
• Sonofanump

  O-Trap;712991 wrote:Wife and I have USAA. Love them.

  
  USAA has the best ratings in the industry, but can only be bought by military personel.
• O-Trap

  

  Sonofanump;713160 wrote:USAA has the best ratings in the industry, but can only be bought by military personel.

  Or attained through grandfathering. At least that's how it worked for my wife and I.
  
  In all seriousness, my wife and I each have a ticket on our records. Our combined monthly payment is barely over $100, and we're covered pretty thoroughly.
• Sonofanump

  O-Trap;713162 wrote:Or attained through grandfathering. At least that's how it worked for my wife and I.

  
  Good for you, don't bother looking elsewhere because you won't find it any better.
  
  For those that do not qualify, here are the next five in alpha order:
  Amica
  Auto-Owners
  Cincinnati
  Erie
  Hartford
• justincredible

  

  Sonofanump;713160 wrote:USAA has the best ratings in the industry, but can only be bought by military personel.

  
  My father-in-law was in the military which allowed my wife to be a member. After my wife and I got married one of the first things I did was sign up for an account with USAA.
  
  That said, our insurance is through All-State. I guess I should get a quote through USAA and see how it compares. I swear I got a quote a while ago and it was higher than All-State.