What would it take for you to switch H&A insurance carriers?

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PrestonSea
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What would it take for you to switch H&A insurance carriers?

Post by PrestonSea »

Hello there. It’s come time for us to renew our home and auto insurance again and I’m shopping rates. Currently we have Safeco and I found that State Farm will be around $350 cheaper per year for the same coverage. The other quotes I’ve gotten have been generally higher, some by quite a bit.

Currently, we have an independent agent that we get our Safeco Insurance through and while I like the agent, we had an auto claim last year, and were not very happy with the speed and communication in the process with Safeco.

I’m curious what others have done. It’s probably a personal question, but is $50 a month enough to go through the hassle of switching?
exodusNH
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Re: What would it take for you to switch H&A insurance carriers?

Post by exodusNH »

PrestonSea wrote: Thu Sep 22, 2022 7:24 am Hello there. It’s come time for us to renew our home and auto insurance again and I’m shopping rates. Currently we have Safeco and I found that State Farm will be around $350 cheaper per year for the same coverage. The other quotes I’ve gotten have been generally higher, some by quite a bit.

Currently, we have an independent agent that we get our Safeco Insurance through and while I like the agent, we had an auto claim last year, and were not very happy with the speed and communication in the process with Safeco.

I’m curious what others have done. It’s probably a personal question, but is $50 a month enough to go through the hassle of switching?
$350 is $350.

My friend is a State Farm agent. He's been complaining about similar things. (Agents are basically contractors. All the backend -- claims processing, payment collection, setting rates -- is handled by State Farm corporate. Since COVID, he's been complaining about the speed of the backend.
Silverado
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Re: What would it take for you to switch H&A insurance carriers?

Post by Silverado »

For me, it would take a bad experience with my current company. I have USAA, have used them for 29 years. It’s not just the cost, it’s the service. I have had to use insurance a couple times, and the service I received was great as far as I could tell. I read on here and other places about difficulties with various companies, and even if I am paying a few extra hundred a year (and no idea if I am) having confidence that in the stressful time of needing it likely will be smooth makes it worth it.
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TJat
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Re: What would it take for you to switch H&A insurance carriers?

Post by TJat »

I imagine that insurers are facing similar staffing shortages as every other customer facing business. A bad claims experience isn’t great, but it might not be unique to any one company over the past few years.

Moving to State Farm would sever the relationship with the IA (though you could always switch back if you leave State Farm ). Depending on how often you shop or how many questions you have, 350 might not be worth it.
Iorek
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Re: What would it take for you to switch H&A insurance carriers?

Post by Iorek »

I like having an independent agent because I can call and ask “do I need to file a report about this” whereas my impression is if I call state farm that is filing a report.

I used to change auto insurers every few years— think there is a study someone did saying they give worse pricing to long standing customers than new ones but then it became hard to find better prices without going to companies i don’t quite trust to have good service.
Normchad
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Re: What would it take for you to switch H&A insurance carriers?

Post by Normchad »

I shop that stuff every 3 years or so, and I always end up switching.

I would switch for the $350 savings.

I’ve been with just about every insurance company now, and I don’t have any reason to prefer one over another, ex rot fur the price.
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galawdawg
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Re: What would it take for you to switch H&A insurance carriers?

Post by galawdawg »

PrestonSea wrote: Thu Sep 22, 2022 7:24 am Currently we have Safeco and I found that State Farm will be around $350 cheaper per year for the same coverage.

...we had an auto claim last year, and were not very happy with the speed and communication in the process with Safeco.

It’s probably a personal question, but is $50 a month enough to go through the hassle of switching?
Wouldn't $350 per year be about $30 per month in savings, not $50 per month??

That being said, you had an unsatisfactory experience with your current insurer and they are more expensive than State Farm and you aren't sure whether to switch? Let's reverse the question...why wouldn't you switch?

One caveat...be absolutely certain that the quotes are comparing apples to apples. Ensure that every detail about the quoted policies is exactly the same. Deductibles, limits, specific coverages and so on. You don't want to switch to save $30 a month only to find out the savings resulted from losing rental car, towing and road assistance, not from lower-cost coverage.
Topic Author
PrestonSea
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Re: What would it take for you to switch H&A insurance carriers?

Post by PrestonSea »

galawdawg wrote: Thu Sep 22, 2022 8:13 am
Wouldn't $350 per year be about $30 per month in savings, not $50 per month??
Ha, OMG, yes. Too early I guess for math.

I do appreciate the thoughtful answers that everyone is giving. Still deciding what we are going to do. Part of me thinks I’ve done all of the legwork already getting the quotes anyway so there’s not really that much left to be done to switch.
HomeStretch
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Re: What would it take for you to switch H&A insurance carriers?

Post by HomeStretch »

If you are thinking of switching your homeowners policy, find out if the new insurer requires an on-site inspection shortly after the new policy start date.

A couple neighbors had issues due to roofs (in good condition) due solely to age. One neighbor was required to replace a 20-year old roof or the new carrier would cancel coverage.
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orcycle
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Re: What would it take for you to switch H&A insurance carriers?

Post by orcycle »

I’m in the process of switching now, after I added a new car and decided to comparison shop after hearing what the jump in premiums would be. We had MetLife for years, it got bought by Farmers, and I knew I was paying more than I should but inertia kept me there. Plus I felt I got good service. But when I asked about any kids in college discount or exclusions from certain cars, I wasn’t happy with the responses so I shopped around (called Costco and an independent agent who came up with Safeco, actually).

I am switching all my major policies: home; auto; umbrella; rental property; boat. For the first three, I will cut my cost almost in half! I could possibly save more by chopping up my policies but decided to keep all of them with Safeco to keep a single agent for simplicity.

But I will remember to comparison shop every few years because I do believe they keep increasing rates on existing customers as someone else said.
Nowizard
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Re: What would it take for you to switch H&A insurance carriers?

Post by Nowizard »

Companies count on people avoiding the hassle of switching, but you have the information necessary at hand. We made a mistake in actually making a payment on a switch which was then followed by, "Oh, you will be contacted by our appraiser who will come by your home to be certain it appraises for the amount covered. That will take an hour of your time. Here is the information you will need to have available for the appraiser." We made a stink and cancelled the policy changes even though they were significant.

Tim
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beyou
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Re: What would it take for you to switch H&A insurance carriers?

Post by beyou »

HomeStretch wrote: Thu Sep 22, 2022 8:33 am If you are thinking of switching your homeowners policy, find out if the new insurer requires an on-site inspection shortly after the new policy start date.

A couple neighbors had issues due to roofs (in good condition) due solely to age. One neighbor was required to replace a 20-year old roof or the new carrier would cancel coverage.
Yeah, I have not shopped around primarily for this reason.
At some point I’ll replace the roof at a time of my choosing (hopefully), and then shop homeowners.

Auto is another story, any accidents or tickets, then not sure how long to wait before you become an attractive new customer. One kid did put my car in the body shop a few years ago, not sure how far back they look.
HomeStretch
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Re: What would it take for you to switch H&A insurance carriers?

Post by HomeStretch »

beyou wrote: Thu Sep 22, 2022 11:26 am
HomeStretch wrote: Thu Sep 22, 2022 8:33 am If you are thinking of switching your homeowners policy, find out if the new insurer requires an on-site inspection shortly after the new policy start date.

A couple neighbors had issues due to roofs (in good condition) due solely to age. One neighbor was required to replace a 20-year old roof or the new carrier would cancel coverage.
Yeah, I have not shopped around primarily for this reason.
At some point I’ll replace the roof at a time of my choosing (hopefully), and then shop homeowners.

Auto is another story, any accidents or tickets, then not sure how long to wait before you become an attractive new customer. One kid did put my car in the body shop a few years ago, not sure how far back they look.
I was told by an insurance agent that insurers look at home/auto claims for the last 3 or 5 years depending on the state or insurer. If the home claim or auto claim/body work was reported (insurers report claims + my state requires body shops to report such repairs), it shows up on your CLUE reports which is where insurers’ underwriting groups pull claims information from. At least that’s my non-expert understanding.

It’s good to look at the CLUE reports before getting insurance quotes. I received 2 payments related to 1 past homeowners’ claim. The way it was shown in the CLUE report looked like 2 claims to the insurers quoting my new package. 2-3 claims and some insurers decline to quote or cancel policies.
Topic Author
PrestonSea
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Re: What would it take for you to switch H&A insurance carriers?

Post by PrestonSea »

So, just as follow up, one of the quotes I didn’t have yet was through my own agent, who is independent and works with multiple carriers. I told her about the increase and that I wasn’t very happy with the safeco experience and today she came back with a new quote, that will save about $650 a year. The only issue is the homeowners is with a company called Openly. I had never heard of them. It’s been around since 2017 and appears to be essentially a front end or customer service offerings for another insurance company, Clear Blue Insurance Group that I’ve also never heard of. They are rated A- by AM best.

From what I found online, the user ratings appear to be positive though there’s not a lot to go on. I’m curious if anyone here has any experience with this company?
exodusNH
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Re: What would it take for you to switch H&A insurance carriers?

Post by exodusNH »

PrestonSea wrote: Tue Sep 27, 2022 8:48 pm So, just as follow up, one of the quotes I didn’t have yet was through my own agent, who is independent and works with multiple carriers. I told her about the increase and that I wasn’t very happy with the safeco experience and today she came back with a new quote, that will save about $650 a year. The only issue is the homeowners is with a company called Openly. I had never heard of them. It’s been around since 2017 and appears to be essentially a front end or customer service offerings for another insurance company, Clear Blue Insurance Group that I’ve also never heard of. They are rated A- by AM best.

From what I found online, the user ratings appear to be positive though there’s not a lot to go on. I’m curious if anyone here has any experience with this company?
Make sure you're comparing prices for the same types of coverage, e.g. both HO5, not HO3 to HO5.
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