Allstate car insurance rate increase for GA? (unemployment, live)

[Mattie]

Our policy is up for renewal this month, and I noticed the rate has increased by $200/year. We have had the policy (along with homeowners and an umbrella policy) for over 7 years since we moved to the area, and have never had a claim or a ticket. If anything, I would have expected the rate to drop, as the cars are all one year older.

I called the agent and was told it was an across the board increase. I have been Googling to see if I could find any announcement by Allstate, and found nothing. I wonder if it's because our previous agent retired and sold his business to another agent, and it's his across the board rate increase. Has anybody else gotten this increase, or is it time to change agencies?

[Brian_M]

Rate hikes are, often as not, the result of a company needing to pay out large sums of money.... you know, like to cover all the losses from Sandy up in the NY/NJ area from a couple months ago? Sure, things you do have an affect as well.

There's no sense in keeping the same agent/company, start shopping around. I don't think there's been a single year where we couldn't lower our insurance bills by changing companies. For a long time, we flipped back and forth between 2 with a couple policies at each. It's stupid, but if they insist on playing games, I'm willing to give their revenue to someone else.

[Mattie]

Thanks for the response. I have heard from a couple of people who renewed in the past couple of months that their rates didn't change. And, while I understand insurance companies requesting rate increases to cover their losses during a disaster (having lived in FL), if Allstate charged every auto policy customer an extra $200 they could replace the damaged vehicles in the northeast with Mercedes. I'm calling around.

[HelplessInMarietta]

I just got a renewal from Travelers for my auto insurance premium which increased 14.5%. I switched from Allstate to Travelers in July 2012 and am retired. I drive less than 150 miles in a week, have no drivers under 25 years old and have not had any tickets, either. I suspect the increase was approved by the GA Insurance Commissioner, Ralph T. Hudgens, but I thought he was supposed to prevent such huge increases. I'm going to complain to him about the huge increase and ask what the official increase limit is. You, too, may want to voice your concern to him. Otherwise, he has no idea how many people in these lower earnings and high unemployment times are taking a big, unpleasant hit. Remember this the next time you vote for the Insurance Commissioner.

[Mattie]

Thank you for the feedback Helpless. Interestingly enough, Allstate lowered the premiums on our other policies with them after we complained, so we have the same overall payments. I have to believe the rate increase is not being generated by our agent.

[GAmtnman42]

Thanks, my went down $200.