The insurance industry has become predatory

[OldSchoolBoats]

Not going to make this long and drawn out, but the insurance industry is going to bankrupt families.

Obviously health went full insanity after Obummer Care was passed, but now they are really nailing people along all the other coverages. God help you if you live within 10 miles of a previous fire for homeowners.

Can't even imagine if you have an accident or tickets for auto.

These premiums are just unbelievable anymore.

I feel insurance poor right now.

 

[dribble]

Four cars, one street bike and a boat. I literally feel your pain.

 

[Roosky01]

I can't see how some of these insurers are going to make it?

USAA is jacking rates 40-50% this year on people that have been with them for decades and not a single claim. WTF? Their customers are leaving in droves...

 

[C-Ya]

You guys won’t like Florida…….. We lead the nation in high $ insurance!

 

[RogerThat99]

My insurance agent told me yesterday that several insurance companies are trying to move away from writing policies in California.

 

[Singleton]

3 cars, 1 boat, 2 quads, 1 golf cart, 1 ToyHauler, House, Personal Property and the Umbrella.
Not going to add all those up. Don’t want to get pissed at the checks I write for insurance.

Luckily even with my claims, the premiums have all stayed stead (no huge increases or decreases).

even better luck, when my kid was 16, he wrecked twice within 6 months (1 his fault, 1 not). Insurance stayed the same and his at fault accident had over 20k in repairs between the 2 cars.

 

[wet hull]

Will see what happens with ours, I have equipment and 3 cars, boat plus all other insurable crap. My cousin Demolition company in San Diego auto policy for cars, trucks and tractors just went from $30k year to $50k. Zero claims against policy. They are shopping as well.

 

[THE WIDGE]

My insurance agent told me yesterday that several insurance companies are trying to move away from writing policies in California.

Connect through Costco is not writing new auto or home policies in Ca

 

[CLdrinker]

My wife is in insurance already hearing threats of layoffs.

She is likely safe. Even if she isn’t we have been thinking about her leaving. So it’s whatever.

Luckily we have Biden in the whitehouse he has a record of being very savy with business. He will turn this economy around. Biden ‘24

 

[OldSchoolBoats]

What's going to happen when people just stop paying? Yes, we have a 17 year old on our policy but she drives a modest 2016 Ford Escape. We get good students discount because of her 4.5 GPA. We have no accidents, no tickets and no claims.

2016 Escape and 2023 Yukon on the policy and premium with AAA is $5718/year, so shopped with one agent I know and he came back with a premium of $3673 for 6 months!!

Don't even get me started with our commercial policy, workers comp, GL and equipment insurance.

Getting buried alive it feels like and I am just waiting for our house to be considered a fire zone since we were on evacuation watch during the fire out here last year.

 

[Big B Hova]

At least you didn't light your vacation home on fire before boating season.

 

[Singleton]

What's going to happen when people just stop paying? Yes, we have a 17 year old on our policy but she drives a modest 2016 Ford Escape. We get good students discount because of her 4.5 GPA. We have no accidents, no tickets and no claims.

2016 Escape and 2023 Yukon on the policy and premium with AAA is $5718/year, so shopped with one agent I know and he came back with a premium of $3673 for 6 months!!

Don't even get me started with our commercial policy, workers comp, GL and equipment insurance.

Getting buried alive it feels like and I am just waiting for our house to be considered a fire zone since we were on evacuation watch during the fire out here last year.

The 5718 seems high.
2014 Jeep JKUR, 2014 Yukon, 2017 F350 with full coverage and limits set so my umbrella kicks are less. About 3k for all 3 combined.

 

[JB in so cal]

'10 f 150, '18 gmc canyon, '21 grand Cherokee: $2700 AAA. Boat $570. Fifth wheel $220. AAA too

 

[OldSchoolBoats]

'10 f 150, '18 gmc canyon, '21 grand Cherokee: $2700 AAA. Boat $570. Fifth wheel $220. AAA too

Must have that senior discount

 

[Mandelon]

My health insurance payment is more than the house payment

 

[bonesfab]

So I just got my renew policy for hagerty for 9 of my cars on the collector car policy. 1900.00 a year stated value. Pretty good. The a few days later I get a letter stating they are not renewing my shop insurance this year. This is after it went from 12k to 18k last year. Been in business 20 years and no claims nothing. Absolute bullshit. And health insurance keeps going up and it is almost unusable witn the deductibles. Workman’s comp can kiss my ass also.

 

[monkeyswrench]

Workman’s comp can kiss my ass also.

Try looking at it for roofing. F me, it was a main reason to hit the bricks. To be legal, WC insurance was the most costly part of the business.

 

[bonesfab]

Try looking at it for roofing. F me, it was a main reason to hit the bricks. To be legal, WC insurance was the most costly part of the business.

One of my good customers was a framing contractor. 450 plus on payroll. I just about shit thinking of writing that check every month.

 

[shintoooo]

Between cars, health, home, and business insurance, I’m forking out $30K-$35K a year for insurance. No claims, no tickets, nothing.

 

[bonesfab]

Between cars, health, home, and business insurance, I’m forking out $30K-$35K a year for insurance. No claims, no tickets, nothing.

Probably pretty close to that.

 

[Fastdadtsmith]

How many of you guys do the grocery shopping? I'm glad our president has inflation under control. Wish I liked Bud Light, seems to be reasonable right now.

 

[sirbob]

Haha - what do you expect when you mandate coverage and…

Mandate that companies make a profit to maintain solvency so they can pay out if needed?

 

[Ace in the Hole]

How many of you guys do the grocery shopping? I'm glad our president has inflation under control. Wish I liked Bud Light, seems to be reasonable right now.

I went grocery shopping for a full house for the first time in a while a few days ago… What would’ve cost me around $180-$200 in Texas two years ago which is probably the last time I shopped like this cost me $478. We don’t have mean tweets anymore though!!! the petrodollar is crashing in the world is moving away from American influence. The child predators dictate our beer, And the rhinos in office are being paid to sit and watch it burn… thank God we have Joe Biden in office right? The man who denies the existence of his own grandchild like the pile of shit he is.

@OldSchoolBoats our car insurance doubled in the last 12 months… And I’ve shopped the shit out of it. No changes just increased premiums.

 

[LargeOrangeFont]

Haha - what do you expect when you mandate coverage and..

Mandate that companies make a profit to maintain solvency so they can pay out if needed?

This.

 

[Cole Trickle]

Investigate insurance company losses over the last couple quarters.

They have been getting killed.

Billions lost

Nobody turns in claim’s except for all the people that do. Companies are fleeing the state due to regulations and no longer having the ability use the same statistics they did 20 years ago.

Cell phone has ruined car insurance and people thinking homeowners policies are maintenance policies is insane. Nobody knows how to fix simple issues anymore and cars have gotten so fancy they cost a fortune to fix after minor accidents. (Do a search for the 42k rivian claim in a parking lot type accident)

It’s bonkers 25+ years in the business and I have never seen these kind of issues or the claims we see turned in on the daily….very not fun over the past 9 months.

 

[Wheeler]

Investigate insurance company losses over the last couple quarters.

They have been getting killed.

Billions lost

Nobody turns in claim’s except for all the people that do. Companies are fleeing the state due to regulations and no longer having the ability use the same statistics they did 20 years ago.

''Cell phone has ruined car insurance'' and people thinking homeowners policies are maintenance policies is insane. Nobody knows how to fix simple issues anymore and cars have gotten so fancy they cost a fortune to fix after minor accidents. (Do a search for the 42k rivian claim in a parking lot type accident)

It’s bonkers 25+ years in the business and I have never seen these kind of issues or the claims we see turned in on the daily….very not fun over the past 9 months.

You mention ''cell phone'' are you referring to the misuse and resulting crashes from the use of cell phones while driving?

 

[EmpirE231]

Ye be warned! It’s going to get a lot worse in CA

but honestly though…. Look around and see how many accidents are happening on the daily. You run a resto company…. How many slab leak home claims are you seeing the in the 50-80k range. That one claim just wiped out 66 home polices with no claims. How many of your friends / family / people on this site have claims ? Just last week there was a thread about a pretty generous payout on a “totaled RZR” that only needed 5k worth of repairs.

I’m in the insurance biz… been here going on 23 years and I’ve never seen anything like it. Everyone likes to think that carriers are making so much money… in reality making 3 cents on the dollar is considered a profitable year. The last 2 years on average most carriers have been losing 15-20 cents on the every dollar they take in premium. Some way higher. Everyone wants their car “totaled out” or a kitchen remodel when something happens and they need to use their insurance. In CA the other party is always “injured” in a 2mph rear end collision. Body shops are taking 40 days for a average repair.

I’d say now more than ever there are more people driving around uninsured due to having no options or will not pay the crazy premium for a new policy. Almost all auto insurance carriers currently heavy restrictions (aka do not want new business). Home insurance has been fairly tight the last year or so and it just got worse. I cannot imagine how many deals will be falling out of escrow due to not being able to find someone to insure the property.

I wish it wasn’t like this… but the #’s don’t lie. I think culture has changed from people taking pride in having zero claims, to now thinking “well this is what I’m paying for” and the people with no claims get caught in the crossfire. A lot of people are always looking to “come up” when a claim arises these days. To my understanding State Farm has stopped new biz in socal, wawanessa and farmers both recently got approved for 40% + rate hikes, progressive 18% ,lots of carriers have 10-20 day holds on new business, some have just left the state. Most carriers that just received approval for rate hikes have already filed their next rate hike Etc etc. I can’t wait to get “good news” from the carriers, but I’m not holding my breath. rates are gonna get a whole lot higher before things level out.

Also the CA department of insurance is a huge cause of all of this. They did not review or approve any rate hikes for the last 2 years… which has caused the scenario we are in today. Rather than small gradual increases… we now have carriers needing so much rate… it’s causing them to shut down business in the state. Just incase you’re wondering… the CA insurance commissioner is a major lib as well, look for him to be running for governor soon.

 

[Cole Trickle]

You mention ''cell phone'' are you referring to the misuse and resulting crashes from the use of cell phones while driving?

Yes… all the sub 30 crowd do is use the phones while driving and crash into each other. I don’t think they for the most part are even car people it’s just a needed way to get from point a to b.

Used to be sub 24 year olds that mashed up cars. Now about all segments are bad.

 

[Mototrig]

I can't see how some of these insurers are going to make it?

USAA is jacking rates 40-50% this year on people that have been with them for decades and not a single claim. WTF? Their customers are leaving in droves...

USAA jacked up my cost 50% this month by increasing the miles we drive each car by 5x over. They did it without being prompted by me. When I called yesterday the operator was nice enough to explain to me that USAA was doing this to customers who didn't update the milage for the renewal. She also explained that she's been fixing everyone's mileage all week when customers call.

I've missed the milage update a few times over the last 23 years but never have they so blatantly overcharged like this.

 

[EmpirE231]

Investigate insurance company losses over the last couple quarters.

They have been getting killed.

Billions lost

Nobody turns in claim’s except for all the people that do. Companies are fleeing the state due to regulations and no longer having the ability use the same statistics they did 20 years ago.

Cell phone has ruined car insurance and people thinking homeowners policies are maintenance policies is insane. Nobody knows how to fix simple issues anymore and cars have gotten so fancy they cost a fortune to fix after minor accidents. (Do a search for the 42k rivian claim in a parking lot type accident)

It’s bonkers 25+ years in the business and I have never seen these kind of issues or the claims we see turned in on the daily….very not fun over the past 9 months.

Literally had a guy call the other day asking if his policy would cover his pool remodel… you know … because it needs plaster redone and the equipment is old lol

 

[EmpirE231]

You mention ''cell phone'' are you referring to the misuse and resulting crashes from the use of cell phones while driving?

The average rear end collision went from impact at or under 10mph to 25-30mph. By the time the driver looks up from their phone it’s too late to slows down. Boom… major claim.

 

[Wheeler]

The average rear end collision went from impact at or under 10mph to 25-30mph. By the time the driver looks up from their phone it’s too late to slows down. Boom… major claim.

Thanks for the input.

 

[Done-it-again]

We are looking at $21k for general liability/auto and another $20k for workers comp.

 

[Cole Trickle]

USAA jacked up my cost 50% this month by increasing the miles we drive each car by 5x over. They did it without being prompted by me. When I called yesterday the operator was nice enough to explain to me that USAA was doing this to customers who didn't update the milage for the renewal. I've missed the milage update a few times over the last 23 years but never have they so blatantly overcharged like this.

75% of my client base called and advised they were working from home during Covid change it to pleasure usage and reduce the annual mileage.

3 years later not a single client has called back to update the usage and raise the price even though most people are back to commuting.

Car that was supposed to be driven 5k a year goes into body shop and has 35k more in a 2 year period. Company runs carfax for service records and can see they are averaging 15k a year.

Also people are flat out fraudulent about how much they drive as they have figured out it’s one of the biggest factors in the premium.

Another issue is the types of cars young drivers now have access to. Kids no longer drive 15+ year old shit boxes that just have liability. Lots of leases and most have payments so they need physical damage coverage.

 

[Cole Trickle]

Literally had a guy call the other day asking if his policy would cover his pool remodel… you know … because it needs plaster redone and the equipment is old lol

We could probably write a book about the idiots we talk to on the daily…haha

 

[Wheeler]

We could probably write a book about the idiots we talk to on the daily…haha

and here we are.

 

[Cole Trickle]

and here we are.

Na… I happily answer legit questions and do my best to explain. Some of my clients flat out shouldn’t be driving.

I bet I have 90% of my trouble from 20 clients. I have clients with 1 claim in 39 years and I have clients with 20 in 5 years.

Scary part is those are the jerk clients that are rude to my staff I have to get involved with.

 

[OldSchoolBoats]

Ye be warned! It’s going to get a lot worse in CA

but honestly though…. Look around and see how many accidents are happening on the daily. You run a resto company…. How many slab leak home claims are you seeing the in the 50-80k range. That one claim just wiped out 66 home polices with no claims. How many of your friends / family / people on this site have claims ? Just last week there was a thread about a pretty generous payout on a “totaled RZR” that only needed 5k worth of repairs.

I’m in the insurance biz… been here going on 23 years and I’ve never seen anything like it. Everyone likes to think that carriers are making so much money… in reality making 3 cents on the dollar is considered a profitable year. The last 2 years on average most carriers have been losing 15-20 cents on the every dollar they take in premium. Some way higher. Everyone wants their car “totaled out” or a kitchen remodel when something happens and they need to use their insurance. In CA the other party is always “injured” in a 2mph rear end collision. Body shops are taking 40 days for a average repair.

I’d say now more than ever there are more people driving around uninsured due to having no options or will not pay the crazy premium for a new policy. Almost all auto insurance carriers currently heavy restrictions (aka do not want new business). Home insurance has been fairly tight the last year or so and it just got worse. I cannot imagine how many deals will be falling out of escrow due to not being able to find someone to insure the property.

I wish it wasn’t like this… but the #’s don’t lie. I think culture has changed from people taking pride in having zero claims, to now thinking “well this is what I’m paying for” and the people with no claims get caught in the crossfire. A lot of people are always looking to “come up” when a claim arises these days. To my understanding State Farm has stopped new biz in socal, wawanessa and farmers both recently got approved for 40% + rate hikes, progressive 18% ,lots of carriers have 10-20 day holds on new business, some have just left the state. Most carriers that just received approval for rate hikes have already filed their next rate hike Etc etc. I can’t wait to get “good news” from the carriers, but I’m not holding my breath. rates are gonna get a whole lot higher before things level out.

Also the CA department of insurance is a huge cause of all of this. They did not review or approve any rate hikes for the last 2 years… which has caused the scenario we are in today. Rather than small gradual increases… we now have carriers needing so much rate… it’s causing them to shut down business in the state. Just incase you’re wondering… the CA insurance commissioner is a major lib as well, look for him to be running for governor soon.

How true is something like this, considering the economic conditions we face right now?

I mean if they can't make returns off premiums in the market, it seems like that would be a major catalyst to rate Increases?

Yes, we take calls multiple times a day from people that want to use insurance for sub $5k jobs. We try our best to educate them on the long term issues they will have by going that route. I have gone as far as to offer 90 days same as cash to help some people. We understand how important loss ratios are and do whatever we can to not file a claim, but some people just don't get it.

 

[Wheeler]

Na… I happily answer legit questions and do my best to explain. Some of my clients flat out shouldn’t be driving.

I was only poking fun at myself. Have the Asians as a whole gotten better?

 

[Roosky01]

How true is something like this, considering the economic conditions we face right now?

I mean if they can't make returns off premiums in the market, it seems like that would be a major catalyst to rate Increases?

View attachment 1225968


Yes, we take calls multiple times a day from people that want to use insurance for sub $5k jobs. We try our best to educate them on the long term issues they will have by going that route. I have gone as far as to offer 90 days same as cash to help some people. We understand how important loss ratios are and do whatever we can to not file a claim, but some people just don't get it.

They are the same flakes whose ass is planted in an ER waiting room seat 4+ times a month…

 

[Cole Trickle]

I was only poking fun at myself. Have the Asians as a whole gotten better?

Sub 35 year old caucasians are the worst. The entitlement is very very high.

 

[530RL]

I was only poking fun at myself. Have the Asians as a whole gotten better?

Not in the Dodge trucks?

 

[Big B Hova]

Joe you have 5 kids? Just wait till they are all driving age

 

[JB in so cal]

Must have that senior discount

Oh, that's funny!

 

[Wheeler]

Joe you have 5 kids? Just wait till they are all driving age

He already had to get a second job to pay for his retirement.

 

[Wheeler]

Must have that senior discount

BNAG!

 

[HTTP404]

What's going to happen when people just stop paying? Yes, we have a 17 year old on our policy but she drives a modest 2016 Ford Escape. We get good students discount because of her 4.5 GPA. We have no accidents, no tickets and no claims.

2016 Escape and 2023 Yukon on the policy and premium with AAA is $5718/year, so shopped with one agent I know and he came back with a premium of $3673 for 6 months!!

Wow those numbers are crazy for the auto insurance. Do you have all the titles in your name and have your kid as an insured driver on your policy?

 

[Todd Mohr]

Nice timing on this thread, added my 16 year old daughter today. 800 a month for 3 cars, I have 1 ticket , she has the good grade discount and a defensive driving class for discounts. More than double, guess what I’m doing tomorrow. Geico can suck my balls. 3 cars, 2 homes, 2 boats and a jet ski. Lots of policies if someone can be competitive, no claims ever. Looking for advice if there is a better solution.

 

[OldSchoolBoats]

Wow those numbers are crazy for the auto insurance. Do you have all the titles in your name and have your kid as an insured driver on your policy?

The Escape we own and are financing the Yukon. Daughter is a driver on the policy but for the Escape only. She is excluded from Yukon.

 

[HTTP404]

The Escape we own and are financing the Yukon. Daughter is a driver on the policy but for the Escape only. She is excluded from Yukon.

That seems crazy high. I have older vehicles so IDK.