Insurance renewal premium shocker today

[GypsmJim]

Yeah, shop around.

My jetski renewal came a month ago. It went from about $260 to over $500. I switched to another company and got better coverage for $160.

A month later my boat policy came up. Bundling it with the 'ski cut my premiums in half.

Just for grins and giggles I looked at an auto policy to bundle with the boats. $1100 for my 2 cars dropped to about $800, again for better coverage. Guess where I'm going when the cars renew?

I just read today that companies that insure in the tornado and hurricane locations are actually canceling coverage to a lot of people. The customers are struggling to get someone to insure them. It seems that for every $1.00 in premiums they were paying out $1.44 in claims.

This is all mother nature at work, not companies screwing the customers.

Now, having to pay $16 for milkshakes and fries at Mickydees is another problem, which we won't talk about here for obvious reasons.

 

[THE PILGRIM]

Mine has gone up, not as much as some of you guys.
Today I paid $6 for a quarter pounder with cheese.

 

[Bald1]

Take an afternoon to call for some quotes. I'm sure you'll get prices close to or the same as previous policy before increases. I always do. No big deal. Just something you have to do.

 

[sceva]

Mine went up about $600 each, Home and auto. If paid in full for the year it dropped to about $450 each increase. My independent agent did some looking and was able to save me a little over $300 but still an increase. With the new company the home came in slightly more than my old insurance but the auto's were significantly less.

From what I am seeing everyone is getting hit with big increases but at least where I am I can still get a policy. I feel bad for California.

 

[glenwolde]

Very significant inflation item, but I don't think that insurance premiums are included in any inflation indices. Nor are vehicle repair expenses which have also increased rapidly. All-inclusive true inflation increases are far greater than the government-doctored inflation numbers say. We are on the same path as what happened in the Weimar Republic after WWI.

Insurance and Parts and Maintenance/Repair are in the CPI-U. They are included in "Private Transportation".

CPI-U Insurance


.

 

[LVSteve]

My home insurance has jumped about 30%. Maybe it has something to do with trying to claim for the upstairs leak and the hot water slab leak, both of which they rejected.

As for car insurance, I'll copy and paste what I wrote on a car forum.

I'm dreading our renewal in August. The slaughter on the Vegas roads this year has got to the point where a week without a reported fatal would be considered a conspiracy of silence by the police and media. If it's not drunks, it's racing, apparently suicidal pedestrians, or speeding motorcycles losing control or just plain running into stuff. As a city full of people from other places, we have every bad driving habit from around the world. This year, it really shows.

 

[BC38]

I'm on a six month policy for auto insurance.
No accidents or claims in decades.
Rate goes up about $100 every renewal.
No fault State.
Agent claims it because of the number of uninsured motorists. (Illegals mostly)

I'm in the same boat. Haven't had any accidents that were in any way MY fault in over 40 years. But I get the same song and dance every time our insurance renews and I ask about why the premiums are increasing.

The thing I find most interesting about that explanation is the fact that BY LAW, all drivers are required to carry at least basic liability insurance in order to legally drive a vehicle.

So, those of us who are being responsible, and following the law, and paying for the REQUIRED insurance, are the ones being penalized (and paying MORE every year) for those who choose NOT to obey the law and pay the premiums for the legally-required insurance (a.k.a. the UNINSURED).

Anybody else see a logical disconnect here? Kind of like how we, as law-abiding gun owners, get penalized for the actions of criminals using guns to break the law. Only in this case it is cars not guns.

Forgive me for waxing philosophical about something so mundane as insurance rates, but this seems like a great illustration of the problem of a society that focuses on pursuing EQUITY (participation trophies that ensure everyone gets an equal outcome - no matter what they do or do not contribute) vs. EQUALITY (giving everyone a level playing field on which to compete and pursue excellence).

Makes me think of the Rush song "The Trees"

Maybe it's just me....

 

[Jlpgumbo]

Insurance is crushing us here in Florida. Luckily ours actually went down ~15% for home coverage. 1949 house 1000 square. ft. $6000
Love Floridia, but there is a high cost for freedom.

 

[DWalt]

And I remember the insurance on our first house about 50 years ago was something like $250 per year. But we paid only about $10K for the house. And it was a fully adequate house on about 1 acre, just old. I just saw a report on TV that said auto repair costs have increased about 23% since 2022. And there is an index for auto repair cost, story didn't say what was included in that index. They did say that much of the increase was due to the greater complexity of newer cars. Son decided a month ago to get his high mileage 2007 Lexus refurbed instead of buying another car. He took it to a local garage and told them to fix everything that needed repaired and replaced, cost him about $3K. Not so bad if it keeps running for another two or three years. Not sure what work was done on it, but no major transmission or engine repairs.

 

[pasound]

I pay monthly. I have auto and rental (with an actual gun collection clause). It jumped $20 3 1/2 years ago when I bought my current car. That climbed another $40 in the past 2 years, and then in January, at the renewal notice, it jumped again. Seems to be locked in now, but 110% more than 3 1/2 years ago.

 

[pharmer]

Same here. 2 cars and house went from $2800/yr to a little over $6K in a couple years. I know a couple families that "self insure" and pay no premium of any kind. I'm not that brave. Joe

 

[Rudi]

I'm sure they will get us all.

 

[DWalt]

Same here. 2 cars and house went from $2800/yr to a little over $6K in a couple years. I know a couple families that "self insure" and pay no premium of any kind. I'm not that brave. Joe

Many large companies self-insure, up to some limit. Think of it as having a very large deductible.
I once worked for a company that had over a thousand pieces of heavy rolling stock. Most all of it was self-insured, but the company did carry liability coverage.

 

[LoboGunLeather]

Two vehicles; one 8-year old compact car, the other a 6-year old pickup. Annual insurance ($1000 deductible) on the two is now about double my yearly salary in the US Army when I went to Vietnam. But the Army included transportation, lodging, meals, medical, dental, ammunition, and close air support on call.

Homeowners policy is about double over 10 years ago, but the house has doubled in replacement value over the same period.

Overall, the two of us pay more for insurance premiums than we do for groceries, and about the same we pay for household utilities. It is a big part of the budget.

 

[jimmyj]

In Florida the insurance rates have doubled.
To renew your Home Owners Policy you have to have a new roof installed.

 

[444 Magnum]

If you served, check out USAA as they are truly not for profit.
They may not be the cheapest quote up front, but they have very comprehensive coverage, they're not frugal on claims, and they pay back distributions to the policy holders at the end of the year. I have experienced them both as a customer and as a contractor. They are top notch.

One tip to everyone on homeowner's coverage...audit the replacement cost value for your home. Most companies raise it up every year with an inflation rider. You're actually penalized for staying with the same company year after year because they continue to raise the RCV based on compounding inflation rates.

Most companies have a base value that they can insure your home for and still offer guaranteed replacement cost coverage. Find out what that is and reduce your coverage to that amount.

Premiums will still be higher but it will help.

For those of you who live in FLA, I have no additional advice. Many insurance companies have pulled out of your state due to the amount of claims and cost of repairs. Less competition probably works against the policy holder.

 

[Wyo]

Insurance is the next big financial bubble. Prices are doubling all over the country and lots of places in high risk areas (wildfires, hurricanes, etc.) are being dropped entirely. The media hasn't covered this much but the price increases have been huge, and housing markets and transportation are going to to start seeing the effects soon if they haven't already. Stand by, Folks. It ain't gonna get any better.

 

[SMSgt]

In Florida the insurance rates have doubled.
To renew your Home Owners Policy you have to have a new roof installed.

Not exactly. But they are declining to insure older roofs even though they are still in good condition. Shingle roofs are being replaced at 10 years. They even want metal roofs--that should last a lifetime--replaced at 20 years.

 

[Model 15-4ever]

I sure hope not. Both my auto and home (same company) will renew in Sept!

Do you think its due to where you live?

Yep, and it's where YOU live as well. The auto insurers in NYS were approved for a huge increase this year by the state insurance board. Got my renewal shock a few months ago.

With all the illegals and inattentive morons driving on the roads, accidents and claims and payouts are way up. Add to that the elaborate electronics and sensors in every new car, and the high cost of the green electrics... what used to be repairable gets totaled quickly.

 

[Old 44 Guy]

Insurance is a racket and we are the ball.