Insurance - didn't see this coming.

[jeffstrikesback]

Hello everyone,

I just received an email from Geico and they have raised my premiums by 50%. has anyone else had this problem and does anyone have any ideas? I have had ZERO claims in my 5 years with them and have checked some of the big insurance companies and their rates are even higher. Any help would be appreciated.

Jeff.

[SinkingFast]

We didn't get a rate jump post filing, but,............ Our insurance carrier hasn't checked our Credit in a year. Lucky us!

Because we moved, we had to find a new insurance carrier so we changed companies. They checked our Credit when we first signed on and then again at the 6 month renewal time period. But that's been over a year ago now. WAY before we ever filed. I don't know what's gonna happen if and when they do check our Credit.

I'd bet if you check your Credit Reports, Geico probably checked your Credit shortly before sending you your renewal bill.

Others have posted about increased premiums, but I don't think I've ever seen a 50% jump before.

I would suggest shopping around, but it sounds like you've done that already.

If you do happen to find a carrier that will take you for less, wait until close to the end of this coverage period to change over. They way they pro-rate the payback on cancellations, you'll wind up paying a hefty penalty to change with a month or 2 of renewal.

[Granny]

We had just changed to Geico from Natiowide for our auto ins. when I filed. A month later, I started checking into a new homeowner's policy because Natiowide was outrageous and State Farm beat Geico and I asked about a credit check and was told there wouldn't be one. End the end, I was able to cut both my homeowner's policy and my auto policy in half.

Good luck.

[emoney]

The insurance companies have discovered a link between poor credit and claims. The Texas Department of Insurance had UT and AM reserach this issue and found the same relationship.
My homeowners insurance went up 40% with Amica. They get what they call an insurance score. My renewal came up 60 days after my filling BK 7. My FICO score went down from 825 to 624.
I talked to Amica 45 about days later, after I had opened a secured cc, and the rate increase was reduced to 20%.
Hopefully by next renewal my FICO scores will be back over 700
Not only will low scores cost you more in insurance, but may affect job opportunties.
Regards,
emoney

[FilingOnMyOwn]

My auto insurance went up 40% for about 6 months, and recently went back down even lower than where it was before. Thats why its so important to rebuild your credit.

[jal1129]

I have GMAC auto insurance. When I pulled my credit report I noticed they have'nt checked my credit in 2 years. Of course before filing I know my scores were below 500 so not sure how much worse they could get!!

[CATCHMEIFYOUCAN]

I had just bought a car a month before my filing date - my insurance is with Allstate, I was paying $800 every six months now Im paying $1200 every 6 months ! I'm accident prone .. dummy me got into a fender bender within a month or two after buying it ! SUCKS !

CMIYC

[DisneyGirl]

My BK was 2 1/2 years ago so my info is dated but we had Pemco auto insurance when we filed. Our rates went up but not that much due to the BK. We switched to Geico since at that time they weren't checking our credit rating. They just gave us a great rate and left it at that. I guess we got lucky?

[robivi3]

One accident in ten years with AIG. That was in the middle of BK. My $600.00 claim I refused. I did not want to increase rates for 600 bucks. I was at fault so the other guy got $293.00. For refusing the claim check I was rewarded with a near 40% drop in rates. On renewal they did a credit check and my rates went up to the old rate plus about 20%. They said I was a greater risk because of poor credit! After that they hosed me every six months. When I switched to Gieco, AIG called and asked what they could do to keep me! I said if I ever renew you can quit hosing me, I was decent with you and you smacked me down more every six months. You made it clear that you don't want my business, so please don't ask again.

Go to Hell AIG, you suck!!

[CindyLou]

I have State Farm and they have NEVER checked my credit...even when I moved from Louisiana to Texas, then from Texas to California and changed agents each time. They told me they do not check credit. I have also taken out a new high dollar life ins. policy and they didn't check my credit. My brother in the middle of filing a chapter 13 in Louisiana and had applied for Geico and was turned down because of his credit, but then went to state farm and had not problem.

[FilingOnMyOwn]

In my experience, state farm has always had much higher rates for me. Even when having bad credit that is taken into consideration by other companies.

[CindyLou]

State Farm:
2006 Jeep Wranger 79/mo
2005 Ford Escape 65/mo
2005 Honda 750cc Motorcylce 55/mo

This is for 100/300 coverage with a $250 deduc. It also covers uninsured motorist, towing, and emergency roadside assistance. I have been with state farm for 14 years. I get a loyalty discount, multicar discount, multiline discount, safedriver discount. The deduct monthly through my checking and include my two life insurance policies and my renters insurance. Give them a try....