Insurance costs

[padgett]

I have my auto insurance with one of the majors that once only sold to federal employees. In the last year my premium with no claims has increased a touch over 25%.

After an hour on the phone the explination seemed to be that 4% was a state allowed increase and the rest was because my cars have gotten older. (Four that range from 1986 to 1992)

This is enough to make me do some comparison shopping or is the entire industry experienceing this ? YWTK

[Guest Mc_Reatta]

That's BS. Your insured value decreases on an older car unless it is a true collectable. They just want to rip you off for more than 4%.

I'd definitely shop around. Did you a least get the toasted buttered English muffin with the bill?

[jonlabree]

Try, American Family.

[KDirk]

Padgett,

I call "BEE ESS" on that too. My costs have gone down each of the past 5 years on a per vehicle basis (4 vehicles total now, all 1995 or older). Overall, they have gone up because I kept adding additional vehicles (1988 Reatta this year brings me to four) but that was to be expected.

I will point out that I am keeping full coverage on both Reattae and the Cadillac, $500 deductibles all around. What is interesting is that the 88 costs more to insure than the 91. I haven't inquired why, but suspect it is [at least partly] the lack of airbag on the 88 vs. the 91. Since all collision repair parts would be nearly identical (and by extension cost to repair), I cannot think of another reason why there would be a difference in premiums.

Try to avoid the major national outfits (Gek-co, Regressive, etc.) as I have found they are almost always higher than having an independent agent shop the policy to several carriers and go with the best quote. Remember also that the larger the insurer, the more claims they pay, and the more they have to increase premiums to recover the payouts. With the bad weather this year (tornadoes, hailstorms and flooding) I imagine they have been nicked pretty badly with claims. "Stait Harm" falls into this category as well, since they carry so many auto policies nationally.

*Names changed to protect the guilty.

KDirk

[Guest Richard D]

Padgett, I have the folks that want to be your good NEIGHBOR(CORRECTION, I POSTED THE WRONG TAG ORIGINALLY) and they could not have been faster or nicer to have the windshield replaced in my Reatta, installed within 24 hours of my claim. I have had them for 15 years and that was my first claim, no tickets. My rate has gone down $80 a year starting this year, for Reatta and Skylark (declared value on Skylark, must be kept in garage) is less than $550.00 a year. All those cute commercials must cost $$$$, they run them four time an hour, or so it seems.

Edited July 23, 2011 by Richard D (see edit history)

[charlie1]

Be careful changing insurance companies when you become a senior citizen and you have been with a company a long time. 15 minutes on the phone could be a disaster.

[reattadudes]

Padgett,

I wholeheartedly recommend Hagerty Insurance. a collector car policy with them is quite reasonable, and there will be no issues with valuation if there is a claim. if you're insured with one of the "majors", this will be a VERY big issue, unless you have stated value coverage with a company like State Farm. they offer it, but it is quite expensive.

I have two Reattas on my Hagerty policy, a 1988 and my 1990 convertible. the coupe is insured for $15,000, and the convertible, $20,000. both premiums (total) are $596 per year. that's for both cars.

here are their requirements:

1) car kept in a locked garage when not in use.

2) no one in the household under 21.

3) you have a newer vehicle besides your collector car.

4) you cannot drive your car to work every day. four days, fine; five days a week, no.

all you have to do is tell them how many miles you'll be driving per year, and they will write it into the policy.

this is much better than many old fashioned collector polices, as they forbid you from driving your collector car ANYWHERE except to and from sanctioned car club events.

I've recommended Hagerty to all my customers, and over 1,000 are now insured with them. several customers have had claims, and there are no issues whatsoever. claims are processed and checks sent out immediately.

the worst thing you can do is remain complacent with your present insurance with the "majors". all the adjusters are playing big time hardball now, and some companies (Progressive is by far the worst) are offering initial settlements in the $500 range. if we get involved, we get the settlements up where they belong, in the $6,500-$8,000 range for a 1988-1990 coupe with about 180,000 miles. it's a lot of work, and should not be necessary.

with Hagerty, there is never a problem.

Mike Rukavina

buickreattaparts.com

[DAVES89]

Try, American Family.

Jon,

I had American Family for years. Just switched to Farmers. I have two Reattas, 2004 Chrysler 300, 1993 boat, 1999 camper, house and umbrella policy. My premium dropped $100.00 a month.

I would definately look around...

[jonlabree]

With American Family I pay $10.12 a month for complete coverage 365 days a year on my Reatta w/ agreed value of $18,000.00

They aslo have my house, and two other cars. They are all cheaper than my previous insurance Co.

[padgett]

I had all of my insurance with Allstate for many years until they dumped my homeowner's (for living in Florida I think) so switched the Auto as well. Was happy until they jumped my premium 25% in the last year with no claims. I find that unreasonable.

[johnemac]

American Family has been good for me. I thought they were going to laugh at me when I brought in the red 225,000 mile (then) car for hail damage. They treated it as if it were a new car, counted the dings and added the amount for a new windshield.

[padgett]

Thanks but American Family seems to have no agents in Florida.

[Ronnie]

Hagerty is the way to go if the car is not a daily driver. Mine is insured for $5500. Full coverage ($300,000) is $207 per year with no deductible. Also includes some roadside assistance and towing. There are some restrictions: must be in a garage is one.

[padgett]

Should mention that these are my daily drivers (four on that policy), others have been with JCTaylor for years. Their policy reads "These vehicle(s) ... will not be used primarily for the transportation of passengers or goods."

You can drive occasionally to test repairs and keep everything working properly. How does the Hagerty policy read ?

[Ronnie]

You can drive anywhere, anyplace, anytime. There is a mileage restriction but it is a lot more than I normally drive my Reatta.

Here is the restrictions I posted to the forum back when I first took out the Hagerty insurance.

• Each licensed driver in your home must have an insured daily driver vehicle.
  
• The "classic car" you are insuring cannot be your main source of transportation.
  
• The car you are insuring cannot be driven over 2500 miles per year.
  
• The car you are insuring must be stored in a garage.
  

[Booreatta]

You might want to also look at Grundy, it seemed to me that there were fewer hoops to jump thru. I have 4 cars with them, the Riviera, Reatta, Fiero, and the Mustang and my cost is $550.00 per year and I can drive anywhere and anytime and have 0 ded and towng to the nearest repair garage. Both the Riv and the Reatta are ins for agreed value of $15,000.00 each. But then I live in Kansas and rates seem to be less here than other parts of the country

Chuck Kerls

[wht89reatta]

Do any of you have any experience with ameriprise finincal, I went with them for home ins and am thinking of getting auto with them too, eventually... for now im with progressive, lets hope i dont have a claim...

[charlie1]

We have 4 cars 2 houses and a Umbrella policy with State Farm. The 1989 Riviers qualifies for Classic car plates in Pa. I checked with State Farm and they do not offer any type of Classic car insurance for the 1989 Riviera. I did some checking around and found some good rates with a Agreed Value Provision for the car at $5000. I included the maximun Liability that each company offered for other personal coverage. I checked with State Farm and they advised our $5 million dollar Unbrella policy would nearly double if we moved the Riviera away from State Farm. In essance it was more important for us to protect ourselves instead of the 89 Riviera.

Each state and insurance company has different rules BUT this was my experience

[Bushwack]

I have Safeco on the ZR1 at a stated $30,000, 5,000 miles driving limit at $460/yr. Hagerty (good but had some difficulties insuring a 69 1/2 Trans Am) and have been a happy camper with JC Taylor the past couple years.

The Reatta below is insured at $15,000 w/ JC Taylor for $190/yr. Recently insured the Caprice at $22,000 for $210.00/yr. Hagerty was competitive but stayed with Taylor.

Not sure if living in SoCal makes a difference in premiums vs living most anywhere else.

[charlie1]

While I treasure all my old cars it is more important for us to protect ourselves with proper Liability coverage from a REPUTABLE company. With a proven track record defending insured.

[Ronnie]

While I treasure all my old cars it is more important for us to protect ourselves with proper Liability coverage from a REPUTABLE company. With a proven track record defending insured.

Do you have any idea how Hagerty would be in that respect?

[charlie1]

No... but prefer a name coumpany. Without going into detail we were recently sued by a family for a amount that exceeded the $500K liability that all our cars have. Fortunately we had the $5million Umbrella policy.

State Farm supplied the legal "A" team to defend us. We won and life goes on.

Just protect yourself first. Cars can be replaced.

Today it is easy to get wiped out!

I highly recommend a Umbrella policy for everyone!

[Guest Chubb Car Guy Jim]

Padgett -

As an insurance "insider", I'll try to share some insights that might explain why your rates went up. Just do me a favor - don't shoot the messenger!

Private passenger (daily driver) rates are very complex these days. Think about when auto manufacturers first installed computers in cars - all of a sudden, the need for "computer diagnostics" made it nearly impossible for the average person to tinker on their ride.

These days, it's kind of the same story with auto rates - most companies use "black box" pricing that relies on dozens (or hundreds) of inputs. Change one input, and it impacts the weighting of all the other inputs. Sound confusing? It is.

Having said that, here are some of the factors (other than accidents) that can impact your rates. Note, these comments are generic in nature and may not apply to your situation:

- Payment history - being late on payments or having your policy cancelled for non-payment will often trigger a rate increase;

- Driving records - if anyone listed on your policy picked up a ticket - even a seat belt violation - this could impact your rates;

- Things you wouldn't normally consider claims - consumers typically don't consider windshield losses and towing as "claims", but they still count;

- Changes to the policy - if you made changes during the last policy term (added new drivers, changed cars), the changes were prorated. You'd now see the full impact on the annual premium;

You may want to comparison shop with other carriers, but most of us use similar methods to determine rate - meaning, the factors used by your current company will likely cause other carriers to respond the same way.

Hope this helps - Jim