scrappyesq
Pearl Clutcher
You have always been a part of the heist. You're only mad now because you don't like your cut.
Posts: 4,029
Jun 26, 2014 19:29:07 GMT
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Post by scrappyesq on Sept 26, 2017 15:40:48 GMT
Has this ever happened to you?
I was in three accidents over a short span of time. One was my fault, two were not as determined by Allstate. I thought that things were going to be fine. Mrates went up by $50 bucks a month no big deal. But then I get a letter saying they will not renew my policy. I'm so upset. I feel like this is the end of the world. Dramatic, yes but I've never heard of such a thing and in 20 years of driving I NEVER had an accident until those three (which were all within a 6 month time span).
What did you do if it happened to you? I'm afraid to even shop around for car insurance because I don't want them to laugh and be like we're never going to insure you with THAT record.
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IAmUnoriginal
Pearl Clutcher
Posts: 2,894
Jun 25, 2014 23:27:45 GMT
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Post by IAmUnoriginal on Sept 26, 2017 15:55:57 GMT
Ugh. I'm sorry. I hate those letters with a white hot passion. But -- Don't freak out. I deal with these things all the time. Those letters often sound worse than they are. Letters sent out by insurance companies have to contain certain wording to legally cover the company's butt and also be approved by the Department of Insurance in each state. Ours sound awful, but when a client gets one, we very often have options to help them. If we don't, we have other methods to help.
First step -- Call your rep. If you've been with the same carrier for a while, your rep may have swing with the underwriters to get their decision reversed. Or, they may have another option for you. The carrier I write business for has 3 companies -- a top tier, a standard tier and a problem child tier. If you're in the top tier with your policy right now, they may be able to re-write you into their standard tier. If there is nothing your rep can do for you, move on to step 2.
Second step -- If there is nothing your rep can do to keep you with your current carrier, ask him/her for a referral to another carrier. When I can't work with someone due to their MVR or claim record, I have several colleagues who write for other carriers that I am comfortable sending my clients to. I know they are good reps and their company is a good one who will treat the client right at claim time.
If you came to my office with one at-fault claim and two not-at-fault claims, a clean MVR and average or better credit, I wouldn't even flinch. I could quote and write you without a problem.
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Post by Delta Dawn on Sept 26, 2017 16:01:01 GMT
Our province has the insurance monopoly so you can only get your insurance from them and unless you have been prohibited from driving they have to insure you. It's a contentious issue in my province.
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Post by mikklynn on Sept 26, 2017 16:27:35 GMT
I would call my agent and appeal. Sometimes an agent can help.
We had a situation where DS's license was suspended. They sent DH and I a letter saying we'd be dropped, along with DS. Our agent was able to help. DS was dropped, but we were not.
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tduby1
Pearl Clutcher
Posts: 2,979
Jun 27, 2014 18:32:45 GMT
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Post by tduby1 on Sept 26, 2017 16:29:18 GMT
Has this ever happened to you?
I was in three accidents over a short span of time. One was my fault, two were not as determined by Allstate. I thought that things were going to be fine. Mrates went up by $50 bucks a month no big deal. But then I get a letter saying they will not renew my policy. I'm so upset. I feel like this is the end of the world. Dramatic, yes but I've never heard of such a thing and in 20 years of driving I NEVER had an accident until those three (which were all within a 6 month time span).
What did you do if it happened to you? I'm afraid to even shop around for car insurance because I don't want them to laugh and be like we're never going to insure you with THAT record. I think it is shitty you are being penalized for two accidents that were not your fault.
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Post by missbennet on Sept 26, 2017 16:35:23 GMT
This happened to me many years ago after one or two accidents in a 2 year period, and I recall one was not my fault and the other one was. Some companies will drop you for a single accident that wasn't even your fault, so I'd say three regardless of fault will probably trigger their drop policy. It's no big deal, and it's not personal - just their algorithm for risk.
Call your agent, find another policy and don't feel bad. Or you can get quotes online so you don't have to have any awkward conversations - but really, no one really cares as long as you pay your premiums.
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Deleted
Posts: 0
May 5, 2024 19:49:25 GMT
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Post by Deleted on Sept 26, 2017 16:38:18 GMT
I'm sorry, and that sucks. Doesn't Allstate advertise "accident forgiveness?" If 2 accidents weren't your fault, they sure aren't forgiving, are they? I haven't been thru this (yet), but hopefully it won't be too challenging.
My dd was in 2 accidents within 12 months. The first one she was not found at fault. The second accident, the other driver was ticketed (and not my dd), my insurance company found the other driver at fault, but they're fighting it. We are just at the 12 month mark since the accident and still waiting to see what's determined from arbitration. If dd is found at fault, I'll be wondering what happens with her and our coverage.
Good luck to you.
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peabay
Prolific Pea
Posts: 9,602
Jun 25, 2014 19:50:41 GMT
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Post by peabay on Sept 26, 2017 16:39:43 GMT
That happened with our home insurance. We were so happy with Chubb and then were hit by Hurricanes Irene and Sandy and had some claims and they dropped us like a hot potato. It made me feel like someone had broken up with me!
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Post by missbennet on Sept 26, 2017 16:46:53 GMT
If you think about something like car accidents, and just for fun estimate they paid out $3000 per accident (this is very conservative given they paid for 2 cars to be fixed in two of these scenarios, plus whatever else) then they are out $9000 in a short period of time. If you paid even $3000 a year for the policy, which is darn high!, they will never make that money back because your premiums every year pay for their cost of doing business, paying out other claims, etc. Ideally they'd like every policy holder to be a net profit.
My friend who works for State Farm said people are more likely to drop their policy after multiple accidents or tickets, which surprised me, and the insurance companies know this. Add in that they can't make that money back on that single policy holder, and the multiple accidents increases their overall risk carrying load, and they are quick to cut bait.
It feels really personal, but it's just math.
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MizIndependent
Drama Llama
Quit your bullpoop.
Posts: 5,836
Jun 25, 2014 19:43:16 GMT
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Post by MizIndependent on Sept 26, 2017 16:51:19 GMT
Has this ever happened to you?
I was in three accidents over a short span of time. One was my fault, two were not as determined by Allstate. I thought that things were going to be fine. Mrates went up by $50 bucks a month no big deal. But then I get a letter saying they will not renew my policy. I'm so upset. I feel like this is the end of the world. Dramatic, yes but I've never heard of such a thing and in 20 years of driving I NEVER had an accident until those three (which were all within a 6 month time span).
What did you do if it happened to you? I'm afraid to even shop around for car insurance because I don't want them to laugh and be like we're never going to insure you with THAT record. I think it is shitty you are being penalized for two accidents that were not your fault. Seriously. That's a bad company in spite of all their "You're in good hands" claims. In 2014, we had 3 accidents - all within 60 days and only one were we found at fault (DD - totaled our rig pretty bad ). State Farm was awesome, paid out quickly so we could get back on the road and backed us up as we went after the two at fault drivers. I'm so sorry you're having to deal with this, it's not fair. ((((Hugs))))
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Post by elaine on Sept 26, 2017 16:51:27 GMT
Ugh. I'm sorry. I hate those letters with a white hot passion. But -- Don't freak out. I deal with these things all the time. Those letters often sound worse than they are. Letters sent out by insurance companies have to contain certain wording to legally cover the company's butt and also be approved by the Department of Insurance in each state. Ours sound awful, but when a client gets one, we very often have options to help them. If we don't, we have other methods to help. First step -- Call your rep. If you've been with the same carrier for a while, your rep may have swing with the underwriters to get their decision reversed. Or, they may have another option for you. The carrier I write business for has 3 companies -- a top tier, a standard tier and a problem child tier. If you're in the top tier with your policy right now, they may be able to re-write you into their standard tier. If there is nothing your rep can do for you, move on to step 2. Second step -- If there is nothing your rep can do to keep you with your current carrier, ask him/her for a referral to another carrier. When I can't work with someone due to their MVR or claim record, I have several colleagues who write for other carriers that I am comfortable sending my clients to. I know they are good reps and their company is a good one who will treat the client right at claim time. If you came to my office with one at-fault claim and two not-at-fault claims, a clean MVR and average or better credit, I wouldn't even flinch. I could quote and write you without a problem. Thank you for taking the time to pen this response. Your professional knowledge- and your willingness to share it - is very helpful. scrappyesq, (((hugs))). I’d do what Iamunoriginal suggests.
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Post by ktdoesntscrap on Sept 26, 2017 17:14:47 GMT
If you think about something like car accidents, and just for fun estimate they paid out $3000 per accident (this is very conservative given they paid for 2 cars to be fixed in two of these scenarios, plus whatever else) then they are out $9000 in a short period of time. If you paid even $3000 a year for the policy, which is darn high!, they will never make that money back because your premiums every year pay for their cost of doing business, paying out other claims, etc. Ideally they'd like every policy holder to be a net profit. My friend who works for State Farm said people are more likely to drop their policy after multiple accidents or tickets, which surprised me, and the insurance companies know this. Add in that they can't make that money back on that single policy holder, and the multiple accidents increases their overall risk carrying load, and they are quick to cut bait. It feels really personal, but it's just math. But if she wasn't at fault wouldn't it be on the other person's insurance company to pay for two fo the accidents?
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Post by missbennet on Sept 26, 2017 17:22:36 GMT
ktdoesntscrap - yes! I had the numbers backward. It still costs them, but not nearly as much. Thanks for correcting.
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MizIndependent
Drama Llama
Quit your bullpoop.
Posts: 5,836
Jun 25, 2014 19:43:16 GMT
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Post by MizIndependent on Sept 26, 2017 17:25:24 GMT
If you think about something like car accidents, and just for fun estimate they paid out $3000 per accident (this is very conservative given they paid for 2 cars to be fixed in two of these scenarios, plus whatever else) then they are out $9000 in a short period of time. If you paid even $3000 a year for the policy, which is darn high!, they will never make that money back because your premiums every year pay for their cost of doing business, paying out other claims, etc. Ideally they'd like every policy holder to be a net profit. My friend who works for State Farm said people are more likely to drop their policy after multiple accidents or tickets, which surprised me, and the insurance companies know this. Add in that they can't make that money back on that single policy holder, and the multiple accidents increases their overall risk carrying load, and they are quick to cut bait. It feels really personal, but it's just math. But if she wasn't at fault wouldn't it be on the other person's insurance company to pay for two fo the accidents? Yes they do. Which is why it's puzzling that she would be dropped. The insurance company would be out money initially but it should all come back when everything is finally settled...so dropping a not-at-fault driver is a really crappy thing to do, especially if the client has been with them for a long, long time.
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Post by *KAS* on Sept 26, 2017 17:30:23 GMT
Ugh, that hasn't happened to me, but I'd probably panic too! But IAmUnoriginal's post would make me feel better!
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Deleted
Posts: 0
May 5, 2024 19:49:25 GMT
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Post by Deleted on Sept 26, 2017 17:39:16 GMT
The rule of thumb for some insurance companies is if you are involved in 3 or more accidents in a short period of time you are not driving defensively. Doesn’t matter if you are at fault or not.
Not driving defensively is a sign of potentially more serious accidents.
If I remember correctly Allstate is a direct writer meaning you are dealing with an agent who only writes Allstate Insurance.
May I suggest when you look for new insurance besides contacting other direct writers you try an Independent Agent who writes Personal Lines coverage. They usually write coverage for several markets. This may be your best bet for finding replacement coverage.
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Post by Lexica on Sept 26, 2017 17:41:10 GMT
That would make me very nervous too. I personally hate insurance. I hate buying it. I hate having a claim. I hate shopping around for it. And I don't know why. I would never be without insurance, so I don't know why I feel so negatively about it. I have never been dropped by an insurance company myself, but my son was on my policy as a family plan. I received a letter that he was not to drive my car and they were dropping him. He was an irresponsible kid at the time and deserved being dropped. I hope you are able to negotiate things with your current carrier without a major bump in cost.
Oh, I just remembered, after having the two leaks in my house earlier this year, I did receive notice that my deductible for any future leaks would be double of what it had been. It remained the same for any other claim. I didn't think that was too out of line since I had two major water issues within a week or two.
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Post by Really Red on Sept 26, 2017 17:46:36 GMT
Ugh. I am sorry. It's why I'm not calling our insurance carrier with this latest one. The police tell me that legally the insurance company can't up my rates or drop me since it was a hit and run and technically they call it an uninsured driver, but I'd rather live with this damage.
Have you called Geico? They have been very good to me, otherwise.
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Post by cmpeter on Sept 26, 2017 17:51:52 GMT
Ugh...State Farm did that to me back in college. I was in an accident and not found at fault and they dropped me. I switched to Allstate and for the past 30 years they have been great. We have had two car claims in that time period though. I would be mad/sad too if they dropped me.
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peppermintpatty
Pearl Clutcher
Refupea #1345
Posts: 3,838
Jun 26, 2014 17:47:08 GMT
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Post by peppermintpatty on Sept 26, 2017 18:04:49 GMT
Accident forgiveness doesn't mean what most people think. You get one free pass, regardless of who was at fault. The second one, your rates go up the amount they would have if you didn't have the forgiveness in place. It doesn't matter if you weren't at fault with any of them, you were driving so you are still at a higher risk of getting in another accident.
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IAmUnoriginal
Pearl Clutcher
Posts: 2,894
Jun 25, 2014 23:27:45 GMT
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Post by IAmUnoriginal on Sept 26, 2017 18:56:23 GMT
Yes they do. Which is why it's puzzling that she would be dropped. The insurance company would be out money initially but it should all come back when everything is finally settled...so dropping a not-at-fault driver is a really crappy thing to do, especially if the client has been with them for a long, long time. I'll try to explain this. It all goes back to actuaries who play with numbers and statistics. But, here's part of the logic behind those not-at-fault claims. OP is insured by Allstate (by the way, Accident Forgiveness is an endorsement you can purchase on your policy for additional premium with most companies that offer it. It's not an automatic coverage.). OP is in an accident with someone insured by Bob's Insurance. Instead of filing her claim through Bob's Insurance, she chooses to use her coverage through Allstate and let Allstate subrogate the claim. That's fine and acceptable. However, Allstate is out the cost of the claim plus their own expenses for a claim's adjuster, subrogation specialist and possibly attorney time, if liability isn't cut and dry. The additional costs add up. When Bob's Insurance reimburses Allstate, they don't pay those additional costs. They pay the claim costs only. If OP had gone through Bob's Insurance for her claim, Allstate wouldn't have been out anything. Allstate will never recoup those expenses. At some point, a wonderful and amazing (sarcasm font) actuary at Allstate decided that clients who have X number of not-at-fault claims are a problem and costing the company money. Costing the company money = future rate increases if all the clients start doing the same. Therefore, their policies should be reviewed and possibly dropped for excessive claims. Sometimes, the things actuaries come up with make less than zero sense. But, they don't have to talk with policyholders or field reps. They hide in their cushy offices and work the math. The company I write for has a couple claim guidelines we have to watch -- 2 claims within 36 months or 3 claims within 60 months. This applies to both home and auto. If it happens and you've been with us for a while, I can get an underwriter to offer a higher deductible or to move you to our problem child company until a claim falls off your record. At this point, we don't consider not-at-fault claims. But, things are always changing because wonderful and amazing actuaries keep coming up with their statistics and theories.
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scrappyesq
Pearl Clutcher
You have always been a part of the heist. You're only mad now because you don't like your cut.
Posts: 4,029
Jun 26, 2014 19:29:07 GMT
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Post by scrappyesq on Sept 26, 2017 19:23:54 GMT
Thanks guys. I just needed to talk about it...I got the letter yesterday and I have to tell DH since he is the one who pays my car insurance. I was totally prepared for a rate increase but blindsided by a non renewal.
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Deleted
Posts: 0
May 5, 2024 19:49:25 GMT
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Post by Deleted on Sept 26, 2017 19:25:11 GMT
AllState or State Farm dropped us with NO notice even though we had been clients for 20 years with no claims. We had two new drivers, each got into one accident (two kids, two accidents) It wasn't until I realized out premium should have been due and tried to pay it that I found out they had dropped us 2 months earlier. They wouldn't refund us the money left on the premium during the months we had been dropped and wouldn't re-instate the policy either. we went with Geico without a problem. I'll never do business with a "State" insurance company again.
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Post by littlemama on Sept 26, 2017 19:37:55 GMT
If you think about something like car accidents, and just for fun estimate they paid out $3000 per accident (this is very conservative given they paid for 2 cars to be fixed in two of these scenarios, plus whatever else) then they are out $9000 in a short period of time. If you paid even $3000 a year for the policy, which is darn high!, they will never make that money back because your premiums every year pay for their cost of doing business, paying out other claims, etc. Ideally they'd like every policy holder to be a net profit. My friend who works for State Farm said people are more likely to drop their policy after multiple accidents or tickets, which surprised me, and the insurance companies know this. Add in that they can't make that money back on that single policy holder, and the multiple accidents increases their overall risk carrying load, and they are quick to cut bait. It feels really personal, but it's just math. Well, I pay about $4200 per year for insurance (I live in a very expensive state for insurance), so trust me, my insurance company has been making money off of me for years and years and years. We have never had a claim.
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Deleted
Posts: 0
May 5, 2024 19:49:25 GMT
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Post by Deleted on Sept 26, 2017 19:38:31 GMT
Don't feel bad. You are just one in a line of many who have been dropped. That's why many don't even submit claims for minor damages. We didn't when our parked car was side swiped. The damage is noticeable, but the car is old and DH said it's not worth filing a claim only to have them drop us later.
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scrappyesq
Pearl Clutcher
You have always been a part of the heist. You're only mad now because you don't like your cut.
Posts: 4,029
Jun 26, 2014 19:29:07 GMT
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Post by scrappyesq on Sept 26, 2017 20:00:41 GMT
Don't feel bad. You are just one in a line of many who have been dropped. That's why many don't even submit claims for minor damages. We didn't when our parked car was side swiped. The damage is noticeable, but the car is old and DH said it's not worth filing a claim only to have them drop us later. The accident that was my fault I didn't file a claim.....the other driver did and since it was a Mercedes the damage was $4000. It was a low speed (parking lot) fender bender so I didn't have any damage but she did.
That one happened a few weeks after the first accident where I wasn't at fault. The insurance company called me and when I spoke to the agent she was so nice and told me not to worry. I was told the same thing after the last accident as well. Then I get the bomb dropped on me. I guess I'm more upset because I take my driving so seriously and have always been proud of never having been in an accident and NO points on my license.
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Deleted
Posts: 0
May 5, 2024 19:49:25 GMT
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Post by Deleted on Sept 26, 2017 20:13:25 GMT
Don't feel bad. You are just one in a line of many who have been dropped. That's why many don't even submit claims for minor damages. We didn't when our parked car was side swiped. The damage is noticeable, but the car is old and DH said it's not worth filing a claim only to have them drop us later. The accident that was my fault I didn't file a claim.....the other driver did and since it was a Mercedes the damage was $4000. It was a low speed (parking lot) fender bender so I didn't have any damage but she did.
That one happened a few weeks after the first accident where I wasn't at fault. The insurance company called me and when I spoke to the agent she was so nice and told me not to worry. I was told the same thing after the last accident as well. Then I get the bomb dropped on me. I guess I'm more upset because I take my driving so seriously and have always been proud of never having been in an accident and NO points on my license.
That sucks. Sorry that happened. Hopefully, your agent can help, but even then I think just being told they are dropping you leaves a bad taste and I'd be tempted to go with another company regardless.
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pudgygroundhog
Pearl Clutcher
Posts: 4,643
Location: The Grand Canyon
Jun 25, 2014 20:18:39 GMT
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Post by pudgygroundhog on Sept 26, 2017 20:35:16 GMT
Ugh, I'm sorry - sounds frustrating. I would have been blindsided too by being dropped. I hope you work something out.
And IAmUnoriginal's posts are one reason I love this place - seems like we have a pea expert for every subject around here!
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Post by maryland on Sept 26, 2017 21:39:23 GMT
I'm so sorry! I hope you get it worked out! I guess I don't know much about insurance because I thought going up $50 a month when only one accident was your fault sounds like a lot.
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Post by honeyb on Sept 26, 2017 22:16:19 GMT
This happened to us about several years ago. We were dropped after 1 expensive accident.
I am a super loyal person, so my first reaction was the same for me. I was so sad that the 20 year old relationship with that insurance company was over.
Then I got over it. Found an insurance broker and every time our rates see a significant hike, I have him check around for best prices. We switch companies every few years to get the best rates.
If they are going to treat this like a business relationship, then so am I.
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