Home insurance?

[motion]

State Farm has been jacking up the insurance for my Montana shack because of hail damage claims in our area. Its getting totally out of control. I pay 8x the rate for insurance here than my rentals in Albuquerque (adjusted per sq ft)

I gave Liberty Mutual a shot, but they were about the same as State Farm. I just joined USAA and their quote is a lot better... about 30% less than State Farm, but still pricey.

Anyone else I should look at?

[GH85Carrera]

I use American National Property & Causality. They beat USAA in price by a lot. It can't hurt to check them out. I have been very happy with them.

[wdfifteen]

Getting away from State Farm would be a good choice. My friend had been with them for 20 years, same agent and everything. She made a hail damage claim for $2700 and they refused to renew her policy when it ran out.
Their thinking makes no sense to me unless they are betting on climate change. The risk of hail/tornadoes in any county should be exactly the same now as it was 50 years ago. It should be one of the most reliably predictable risks they could insure. How can anyone be an increased risk for hail?

[VincentVega]

After a recent move I had to switch, very happy so far with Cincinnati Insurance. Never heard of them before looking either.

[R K T]

I just switched to SafeCo....great reputation and customer service....and beat the others on premiums!

[biosurfer1]

Wawanesa, though they may not be available in Montana

[bivenator]

Just switched from Farmer's insurance to Mercury. Mine went from 2900 to 1500 per year. My agent said that Farmers is jacking up the rates here on the Gulf coast in order to get people to drop the coverage. I guess the liability is greater than the profit.

[red-beard]

Scott, I'll have to look into that.

[Zeke]

Originally Posted by bivenator

Just switched from Farmer's insurance to Mercury. Mine went from 2900 to 1500 per year. My agent said that Farmers is jacking up the rates here on the Gulf coast in order to get people to drop the coverage. I guess the liability is greater than the profit.

Just to make sure, Farmers and State Farm are not related. SF is actually rated OK whereas Farmers has always been in the toilet long with Allstate.

@Motion, any reason to not use an independent broker? Seems like your assets might be of interest to one of the middle sized brokerages that can place you with the best deal.

[gordner]

State Farm did the same to me, my rate went up 300% in the last three years, no reason given except "there have been a lot of hail storms". No relevance apparently that I have never made a claim, or explanation why every one else I know with state farm saw a 10-18% increase this year and mine was a little over 100% increase this year.
After that, and getting completed screwed over after being hit at a light in my 911, State Farm and I have gone seperate ways.
For perspective, my quoted State Farm rate for the upcomming year was $2980, I secured better coverage from a competitor at $1380 for the year.
But, State Farm did go to great lengths to explain the value they place on customer retention. As was evident from their treatment of me as a client....

[jyl]

Hmm. I have had auto w/ State Farm for 20+ years and home w/ them for 6+. We have never made a claim under auto or home, to State Farm or to any previous insurer, in our entire lives. Maybe I should look around too.

[gordner]

After dealing with a long standing claim with State Farm, research has revealed them to be one of the most difficult companies to deal with. Even talking to the body shop guys, as soon as I said State Farm Ins. they did not even want to do the estimates as SF consistently debates or argues every point. Keep in mind, this is a non-at-fault accident and the at fault individual had insurance with another company, so there was no motivation financially for SF to screw over their own client, and yet, wow did they ever. (claimed previous frame damage on a car that was fully PPI'd a year before with no frame damage, and despite numerous less than 2 month old pictures that showed no pre-existing damage in the area in question)

[MRM]

If you qualify, USAA will give you the best rates and best service. The reason is that their risk pool is limited to current and former officers or warrant officers in the military and their dependents. They don't sell to the general public.

It doesn't surprise me that State Farm and Liberty Mutual are similar. They have to survive in the market based on the same risk and underwriting data. State Farm isn't really jacking you around with their rates. They're just increasing their rates to meet the payouts for claims in your area. LMIC will have to do the same thing. If the insurer pays out a lot in your area they will raise rates a lot in that area. In this regard State Farm is better than most because they're the largest home insurer in the country, so their risk pool is larger and they can spread their claims out over more policy holders. But when claims are made, the money has to come from somewhere. And that somewhere is the policyholders' premiums.

[gordner]

State Farm is jacking me around, when I see an over 100 percent increase and others see 10-18 percent, that is jacking around. Insurance companies jack rates in bad years but when was the last time you see them slide back in a low claim year?

[gordner]

I should say was, cut ties with them.

[Zeke]

Originally Posted by MRM

If you qualify, USAA will give you the best rates and best service. The reason is that their risk pool is limited to current and former officers or warrant officers in the military and their dependents. They don't sell to the general public.

It doesn't surprise me that State Farm and Liberty Mutual are similar. They have to survive in the market based on the same risk and underwriting data. State Farm isn't really jacking you around with their rates. They're just increasing their rates to meet the payouts for claims in your area. LMIC will have to do the same thing. If the insurer pays out a lot in your area they will raise rates a lot in that area. In this regard State Farm is better than most because they're the largest home insurer in the country, so their risk pool is larger and they can spread their claims out over more policy holders. But when claims are made, the money has to come from somewhere. And that somewhere is the policyholders' premiums.

USAA has opened their enrollment to enlisted personnel since 1996.

[schamp]

I recently had all of my insurance re-quoted. I was with State Farm on several cars, rental property and home. Had my pcar with Hagarty and motor coach with Blue Sky.
Now, two things about State Farm. My local volunteer fire department went from an ISO 7/9 to a 5/9. When I pointed that out to State Farm and wanted a reduction in premium, they questioned if my property was even in that district. Sent them a copy of the report and then then questioned why my name was on it. They never questioned anything for the 12 years prior. I never could find my agent.
I ended up going with Auto-Owners and saved a bundle. A couple of thousand and better coverage. Farm is now covered with 2 mil liability. I cancelled all policies. I was actually hoping my agent would call and ask why. I really wanted to tell her, I was tired of having sex with them. Funny how when they realize you know they have been ripping you off they don't call.
Oh, get anyone but Progressive.

[74-911]

Originally Posted by MRM

If you qualify, USAA will give you the best rates and best service. The reason is that their risk pool is limited to current and former officers or warrant officers in the military and their dependents. They don't sell to the general public.

True they don't sell to the general public but there are now large numbers of USAA insureds that were not officers. As Zeke stated, starting in 1996 active duty enlisted were eligible and that was eventually expanded to essentially anyone who has ever been in the military regardless of rank. USAA has several subsidiary companies they use to insure dependents, lower ranking enlisted, higher risk drivers, etc.

i.e. my granddaughters all have their auto insurance with USAA and were eligible because my wife worked at and is retired from USAA. A few years ago I even became eligible because of military service in the Vietnam era.

I have never really checked if I can beat their rates but I am certain that you cannot beat their service based on several hail storm roof replacements over the past 34 years. I know several people who switched to USAA when former enlisteds became eligible and they all indicated they got significant reductions in premium .

[Evans, Marv]

I had SF for a quarter of a century - home, rentals, vehicles. I moved to an area that has had two major fires in the past decade. SF said they didn't insure homes in the area, so I dropped them for everything. I looked around and Farmer's was about the only one that provided home insurance in the area, with decent rates. Based on their reputation I didn't want to, but bit the bullet & insured through them starting with course of construction which coverted later to home insurance. During construction I had a $9.2K claim because of a theft. To my amazement, they paid it immediately. My insurance went up about $250/yr. for 3 years & dropped back down. My agent told me it was because I had lost my "no-claim" status, which was reinstated on the third year.

[MRM]

I've seen the studies. You can't beat USSA's service. It is the best of all national insurers. And because their risk pool is limited to a group that is better risk than the general public, it's rates are the lowest too. I should have realized that they sell to all service personnel. I've never worked for them or done work for them but I've worked and done work for their competitors.