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 Posted: Fri Dec 12, 2008 3:58 am Post subject: Is it good to change companies |
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| I have heard that it is good to switch insurance companies every few years? I have done it but not out of choice, rates usually motivates me. But is it good to switch to get better rates? Why do you think this is so? Why don't companies do more to keep the current customers in place? |
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goodnatured
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| Posted: Fri Dec 12, 2008 5:58 am Post subject: |
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| Quote: | | I have heard that it is good to switch insurance companies every few years? |
I would absolutely disagree with that statement for 98% of the population.
| Quote: | | Why don't companies do more to keep the current customers in place? |
They do. Accident-free discounts, long-term customer discounts, deductible forgiveness allowances, guaranteed renewal for life even if your record sucks provisions------> these are only available to long-term customers.
Insurers have traditionally, and still do, give preference to long-term insureds. Not in terms of rates, other than mentioned above and other state-approved discounts, but in terms of issues on renewal versus non-renewal, coverage issuance or declination, the addition of policy language that may enable the insurer to stay on a risk, and a number of other ideas on why long-term customers benefit.
When is it a good idea to shop rates? There are times when it's a good idea to look around and see what you can find. For instance, when your driving record has cleared up between renewals, if teenage drivers enter the picture, if your credit has improved recently, you buy a new car, and a number of other reasons. You should always check with your current insurer to see what they can do first if any of these things occur.
Remember that everytime you go shopping for insurance, your credit record takes a hit. Seven different quotes means seven different inquiries on your credit report. That can affect your score depending on a number of different factors. Maybe not such a good idea to shop around too much unless you have a valid reason.
InsTeacher  |
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InsTeacher
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| Posted: Fri Dec 12, 2008 10:29 am Post subject: |
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In this regard I share the same view that of Teacher's. Though the opinion may vary from person to person, it's not always a good idea to switch your insurance company every now and then. Regarding the hike in the premium rate we are required to understand that customers contribute to a great extent towards it.
The rate may increase due to the change in your insurability or may be due to an overall increase in the cost of insurance. And, like Teacher has mentioned the companies give merits of various nature towards retaining their long term customers. |
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jeorge
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| Posted: Fri Dec 12, 2008 10:59 am Post subject: |
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I agree too with ins teacher...and another thing | Quote: | | Why don't companies do more to keep the current customers in place? |
I can tell you from a claims stand point they sure do when you have a claim...or atleast the company i work for does...customer service has almost gone overboard, and same with customer retention...
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Lori
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| Posted: Fri Dec 12, 2008 11:23 am Post subject: |
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| Did I put this in the pub? thought I put it somewhere else, was it moved? Thought it was good insurance related discussion, hmmmmmmmmmmm, ......... |
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goodnatured
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| Posted: Fri Dec 12, 2008 11:35 am Post subject: |
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| Quote: | | Did I put this in the pub? thought I put it somewhere else, was it moved? Thought it was good insurance related discussion, hmmmmmmmmmmm, ......... |
It certainly is a great insurance discussion, but since we have categorized the forums as auto, health, home and such; we can't put the general insurance discussion in any of these forums. Therefore, I have to shift it to the pub section, but I'm sure that in here too it'll get the attention of the community members.
Thanks,
Lakemen
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lakemen
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| Posted: Fri Dec 12, 2008 11:59 am Post subject: |
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I change auto and homeowners insurance all the time.
It never used to be that way but since homeowner rates are sky high in Florida the P & C companies are tripping all over themselves with price wars for auto.
Then of course there's Allstate with it's ridiculous liablilty fictional courtroom drama commercial to scare up some "other" useless business.
I have no use for the two (2) most infamous brand name P & C companies. They will drop you like a hot potato or raise your rates through the roof to shed a block of business they no longer desire.
Like a typical fair wheather neighbor State Farm's not there and you'd be in better hands with just about anyone other than Allstate.
My Florida 2 cents.
In Wyoming people may feel differently.
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