Can auto insurance companies change price without new incidents?
Can auto insurance companies change price without new incidents?
If I entered all of my accidents/violations on my quote, bought the insurance, etc. Say I'm paying $150 a month, could the auto insurance company call me up and say I need to start paying $420 a month or they will cancel my policy?
My friend said his friend had the exact same thing happen to him. He had a violation on his record, bought his insurance, then they called him up and said they were changing it from about $150 a month to $420 a month.
My friend said his friend had the exact same thing happen to him. He had a violation on his record, bought his insurance, then they called him up and said they were changing it from about $150 a month to $420 a month.
No related posts.
Related posts brought to you by Yet Another Related Posts Plugin.
6 Responses
1.31.2010
They don't call you up and say send us a check tomorrow, you are notified weeks ahead that when your policy renews the rates will increase (as long as you didn't lie on the application). I suspect your friend is not telling you the complete story.
1.31.2010
normally, insurance companies don't change their quotes on you unless there is a reason.Like a DUI, or a wet and reckless, or just a plain old reckless driving charge. If there's nothing on you that you know of, call your insurance company and find out if someone charged your policy with an accident you didn't have, or some other thing.
1.31.2010
It can happen, however what was the reason they said for the rate increase. If they do not have a reason then contact whoever regulates insurance companies in your state/province and report the insurer, as this conduct is highly unethical.
1.31.2010
Yes, they can do this. Often a less than reputable company will throw you a "teaser" rate to get your business, then once they have you hooked, will raise the rates.
1.31.2010
The insurance companies can do what they want to do. Your only option is to change insurance companies.
1.31.2010
Yes, insurers can amend the premium at any time. Source(s): 30 years a cop