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Originally Posted by Michael G.
I read somewhere that once a year when your insurance policy's come due, you should always review your policies with other companies to seek cheaper rates.
Now I been with XYZ company going on 8 years, and there isn't 12 months goes by without them raising my 3-group policy's total premiums by $10- $20 and more in any given year, (auto, home, and umbrella).
Ok, yes, I realize there's inflation, fires, floods for insurance co. to pay for, but is this normal procedure for insurance Co's to treat long time policy holders.
If I switch to other Companies with cheaper rates for now, what's not to say in 12 months, the same thing will happen, rates go up.
Am I better to bite the bullet and stay put?
I need some guidance here people.
Cheers!
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Far as insurance and cost. You are buying insurance as a fee to have others share your risk.
You can self insure assuming you do not have a mortgage or a car loan. The people holding your mortgage or car loan will demand you have insurance.
Cost of insurance can be reduced by you increasing the deductible. In other words you are self insuring the first whatever number you select.
Companies have a rating, How easy they are to deal with if you have a claim. What you are paying for in insurance is others sharing your risk. If, the company has a reputation for not paying, they can of course be cheaper. They are not all the same.
Staying with a company. People tend to think I am a good customer been with them for 12 plus years. The reality is it is a very competitive industry. The company will likely offer lower rates to attract new customers than to existing customers.