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Posted in Auto Insurance
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Question By
aubladytiger53

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My auto insurance is paid every 6 months for full coverage and even though it is paid in full.
I pay 460.00 every 6 months and I also have towing and rental in case I need this in the future.

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Credit=Insurance $

Helpful to 20 out of 22 people

We just changed insurance carriers. We shop every year to see who has the best deal for us and to save us $. HOWEVER, it apprears that they "DING" you for shopping around becasue they sent us an "INSURANCE CREDIT REPORT" that stated we changed insurance companies too often. What the heck! Why doesn't the industry reward us for finding a good deal....or NEVER having a clain in 25 years?

It's ALL such a scam. Paying for something that never happens. Isn't that what the Mafia does?

Reply by
Chmarr

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Helpful to 10 out of 10 people

Um... your reward for finding a good deal is the good deal. However, a good deal for you is not a good deal for the insurance companies, and thus you get dinged. This results in not getting great rates from a company, because the chances of you flitting to another company are now proveably higher, so why should they bother courting you?

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Helpful to 4 out of 4 people

Shopping every year will hurt your chances of saving more money in the long run. Length of time with current insurance carrier is a major factor with certain carriers and also bodily injury limits. If you carry only 10/20 you will not get a favorable rate when shopping as compared to someone carrying 50/100 or 100/300. Jumping around yearly will not help you nearly as much as remaining with a single carrier for 3-5 years then making a switch. 

Reply by
lcbflorida1

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Um...  NO!   I can't speak on auto insurance, but I can tell you a little bit about paying "insurance" to the Mafia.  It is very simple:  You pay their "insurance fee" for wanting to make sure that your little store - home - whatever you are paying your "premiums" for remains in very good condition.  Now, if some thugs should come along and decide to bust up your windows and rob the register, etc, you can bet that it will never happen to you --- or anyone else for that matter and they will have learned a lesson that will remain with them the rest of their lives*   Well, that was old school.  It may be a lot different now for all I know.  I do know that "old school" did not tolerate drugs to enter their areas and they did watch out for one another.  There once was a great deal of respect and very specific rules among the different families - nobody bothered the women or the children and if an outsider dared attempt something improper it was swiftly dealt with.   It really was very much like the movie, The Godfather, in certain respects.   These days with the younger generations taking over for the outgoing older generations, it really is all about GREED, there is no respect between them as there once was and I can't say for sure, but even the younger generations have melted into gangs, etc.  My family was never in it, but I had a very distant cousin, much much older than I was at the time, that visited from Italy [in the early '70's and he was over  50 [I was tween] and I heard him talking to my Dad.  The really bad things and the rules and respect were already starting to fall apart.   --- well, hey, you asked.

* however long their lives may be

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Helpful to 11 out of 12 people

To be clear, as was previously stated, auto insurance is not a credit item.  Auto insurance premiums however, are affected by credit scores.  The insurance industry has its own model which evaluates risk factors based on an individual's credit history.  The industry maintains that statistically, people with lower credit scores have a higher claims percentage.

Reply by
cookie65

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That is the most ridiculous thing I have ever heard in my life.  Another way to get money and rip people off.  The government should be ashamed for letting this happen to the people.  Shame on you.

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Williams0614

Helpful to 7 out of 9 people

why when you apply for insurance do they check your credit score if it does'nt efect your score, I am 67 years and have not made a claim in 20 years but they still wont to charge 2300 a year untill I tell them I am going to another company, then they cut my premiums in half

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Why do I pay for others bad driving?

Helpful to 3 out of 3 people

Why are insurance companies allowed to steel from you. I have an exemplary driving record no claims, tickettes etc. I was recently caught in the hail storm in Tx. and had comprehensive dammage. less than a week after the claim the ins. co. raised my rate #300.00 claiming it was a cost of living increase for other peoples claims! This is theft.... 

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Helpful to 6 out of 9 people

As this was posted in Auto Insurance, it lacked an actual questions.  Did you have a question as it relates to auto insurance or an auto insurance score?

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Auto Insurance

Helpful to 2 out of 3 people

I'm with Allstate Insurance and I pay $1,360 every six months.  What insurance company should I go with for a reduction of premium?  Thank you

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Why do I pay for other's bad driving?

Then simply drop insurance and pay entirely out of pocket for any events that occur to you, your passengers, other vehicles' driver and passengers, your vehicle, your property, other people's vehicles, other people's property.  When you pay for insurance, you are paying a lesser amount for someone else to assume the risk that an event will occur. 

The insurance company's Customer Service Representative was badly mis-stating.  A hail storm in TX affected more than just you, but most likely everyone in a surrounding area.  Were there other hail storms throughout the state, or was it just a freak one-hail-storm-of the-year? Have there been several years of increased auto-claims in your region, due to weather?

If the insurance company experienced significant losses in Texas and didn't have sufficient reserves to readily absorb the impact of a bad year (most likely on top of other bad years (i.e. weather, etc.) then they would have had to institute premium increases.  Most companies attempt to assign the premium cost to the specific market (location and line of insurance) that is driving the claims.

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Helpful to 1 out of 8 people

Auto insurance is not a credit item so will not have any impact on your credit score. It is an expense that must be paid foir the privilege of driving.

Reply by
cookie65

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Helpful to 1 out of 1 people

No it does not have an effect on your credit score, but your credit score has an effect on your premium.   Which is so wrong when it has nothing to do with it.

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