Feeling Crappy...Car Ins dropped me.

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.

I think it is shitty you are being penalized for two accidents that were not your fault. 

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.

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.

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.  

ktdoesntscrap - yes! I had the numbers backward. It still costs them, but not nearly as much.

Thanks for correcting.

Ugh, that hasn't happened to me, but I'd probably panic too! But IAmUnoriginal's post would make me feel better!

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.

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.

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.

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.

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.

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.

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.