State Farm Monster Loss Announced ~Insurance

[Suns_PSD]

1) 76% of all homeowners suits are from FL alone, yet they only have 8% of the insured.
2) Try insuring a Semi truck. Due to several factors, not the least of which is the prolific 444-4444 lawyers telling everyone to sue trucks, the costs have become positively insane to insure semi-trucks. A Warner Enterprises truck was hit by an out of control car that crossed a 40' median and hit the truck and were sued, and lost, in TX, 92 million dollars.
3) To top it off regarding hauling rates you are competing against illegal truck driver's with foreign licenses, no insurance, and they use temp CC's to buy 72 hour registrations, they make copies and pass them out to all of their friends, then they run the toll roads cause it's free all day. It's not 1 or 2, it's like 20% of the trucks on the roads running locally.

It's just a mess man.

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[amschind]

Imo
It's not parts .
It's the uninsured amd non licensed drivers
If people that got stopped for no insurance got thier ride impounded until a policy in full was presented to court.
As well as no license and driving.. jail
No excuse. 30 days
Ours went up 600 from last renewal in Oct.
And through some maneuvers I got it lowered 274. Oh geez

I agree that this is A problem which ought to be addressed, but it is not THE problem that is making things acutely worse right now. I want to stress that I strongly agree with your sentiment.

 

[amschind]

1) 76% of all homeowners suits are from FL alone, yet they only have 8% of the insured.
2) Try insuring a Semi truck. Due to several factors, not the least of which is the prolific 444-4444 lawyers telling everyone to sue trucks, the costs have become positively insane to insure semi-trucks. A Warner Enterprises truck was hit by an out of control car that crossed a 40' median and hit the truck and were sued, and lost, in TX, 92 million dollars.
3) To top it off regarding hauling rates you are competing against illegal truck driver's with foreign licenses, no insurance, and they use temp CC's to buy 72 hour registrations, they make copies and pass them out to all of their friends, then they run the toll roads cause it's free all day. It's not 1 or 2, it's like 20% of the trucks on the roads running locally.

It's just a mess man.

That's the thing with tariffs, lawsuits et c.......the money to pay for that stuff doesn't materialize out of thin air (well......hmmmm.....maybe ultimately it DOES, but that's a different discussion). All of those are costs of doing business, and there is only ever one entity that pays for them: you and I.

 

[TarnishedCopper]

For those who have been following, insurance groups are losing big on auto and home policies. In 2022 State Farm sold $46 Billion in policies but had $43.7 Billion in claims. Add expenses for overhead and processing claims and they lost $13 Billion. The 2023 earnings were announced and WOW, combined underwriting loss of $14 Billion. If you are a State Farm policy holder, get ready for rate hikes.

https://www.statefarm.com/content/dam/sf-library/en-us/secure/legacy/pdf/2022-annual-report.pdf

I live in Iowa. Due to storm and hail damage, we've had a 3 year-old roof, siding and gutters replaced last year. It was replaced in 2020 due to the derachio. I am/soon will no longer be insured by Selective Insurance of South Carolina. My homeowners policy went from $1060 to over $2400 for the year. Needless to say, I am not going to pay than and allow them to recover their losses. Insurance is at best a ponzy scheme. The companies determine what their profits are to be, then adjust their rates to cover the profits plus the claims. It is not just my policy, my independent agent says it is crazy in our state right now. Some companies will not write a new policy in Iowa, and some are reportedly not writing unless the owner completes an independent home inspection.

 

[Aron]

USAA is the best.

I had USAA for many years, and their customer service was pretty good (excepting their credit card business, which is just as poor as all of the other cc companies). However, USAA got to be just too expensive relative to other insurers, and we switched to Geico 7 or 8 years ago. Once we added my son as a driver, Geico rates doubled, so we switched to Progressive a few months ago and reduced the bill by almost half.

It seems like most insurers use the same business model: promote relatively low rates when you first join, and then steadily increase your rates every year, even if you have no claims, seemingly banking on the theory that people are creatures of habit and will most likely not shop around.

 

[jridout325]

I live in Iowa. Due to storm and hail damage, we've had a 3 year-old roof, siding and gutters replaced last year. It was replaced in 2020 due to the derachio. I am/soon will no longer be insured by Selective Insurance of South Carolina. My homeowners policy went from $1060 to over $2400 for the year. Needless to say, I am not going to pay than and allow them to recover their losses. Insurance is at best a ponzy scheme. The companies determine what their profits are to be, then adjust their rates to cover the profits plus the claims. It is not just my policy, my independent agent says it is crazy in our state right now. Some companies will not write a new policy in Iowa, and some are reportedly not writing unless the owner completes an independent home inspection.

I live in Iowa as well and that derecho in 2020 did a number on us, I think I overheard that it was the most expensive and widespread natural disaster in history for insurance companies. My dad farms and he lost his big building with all his equipment parked in there and everything had broken windows and all scratched up and dented, vehicles, tractors, semis, etc. Filed his first claim with state farm in decades and they fought like hell not to pay out and were nitpicking everything. They eventually did payout but heaven forbid if something like that happens again he's 100% getting dropped after another massive claim like that. And that's not even including his crop insurance claim when our corn crop was considered a total loss that year

 

[ks54703]

My Progressive policy (Homeowners, Auto, Umbrella, and Motorcycle) went up 50% total. Rough. Switched to Auto Owners to save 40% of the renewal.

Don't know what Progressive will do next year but our Auto Owners Auto and Home owners went up a combined $887.00. Progressive agents in the area (3) gave quotes on comparable insurance and all were still under the existing 2023 Auto Owners policy rates which had increased $887.00 for 2024.

22 302a XLT, 2019 Escape Titanium, 2007 Kawasaki 610 Mule, 1986 Grumman 14' fishing boat with 2011 15hp 4 stroke Merc. Home valued at 575K. No underage drivers, no accidents / driving infractions and 10k limit on mileage on both vehicles, retired. no homeowners claims in West Central Wisconsin. Any increase in either policy would require the Umbrella policy with Progressive. Had had a 2 million dollar umbrella policy which was dropped with Auto Owners when Auto Owners DEMANDED the same rate of insurance on the collectors cars as the daily drivers. Were not talking MINIMUM rates on the collector cars are at 250/250 vs 500/500.

Every single year with Auto Owners came with more pages of what now was NOT covered than what was required to renew the policy, Things dropped matching existing roof or soffit, which means your stuck with a candy cane looking house. New Progressive package addressed this and covered matching or matching existing to new.

After sitting with (3) long time area independent insurance agencies learned several things. One a Wisconsin based insurance company just sent out notices NO MORE non commercial policies are to be renewed or written. Others have just begun to raise rates to drive the non commercial consumer away. Simple as that.

 

[powerboatr]

If someone is cheaper than USAA, i would still stick with USAA. The couple of times I have had to make a claim they were totally fair - no BS.

exactly how texas farm bureau is
they never dis appoint in regards to claims and gettign the vehicle fixed and they go after the other persons insurance
usaa screwed our family like a cheap 3 dollar hooker back in 2011 so they are off my list forever
they allowed a NON authorized user to change banking passwords and insurance,,,, just becasue she was the estranged wife and had all of his info..

 

[TarnishedCopper]

My wife is still insured by USAA. Her Jeep Liberty was literally destroyed in the same hail storm. They promptly inspected it and gave us more than we thought it was worth as a total loss.

 

[TeamCanada]

i 100% agree!
someone correct me if i'm wrong but i have heard in Canada, you cant get a license without proof of insurance.

theres too much BS on our roadways. drunk/high drivers, people with no insurance, suspended licenses, cars with no registration on salvage titles half built, there are even states that require no state inspections for cars.

but my rates gotta go up. hell, if an uninsured driver were to hit me, i'd have to file a claim and my rate would go up. not fair at all.

like you said, if there were consequences, some people might think twice before getting behind the damn wheel

In Canada, you cannot get your license plates without valid proof of insurance. As well you have to carry in most places, a minimum of 1 million in liability. If you are financing your vehicle, you will need collision mandatory as well.
A couple provinces have gov't auto insurance and those provinces have the lowest rates in Canada.
Of course the amount of natural disasters and luxury vehicle thefts are putting big pressure on rates to increase up here.

 

[dzacco]

i 100% agree!
someone correct me if i'm wrong but i have heard in Canada, you cant get a license without proof of insurance.

theres too much BS on our roadways. drunk/high drivers, people with no insurance, suspended licenses, cars with no registration on salvage titles half built, there are even states that require no state inspections for cars.

but my rates gotta go up. hell, if an uninsured driver were to hit me, i'd have to file a claim and my rate would go up. not fair at all.

like you said, if there were consequences, some people might think twice before getting behind the damn wheel

It's hard not getting political, but that is the source of these problems. The intended and unintended destruction of the country is unfolding before our eyes. One year ago, an illegal took out my truck along with 6 other vehicles. No insurance, No driver's license and No English. What do you think he had to pay? $150 in court costs and no repercussions at all. My insurance (Amica) acted like it was no big deal. They see it numerous times every day in this sanctuary city (Denver).

 

[Dakar09]

It's hard not getting political, but that is the source of these problems. The intended and unintended destruction of the country is unfolding before our eyes. One year ago, an illegal took out my truck along with 6 other vehicles. No insurance, No driver's license and No English. What do you think he had to pay? $150 in court costs and no repercussions at all. My insurance (Amica) acted like it was no big deal. They see it numerous times every day in this sanctuary city (Denver).

Could not agree more with your opening lines. We cannot go after the real criminals or wrong-doers here for fear of being called a "this-ist" or a "that-ist". Call it like it is. Prosecute those who drive without insurance. If I need to have it, so do they. Period.

In MA, they won't let you register a car without having proof of insurance. So people drive without registrations to get around that. So, no reg, no insurance, and usually no (or suspended) license. They get slaps on the wrist, and our rates go up when we file claims from accidents caused by those people. It's untenable.

 

[crazywayne311]

In Canada, you cannot get your license plates without valid proof of insurance. As well you have to carry in most places, a minimum of 1 million in liability. If you are financing your vehicle, you will need collision mandatory as well.
A couple provinces have gov't auto insurance and those provinces have the lowest rates in Canada.
Of course the amount of natural disasters and luxury vehicle thefts are putting big pressure on rates to increase up here.

i have seen A LOT of reports of vehicles being stolen and wheels and other various parts being stolen off of specific cars/models big time in Canada right now. saw some vid of someone walking up to a Ring door camera and within 5-10 used some transmitter device to steal a Bronco from someones driveway.

It's hard not getting political, but that is the source of these problems. The intended and unintended destruction of the country is unfolding before our eyes. One year ago, an illegal took out my truck along with 6 other vehicles. No insurance, No driver's license and No English. What do you think he had to pay? $150 in court costs and no repercussions at all. My insurance (Amica) acted like it was no big deal. They see it numerous times every day in this sanctuary city (Denver).

This happens all the time! watch the news...not trying to be political either but half the time the just deport them for them to come right back. I'm not against immigrants coming to our country at all...but IF you are here, then you need to become a citizen and pay freaking taxes! its bad enough to watch the news and see that Drunk Danny/Daisy hit a family of 4 killing all of them and only getting a scratch.

 

[GregBC]

In Canada, you cannot get your license plates without valid proof of insurance. As well you have to carry in most places, a minimum of 1 million in liability. If you are financing your vehicle, you will need collision mandatory as well.
A couple provinces have gov't auto insurance and those provinces have the lowest rates in Canada.
Of course the amount of natural disasters and luxury vehicle thefts are putting big pressure on rates to increase up here.

Indeed, the basic coverage from ICBC is pretty darn low. They recently lowered it by severely limiting who/how you can sue. I believe the research was that most of their payouts were due to lawsuits. A couple examples in this thread of arguably outrageous amounts! Anyone have stats to State Farm payouts? It’d be interesting to see what were due to simple damages and what were due to lawsuits.

I’ve always hated paying insurance, you hope you never need it (wherein paying it was just a waste) but should you ever need it, it’s awfully nice to have!

 

[Polo08816]

USAA
Cadillac Escalade ESV, Ford F150 XLT, and Toyota Tundra TRD 4x4. With a 17 year old driver. That includes a 1 Million Dollar Umbrella. 450 a month for all that is a steal.
Our 600K dollar home/newly built 20x40 inground pool with a 1 percent deductible and 1 Million Dollar Umbrella.
Policy is 217 a month.
Just cant beat USAA if you are eligible.

I find that USAA is slightly more expensive, but it's worth it. I've never had an issue with them when I decide what facility I want the vehicle repaired at. They're pretty aggressive in recovering my deductible.

Most of the time, you get what you pay for.

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