If the Commissioner has no authority to stop this insurance behavior……ho the hell does? The question is why can’t the commissioner stop them? I am fed up with authority and who they protect. Does the commissioner get a payoff? Local Mafia! Who is responsible for enforcing the law? What does an Insurance Commissioner? Get bullied by the Insurance companies or do they get schmoozed by them at dinner?
sounds like a gulf of mexico maneuver. but even worse, because this area is not known to be prevalent to hurricanes. but are they responding to the possible issue of global warming (many folks think that this is a true fact), that many houses might forsee an rise of the tide into their house. so, we still writing in the state, just not near the coastline. there are many other companies that do the same, but had been doing it for many years.
Why, in your world, would a private company not be allowed to choose what they sell and where they sell it? The reason insurance is screwed up so much in so many states is because of government regulation!
If an insurance company feels that they cannot adequately manage a particular type of risk, they avoid that risk. Requiring them to insure in a high risk area at an inadequate rate either requires the insurance company to lose money (which is the government way) or requires subsidization by those inland.
The government doesn’t care about losing money because they have the power to tax the efficient and subsidize the inefficient without going out of business. It doesn’t work that way for private business. Once they are gone… they are gone.
Communism has failed in every case because it requires force to implement it… that force means lack of freedom. Europe is choking on its socialism. Its burden of social services and government regulation is a ticking time bomb.
Please stop looking to government to take care of you! Government is about the expansion of government run by people who need to make government more powerful. They do this under the guise of helping you.
Its a big leap to go from insurance regulation to communism !!! Free market supply and demand are definately the most efficient forces in an economy, but there are times when government intervention is needed. What needs to be considered is how long the lag is before the free market can respond and what kind of harm can take place in that time. If a new pain killer was marketed that killed people, eventually the market would stop buying it….but there would be a bunch of dead people first. That’s when regulation/gov’t intervention is required. There is a difference between communism and protecting citizens. If insurers were unregulated there would be no insurance available in minority neighborhoods or coastal areas. That would have a huge effect on entire regions, not just those homeowners. Real estate markets would collapse, foreclosures would hurt banks, etc.
You are right to compare us to communism, because we are forced to pay high insurance premiums and other such things just like communism. Thank you for bringing that issue to light. We as Americans are forced to pay many things we don’t want to pay, what does that make America….Free??? think about what you are saying..we are brainwashed in this country to think we are …..free. You must be an owner of an insurance company, why else would you justify what you memtioned…it’s all about greed in this country. Did I hit a nerve. It’s one thing to make profits, it’s another thing to exploit to the point of only certain classes of people being covered…did I say the rich? Who said that? What would you know about struggling? You probably make 6 digit income.
Insurance Companies are killing us in Mass…punishment for 6 years. Never are we out of punishment the way the Div of Insurance set the step, then point system. don’t belittle me. Insurance companies are raping people across the country of high premiums….especially in mass in the past 30 years of being regulated. probably someone got a kickback….why would Commerce Insurance provide a cares van, ie for towing, gas, etc. and not charge the state? hmmmmm Give me a break…the have’s and the have nots…that’s what is happening to this counrty. the rich and the poor and you know it. we can’t afford to live unless you’re middle, upper class or rich
I do live inland and it’s not about cheap insurance, it’s about fair rate setting practices. Mark! All insurance companies had to avbide by the state’s authority. Mark! it didn’t matter where we went we were chargred high premiums..allegedly the state has deregulated insurance companies…i’ll believe it when i see it. I have been paying for an accident for 6 years under the step program and additionally charged the step program for an accident that occurred in 2002. so you’re saying that is right? I’ve not only paid over $1000 in premiums, but paid over $500 to cover my accident that I was supposed to be insured for….so why am I paying yearly premiums plus beimg punished. Insurance companies are aware that people get into accidents, that’s what we pay premiums for….isn;t it. duhhhhhh
ahh…Denise ? Insurance companies make money by determining who is a higher risk and charging them more. Don’t you think it makes sense to charge the people who have accidents more than the people who don’t have accidents ?
Denise, if you have not checked to see if there is another cheaper company to write your insurance, please quite complaining and get on the phone. No I don’t make 6 figures, yes I am the middle class, yes I work for the insurance company, no federal regulation is a bad idea!
May 27, 2006, 7:33 am CDT
Posted By: Ken Vaughn
Comment:
The problem is getting what you pay for come claim time. The cost of insurance and the profits earned as a business in business to make a profit would not be questioned if bad faith never showed up at claim time. Failure to prevent a homeowner from having to become a general contractor by paying enough on a claim to give them what they paid for in premiums is a far more important subject… especially since none of the insurers are writing the first adjusters summary to truly provide enough money for a general contractor while having full knowledge that the homeowner/policyholder’s premiums included this significant cost associated with restoration. Tell an 80 year old widow she has to play general contractor and find the laborers and materials necessary to put her home back in the condition it was in prior to her loss and walk away feeling like you are in a great and fair dealing industry and I hope lightening strikes you! It’s the daily bread you feed the ignorant masses who are lead by the either equally ignorant or corrupt taxpayer supported leaders across our country. Let’s wake up and educate everyone on how this game has been played for many years. Then let’s do something about it and give homeowners what they paid for… at claim time… not political popularity time.
Good for you Denise do not give up. It,s time for the truth.. the truth hurts right boys .. Come on people tell your storys stand up get some b—- or let greed win because in the long run we all pay right boys.
All this time, I didn’t realize I worked for a corrupt industry! I am going to quit right now! Thanks for opening my eyes…..almost impossible to say that with a straight face.
They have something better than a crystal ball. Data…tons and tons of data that show that people who have low credit, lots of violations, past accidents, low deductibles, liability only coverage, and very young or old are more likely to have an accident, and should therefore be charged more.
have something better than a crystal ball. Data…tons and tons of data State Farm also has agreed to refund excess surcharges. The excess amount, $23 million, plus 5 percent simple interest, will be refunded to State Farm policyholders beginning in six months.
“State Farm has reduced its rates and has agreed to stop business practices that the Office found objectionable,” said Insurance Commissioner Kevin McCarty. “Our governor and our legislature required this by law, so I am happy to see that State Farm has reached this agreement for the benefit of its policyholders.”
As a result of a comprehensive investigation by the Office of the Attorney General, with the assistance of the OIR, State Farm will begin a program of automatically notifying its auto policyholders that are eligible to transfer to the less-costly State Farm Mutual Company
so ?? I thought we were talking about the ability to predict who was a greater risk ? Yes, State Farm is doing refunds in FL. I am not sure how that pertains to the article or recent discussions of the article. I suppose it could be held up as an example of what a Dept of Insurance should be doing if a company is overcharging its policy holders.
I believe insurance companies need to make profits, I did not get in any accidents for 3 years. Do I ever get rewarded, or is it always a punishment system? There has to be a balance. I had no mv offenses or accidents in those 3 years and when i questioned the insurance company they lied and said i had a sticker violation. I called the Registry and it was untrue. I got into a fender bender that only cost $500 for me and about the same and we were both insured through the same company. I’ll be paying now $1800 per year and was charged through last year’s point system. on top of the step system for the 2002 accident. i drive a 1993 toyota camry and got my car repainted and the body work was just done. The Division of Insurance needs to set new regulations for people who are careful. i don’t consider being a bad insured. I obey the laws and pay my bill. It appears that the insurnce companies are making well over the cost torepair my vehicle and then some.
Many companies reward good driving. I know where I work we offer a safe driver discount that can be up to 15%.
If your insurance company has incorrect information regarding your violations, I would think if you got it corrected, they would refund you any overcharges.
No one ever considers themselves a bad insured. If they did, we could just get rid of all the actuaries and ask people if they are a bad risk.
This is exactly what I mean that is going on in our country. People being raped and excessively charged…take Exxon for instance….billions….or shortage…what another scam!
Mass finally cracked the fraud ring, was supposed to give the people of mass 11.7 percent back…last year, but the commissioner did some fancy footwork and we are supposed to get it back in 2008..hmmmm about $119 per person. What a scam! I am so sick of the way this country does business so the elite business owners can drip in wealth, while us pee-ons can suffer taking almost a weeks’ paycheck to pay our monthly exhorbitant unfair and over-charged premiums. My premiums doubled in 8 years on the same vehicle. Only 2 accidents.
I filed a complaint with the Division of Insurance. His so-called investigation was a simple regurgatation of what he was told by the insurance company and never even dicd his job. I called the Commissioner’s office, but they are too high and mighty to talk to anyone beneath them. It has been since last July and I have phone call, after phone call after email. They got caught and they know it and the director is protecting their fraud. Do I seem like a person that would not do something about a problem. That’s what I am sick of in this country. Tryint to get something resolved…i 800 frustrate. Tell your story over and over. The top dogs won’t even get off their___ and do what is rights according to the law. that’s why we need to stop being complacent and apathetic. I am a grad student and am willing to take the time to articulate the problem or issue and present my case, but it just falls on deaf ears. There are too many friends in high places, that’s whats wrong with our country. People are loyal to their friends instead of what is right.
Hey Denise-If your so upset with this country you can do 2 things about it:
1) Move
2) stop spending so much time on this website complaining about everything, get off you butt and make a difference.
That is 2 accidents within a 10 year perriod, cost of accidents about $5,000 for both. cost of my insurance inclucing premiums for 10 years is approximately $15,900. Approximately, $10,000 profit off one driver…hmmmm not to mention the cost of each accident times six years that I have to pay. The state and the insurance company make a great couple.
If you go off straight losses, sure. But lest we forget about paying the claims people (even the ones who answer the phone) as well. Insurance is also about expenses.
My wife and I also have only had 1 accident in several years (hit a deer) and it was only $1,500 in damages after the deductible. I probably pay that a year in premiums. Guess what?? I keep on paying for the big one. The one that might put me into financial ruin. Does that mean that the insurance company might come out ahead and I never have another claim for the rest of my life? That is the risk I take. Could I hit a bus full of nuns tomorrowing killing all 20 and be sued for the full limits, including my umbrella? That is the risk the insurance company takes. I think in this case, they are on the hook more, so I keep paying. Denise, you could always self-insure. Then at the end of the year you can give yourself a dividend and buy yourself something nice. Just hope you don’t have an accident…..
But your insurance company is accepting the risk that you present every time you get behind the wheel. Just because your last 2 accidents only cost $5000, who’s to say the next one won’t cost 10 times that. Its pretty easy to have an accident that costs $100,000 dollars if there are injuries involved.
Face it: You are a high risk for an insurance company. That’s why you have a high premium
What the hell do you think I’m going to school for, Women in Politics and Public Policy. Move to what? It’s a systemic problem that more people need to be aware of. Im not on here to whine, but to expose what is going on and to hear from other people. If I’m on my butt, what are you on? It takes a long time to expsoe things and to get it changed. I call the committees at the state house, I write letters, send emails, etc. What do you do? besides sit on your butt? I do intend on making a difference and making changes. That’s why for a temporary time I am in poverty until I get a better-paying job and not just be a sales clerk or a secretary…been there done that…dead end positions and then have to work 1 or 2 more jobs…well anyway, I do partiipate and engage in trying to make changes to laws that are not fair..do you? or harm a particular people.
You are aware that the insurance company has more expenses than the accident. Maybe the salary of its employees or possibly an electric bill. So really they didn’t make $10,000 of one driver.
Let’s face it. You must be a perfect person who never does anything wrong. I’m sure by your sarcasm, that you never got into any accident. What you are saying is absurd. I could go the rest of my life with no accidents. People have accidents for many reasons, stress in their life, tired, etc. You must be an underwriter always putting people in the worst category just to make money off of a person causing an even greater financial hardship on poor working people that can barely survive in some states. The insureds should have the capability to check businesses credit report and access their personal information to see how it feels. Since Enron and other companies, why shouldn’t we be able to view what they do with their money as well? Should business owners be exempt from putting their cards on the table? We take a chance choosing an insurance company as well. How do we know the insurance company will even pay what they are supposed to pay. Consumers need to start reporting problems to the Better Business Bureau.
I think you are avoiding the problems that are happening with insurance companies. I think you need to take a Consumer 101 class. You seem to think it’s ok even when insurance companies are doing the wrong thing. Maybe you are right to some extent, but I still haven’t resolved my insurance issue and it’s been over 4 months. I went to the right people and proved my point. I’m not the only one that has problems with insurance companies, not to generalize, it’s just dificult to tell the difference between who is honest and fair. It’s as bad as trying to find an honest attorney that’s fair in his business, get my drift.
For starters you can view AM Best. This will give you a good idea of a companies solvency. Also, what I am saying about the accident is true and I pay round $1500 a year for 2 cars and 2 drivers. I am also far from perfect, but I hate to have people bash the industry. Also, after Enron there was the Sarbanes-Oxley Act of 2002 to protect investors and to have some internal controls. The SEC also works on this.
I also am not an UW. I am a Commercial Compliance Specialist who works for an independent insurance agency. I review the ENTIRE policy and its language to make sure it is as favorable as possible for our clients in the event of losses, etc. There are some companies that have questionable practices, but overall I think the industry does well. I also believe in the use of credit as an indicator of risk, but that is another subject.
You can check how financially sound an insurance company is, because you are right, you do take a risk that the insurance company will still be around when you need them. Check out a company called AM Best. They rate insurance companies to see how well they handle their money.
I am not an underwriter, I work in pricing. My job is to determine who to charge more and who to charge less.
when you go into a restaraunt, the people who eat more get charged more
when you go to the grocery store, the people who get more groceries get charged more
The electric company charges the people who use more electricity more
and….
the insurance companies charge the people who have more accidents more.
Sure, accidents happen for all sorts of reasons like you said. But it doesn’t matter if you have accidents because of stress, ADD, epilepsy, alcoholism, bad tires, etc. People who have accidents costs insurers more than people who don’t. Every business charges its costliest customers more.
I don’t own an agency and am by no means rich. I would consider myself middle-class with comfortable living means. What exactly is your “insurance problem?” That you pay 1500 a year after having 2 accidents?
So if your job is a specialist to review what is written, what can the average insured do and how do we know who is good? Mass has been regulated and everybody was paying the same. Well there was no leeway. If you’re paying that for 2 cars, that is only $750 per year. I am paying almost $1,800 for a 1993 vehicle. So what are we supposed to do to make an intelligent choice and not being informed as to who is good and who isn’t? Consumers have nothing to go buy as far as I know.The person who goes into the insurance business is aware of the liabilities, if there wasn’t any profits to be made, there would be no agents or companies.
AM Best and google are your friend. Also, read the policy. It is not necessarily fun, but it is a way to see what you are buying. If the people in NO had done this, there wouldn’t be so much litigation. Shop around as well. There are other companies out there. If you pay that much you are probably in a Non-standard/sub-standard company due to driving record and credit. Try other companies as they all have different factors for each company to see what happens.
If you are in Mass, it hasn’t been the insurance companies, its been the State. They set the rates for everyone. Starting in April, companies will be able to set their own rates in what the state is referring to as “managed competition” ( ie: the state gives them some ability to charge different rates, but its still very restricted )
Like others have said. Shop around. Different companies calculate their rates differently. Some forgive accidents, some give student discounts, etc.
well, sounds like you have been hit by everyone, but i think you actually fail to realize a few things.
costs: associated with the accident is not just your vehicle, but all property involved – that includes the other guys car, building or any other property.
but remember, not only do we service you in your pool, but others as well. you may not notice is that the pool or territory in you area might have more increased of activity. that may cause for premiums to rise. but also remember, we are a business too, and want to profit– the company i work for tries to achieve a 4% profit. sometimes, our losses are low and we adjust rates after the year or even in 6 months.
GB, Everybody is a risk…that’s why we ALL have to purchase insurance, get it? At any point in time, any of us can either hit someone or be it, that’s is just the nature of t he beast, that’s why we are forced to purchase exhorbitant insurance. You must be an agent. So you have NEVER been in an accident. If we as drivers had an alternative to get 30 miles to work, that was efficient, we’d do it.
Instead of using a percentage, give me th numbers. It could mean millions, or billions for all i know. if there weren’t profits to be made. then people wouldn’t be selling profits. The other argument is, our cars are usually not parked we we live all day. Many people have to travel at least 30 miles and park their car at a lot where there’s an attendant. Why aren’t the planning commissions in aech location, planning for more efficient for public transportation, then we wouldn’t be on Rt 93 for 1-2 hours, stressed to get to work?
INSURANCE COMMISSIONER TYLER FINES ALLSTATE $750,000 FOR NON-COMPLIANT …
… ALLSTATE $750,000 FOR NON-COMPLIANT CONSUMER NOTICES Largest Property and Casualty Fine on Record Baltimore, MD (December 20, 2007)… Maryland Insurance Commissioner Ralph S. Tyler …
mdinsurance1.mdinsurance.state.md.us/sa/documents/Allstateviolations12-07final.pdf · Cached page· PDF file
Testimony
07:16 From: NancyPelosi
Views: 1,864
Re Elect Jim Hood MS Attorney General
00:31 From: jimhood07
Views: 641
Katrina Insurance Claims Hearing: Rep. Waters On “Claims”
01:39 From: NancyPelosi
Views: 496
About This Video Rep. Gene Taylor testified on his observations …Rep. Gene Taylor testified on his observations on the experiences of his Mississippi constituents with the state farm insurance companies state farm in the wake of Hurricane Katrina . State
State Farm’s Mr. Ed
CEO Ed Rust seems to have a little trouble with facts and memory…even a little unsure about his company…State Farm insurance
This is NOT Ed Rust. Ed rust was a fantastic CEO. This is Ed Rust Junior, the worst thing to ever happen to State Farm. check it out for your self . See how great the movies can be. http://www.youtube.com/user/RadicalCenter
State Farm said it would be “factually and legally wrong” for Hood to argue that his new investigation isn’t barred by his January 2007 agreement with State Farm if it focuses on fraud against the federal government rather than fraud against policyholders.
Please do not let state farm get away with this.
“The Agreement
Rather than read the rest of the posts, let me say that I agree with your comments and want to put this in another light: those who think that Allstate should be required to offer insurance in MD coastal areas, should also have the same type of requirement: you have to live to Baltimore instead of coastal MD. If homeowners and the MD insurance administration can mandate where companies must offer insurance, then companies should be able to mandate where homeowners must live.
you have to remember, that the state can regulate not mandate. its a business and if they company feels that the losses in the coastal area are not profitable, then as a business owner, i might not write that policy. i might tell the state they can find themselves writing that policy or find another company. it’s like telling the mcdonalds, you have to have a fastfood joint on the coastline. but if nobody visits the store, they will have a loss. what business today operates on a loss – NONE.
If the Commissioner has no authority to stop this insurance behavior……ho the hell does? The question is why can’t the commissioner stop them? I am fed up with authority and who they protect. Does the commissioner get a payoff? Local Mafia! Who is responsible for enforcing the law? What does an Insurance Commissioner? Get bullied by the Insurance companies or do they get schmoozed by them at dinner?
sounds like a gulf of mexico maneuver. but even worse, because this area is not known to be prevalent to hurricanes. but are they responding to the possible issue of global warming (many folks think that this is a true fact), that many houses might forsee an rise of the tide into their house. so, we still writing in the state, just not near the coastline. there are many other companies that do the same, but had been doing it for many years.
Why, in your world, would a private company not be allowed to choose what they sell and where they sell it? The reason insurance is screwed up so much in so many states is because of government regulation!
If an insurance company feels that they cannot adequately manage a particular type of risk, they avoid that risk. Requiring them to insure in a high risk area at an inadequate rate either requires the insurance company to lose money (which is the government way) or requires subsidization by those inland.
The government doesn’t care about losing money because they have the power to tax the efficient and subsidize the inefficient without going out of business. It doesn’t work that way for private business. Once they are gone… they are gone.
Communism has failed in every case because it requires force to implement it… that force means lack of freedom. Europe is choking on its socialism. Its burden of social services and government regulation is a ticking time bomb.
Please stop looking to government to take care of you! Government is about the expansion of government run by people who need to make government more powerful. They do this under the guise of helping you.
Its a big leap to go from insurance regulation to communism !!! Free market supply and demand are definately the most efficient forces in an economy, but there are times when government intervention is needed. What needs to be considered is how long the lag is before the free market can respond and what kind of harm can take place in that time. If a new pain killer was marketed that killed people, eventually the market would stop buying it….but there would be a bunch of dead people first. That’s when regulation/gov’t intervention is required. There is a difference between communism and protecting citizens. If insurers were unregulated there would be no insurance available in minority neighborhoods or coastal areas. That would have a huge effect on entire regions, not just those homeowners. Real estate markets would collapse, foreclosures would hurt banks, etc.
You are right to compare us to communism, because we are forced to pay high insurance premiums and other such things just like communism. Thank you for bringing that issue to light. We as Americans are forced to pay many things we don’t want to pay, what does that make America….Free??? think about what you are saying..we are brainwashed in this country to think we are …..free. You must be an owner of an insurance company, why else would you justify what you memtioned…it’s all about greed in this country. Did I hit a nerve. It’s one thing to make profits, it’s another thing to exploit to the point of only certain classes of people being covered…did I say the rich? Who said that? What would you know about struggling? You probably make 6 digit income.
So use another insurance company. Insurance isn’t charity. Life is tough, live with it. Or move inland. You’re not entitled to cheap insurance, sorry.
Insurance Companies are killing us in Mass…punishment for 6 years. Never are we out of punishment the way the Div of Insurance set the step, then point system. don’t belittle me. Insurance companies are raping people across the country of high premiums….especially in mass in the past 30 years of being regulated. probably someone got a kickback….why would Commerce Insurance provide a cares van, ie for towing, gas, etc. and not charge the state? hmmmmm Give me a break…the have’s and the have nots…that’s what is happening to this counrty. the rich and the poor and you know it. we can’t afford to live unless you’re middle, upper class or rich
I do live inland and it’s not about cheap insurance, it’s about fair rate setting practices. Mark! All insurance companies had to avbide by the state’s authority. Mark! it didn’t matter where we went we were chargred high premiums..allegedly the state has deregulated insurance companies…i’ll believe it when i see it. I have been paying for an accident for 6 years under the step program and additionally charged the step program for an accident that occurred in 2002. so you’re saying that is right? I’ve not only paid over $1000 in premiums, but paid over $500 to cover my accident that I was supposed to be insured for….so why am I paying yearly premiums plus beimg punished. Insurance companies are aware that people get into accidents, that’s what we pay premiums for….isn;t it. duhhhhhh
ahh…Denise ? Insurance companies make money by determining who is a higher risk and charging them more. Don’t you think it makes sense to charge the people who have accidents more than the people who don’t have accidents ?
Denise, if you have not checked to see if there is another cheaper company to write your insurance, please quite complaining and get on the phone. No I don’t make 6 figures, yes I am the middle class, yes I work for the insurance company, no federal regulation is a bad idea!
I’m mostly a fan of letting the market do its thing. As long as there is coverage available in that area, there’s no reason to interfere.
May 27, 2006, 7:33 am CDT
Posted By: Ken Vaughn
Comment:
The problem is getting what you pay for come claim time. The cost of insurance and the profits earned as a business in business to make a profit would not be questioned if bad faith never showed up at claim time. Failure to prevent a homeowner from having to become a general contractor by paying enough on a claim to give them what they paid for in premiums is a far more important subject… especially since none of the insurers are writing the first adjusters summary to truly provide enough money for a general contractor while having full knowledge that the homeowner/policyholder’s premiums included this significant cost associated with restoration. Tell an 80 year old widow she has to play general contractor and find the laborers and materials necessary to put her home back in the condition it was in prior to her loss and walk away feeling like you are in a great and fair dealing industry and I hope lightening strikes you! It’s the daily bread you feed the ignorant masses who are lead by the either equally ignorant or corrupt taxpayer supported leaders across our country. Let’s wake up and educate everyone on how this game has been played for many years. Then let’s do something about it and give homeowners what they paid for… at claim time… not political popularity time.
Good for you Denise do not give up. It,s time for the truth.. the truth hurts right boys .. Come on people tell your storys stand up get some b—- or let greed win because in the long run we all pay right boys.
We want are cake righ boys
All this time, I didn’t realize I worked for a corrupt industry! I am going to quit right now! Thanks for opening my eyes…..almost impossible to say that with a straight face.
That’s the thing about greed…if the remaining writers start making gobs of profit, more competition will come in and lower the prices.
Just wait until Walmart starts offering insurance…..then you’ll see !!
Insurance companies make money by determining who is a higher risk and charging them more iS THAT RIGHT THEY HAVE A CRYSTAL BALL TO .
They have something better than a crystal ball. Data…tons and tons of data that show that people who have low credit, lots of violations, past accidents, low deductibles, liability only coverage, and very young or old are more likely to have an accident, and should therefore be charged more.
have something better than a crystal ball. Data…tons and tons of data State Farm also has agreed to refund excess surcharges. The excess amount, $23 million, plus 5 percent simple interest, will be refunded to State Farm policyholders beginning in six months.
“State Farm has reduced its rates and has agreed to stop business practices that the Office found objectionable,” said Insurance Commissioner Kevin McCarty. “Our governor and our legislature required this by law, so I am happy to see that State Farm has reached this agreement for the benefit of its policyholders.”
As a result of a comprehensive investigation by the Office of the Attorney General, with the assistance of the OIR, State Farm will begin a program of automatically notifying its auto policyholders that are eligible to transfer to the less-costly State Farm Mutual Company
so ?? I thought we were talking about the ability to predict who was a greater risk ? Yes, State Farm is doing refunds in FL. I am not sure how that pertains to the article or recent discussions of the article. I suppose it could be held up as an example of what a Dept of Insurance should be doing if a company is overcharging its policy holders.
I believe insurance companies need to make profits, I did not get in any accidents for 3 years. Do I ever get rewarded, or is it always a punishment system? There has to be a balance. I had no mv offenses or accidents in those 3 years and when i questioned the insurance company they lied and said i had a sticker violation. I called the Registry and it was untrue. I got into a fender bender that only cost $500 for me and about the same and we were both insured through the same company. I’ll be paying now $1800 per year and was charged through last year’s point system. on top of the step system for the 2002 accident. i drive a 1993 toyota camry and got my car repainted and the body work was just done. The Division of Insurance needs to set new regulations for people who are careful. i don’t consider being a bad insured. I obey the laws and pay my bill. It appears that the insurnce companies are making well over the cost torepair my vehicle and then some.
Many companies reward good driving. I know where I work we offer a safe driver discount that can be up to 15%.
If your insurance company has incorrect information regarding your violations, I would think if you got it corrected, they would refund you any overcharges.
No one ever considers themselves a bad insured. If they did, we could just get rid of all the actuaries and ask people if they are a bad risk.
Thank you for your support. I felt as though I am the only one seeing the BS. thanks. d
This is exactly what I mean that is going on in our country. People being raped and excessively charged…take Exxon for instance….billions….or shortage…what another scam!
Mass finally cracked the fraud ring, was supposed to give the people of mass 11.7 percent back…last year, but the commissioner did some fancy footwork and we are supposed to get it back in 2008..hmmmm about $119 per person. What a scam! I am so sick of the way this country does business so the elite business owners can drip in wealth, while us pee-ons can suffer taking almost a weeks’ paycheck to pay our monthly exhorbitant unfair and over-charged premiums. My premiums doubled in 8 years on the same vehicle. Only 2 accidents.
I filed a complaint with the Division of Insurance. His so-called investigation was a simple regurgatation of what he was told by the insurance company and never even dicd his job. I called the Commissioner’s office, but they are too high and mighty to talk to anyone beneath them. It has been since last July and I have phone call, after phone call after email. They got caught and they know it and the director is protecting their fraud. Do I seem like a person that would not do something about a problem. That’s what I am sick of in this country. Tryint to get something resolved…i 800 frustrate. Tell your story over and over. The top dogs won’t even get off their___ and do what is rights according to the law. that’s why we need to stop being complacent and apathetic. I am a grad student and am willing to take the time to articulate the problem or issue and present my case, but it just falls on deaf ears. There are too many friends in high places, that’s whats wrong with our country. People are loyal to their friends instead of what is right.
“only” 2 accidents in 8 years ?!?!?!
That’s 2 more than most people got. You shouldn’t be surprised that your rate doubled !!
Hey Denise-If your so upset with this country you can do 2 things about it:
1) Move
2) stop spending so much time on this website complaining about everything, get off you butt and make a difference.
That is 2 accidents within a 10 year perriod, cost of accidents about $5,000 for both. cost of my insurance inclucing premiums for 10 years is approximately $15,900. Approximately, $10,000 profit off one driver…hmmmm not to mention the cost of each accident times six years that I have to pay. The state and the insurance company make a great couple.
If you go off straight losses, sure. But lest we forget about paying the claims people (even the ones who answer the phone) as well. Insurance is also about expenses.
My wife and I also have only had 1 accident in several years (hit a deer) and it was only $1,500 in damages after the deductible. I probably pay that a year in premiums. Guess what?? I keep on paying for the big one. The one that might put me into financial ruin. Does that mean that the insurance company might come out ahead and I never have another claim for the rest of my life? That is the risk I take. Could I hit a bus full of nuns tomorrowing killing all 20 and be sued for the full limits, including my umbrella? That is the risk the insurance company takes. I think in this case, they are on the hook more, so I keep paying. Denise, you could always self-insure. Then at the end of the year you can give yourself a dividend and buy yourself something nice. Just hope you don’t have an accident…..
But your insurance company is accepting the risk that you present every time you get behind the wheel. Just because your last 2 accidents only cost $5000, who’s to say the next one won’t cost 10 times that. Its pretty easy to have an accident that costs $100,000 dollars if there are injuries involved.
Face it: You are a high risk for an insurance company. That’s why you have a high premium
What the hell do you think I’m going to school for, Women in Politics and Public Policy. Move to what? It’s a systemic problem that more people need to be aware of. Im not on here to whine, but to expose what is going on and to hear from other people. If I’m on my butt, what are you on? It takes a long time to expsoe things and to get it changed. I call the committees at the state house, I write letters, send emails, etc. What do you do? besides sit on your butt? I do intend on making a difference and making changes. That’s why for a temporary time I am in poverty until I get a better-paying job and not just be a sales clerk or a secretary…been there done that…dead end positions and then have to work 1 or 2 more jobs…well anyway, I do partiipate and engage in trying to make changes to laws that are not fair..do you? or harm a particular people.
You are aware that the insurance company has more expenses than the accident. Maybe the salary of its employees or possibly an electric bill. So really they didn’t make $10,000 of one driver.
Denise, I think you need to take an insurance 101 class. That might serve you well.
Let’s face it. You must be a perfect person who never does anything wrong. I’m sure by your sarcasm, that you never got into any accident. What you are saying is absurd. I could go the rest of my life with no accidents. People have accidents for many reasons, stress in their life, tired, etc. You must be an underwriter always putting people in the worst category just to make money off of a person causing an even greater financial hardship on poor working people that can barely survive in some states. The insureds should have the capability to check businesses credit report and access their personal information to see how it feels. Since Enron and other companies, why shouldn’t we be able to view what they do with their money as well? Should business owners be exempt from putting their cards on the table? We take a chance choosing an insurance company as well. How do we know the insurance company will even pay what they are supposed to pay. Consumers need to start reporting problems to the Better Business Bureau.
You must have a good income to not worry about paying that much a year. Dont tell me, you own an insurance company right?
I think you are avoiding the problems that are happening with insurance companies. I think you need to take a Consumer 101 class. You seem to think it’s ok even when insurance companies are doing the wrong thing. Maybe you are right to some extent, but I still haven’t resolved my insurance issue and it’s been over 4 months. I went to the right people and proved my point. I’m not the only one that has problems with insurance companies, not to generalize, it’s just dificult to tell the difference between who is honest and fair. It’s as bad as trying to find an honest attorney that’s fair in his business, get my drift.
For starters you can view AM Best. This will give you a good idea of a companies solvency. Also, what I am saying about the accident is true and I pay round $1500 a year for 2 cars and 2 drivers. I am also far from perfect, but I hate to have people bash the industry. Also, after Enron there was the Sarbanes-Oxley Act of 2002 to protect investors and to have some internal controls. The SEC also works on this.
I also am not an UW. I am a Commercial Compliance Specialist who works for an independent insurance agency. I review the ENTIRE policy and its language to make sure it is as favorable as possible for our clients in the event of losses, etc. There are some companies that have questionable practices, but overall I think the industry does well. I also believe in the use of credit as an indicator of risk, but that is another subject.
You can check how financially sound an insurance company is, because you are right, you do take a risk that the insurance company will still be around when you need them. Check out a company called AM Best. They rate insurance companies to see how well they handle their money.
I am not an underwriter, I work in pricing. My job is to determine who to charge more and who to charge less.
when you go into a restaraunt, the people who eat more get charged more
when you go to the grocery store, the people who get more groceries get charged more
The electric company charges the people who use more electricity more
and….
the insurance companies charge the people who have more accidents more.
Sure, accidents happen for all sorts of reasons like you said. But it doesn’t matter if you have accidents because of stress, ADD, epilepsy, alcoholism, bad tires, etc. People who have accidents costs insurers more than people who don’t. Every business charges its costliest customers more.
I don’t own an agency and am by no means rich. I would consider myself middle-class with comfortable living means. What exactly is your “insurance problem?” That you pay 1500 a year after having 2 accidents?
So if your job is a specialist to review what is written, what can the average insured do and how do we know who is good? Mass has been regulated and everybody was paying the same. Well there was no leeway. If you’re paying that for 2 cars, that is only $750 per year. I am paying almost $1,800 for a 1993 vehicle. So what are we supposed to do to make an intelligent choice and not being informed as to who is good and who isn’t? Consumers have nothing to go buy as far as I know.The person who goes into the insurance business is aware of the liabilities, if there wasn’t any profits to be made, there would be no agents or companies.
AM Best and google are your friend. Also, read the policy. It is not necessarily fun, but it is a way to see what you are buying. If the people in NO had done this, there wouldn’t be so much litigation. Shop around as well. There are other companies out there. If you pay that much you are probably in a Non-standard/sub-standard company due to driving record and credit. Try other companies as they all have different factors for each company to see what happens.
If you are in Mass, it hasn’t been the insurance companies, its been the State. They set the rates for everyone. Starting in April, companies will be able to set their own rates in what the state is referring to as “managed competition” ( ie: the state gives them some ability to charge different rates, but its still very restricted )
Like others have said. Shop around. Different companies calculate their rates differently. Some forgive accidents, some give student discounts, etc.
well, sounds like you have been hit by everyone, but i think you actually fail to realize a few things.
costs: associated with the accident is not just your vehicle, but all property involved – that includes the other guys car, building or any other property.
but remember, not only do we service you in your pool, but others as well. you may not notice is that the pool or territory in you area might have more increased of activity. that may cause for premiums to rise. but also remember, we are a business too, and want to profit– the company i work for tries to achieve a 4% profit. sometimes, our losses are low and we adjust rates after the year or even in 6 months.
GB, Everybody is a risk…that’s why we ALL have to purchase insurance, get it? At any point in time, any of us can either hit someone or be it, that’s is just the nature of t he beast, that’s why we are forced to purchase exhorbitant insurance. You must be an agent. So you have NEVER been in an accident. If we as drivers had an alternative to get 30 miles to work, that was efficient, we’d do it.
We were not able to shop around, everybody gave the same rates…hello,,, regulated by the state, now is deregulated???
Instead of using a percentage, give me th numbers. It could mean millions, or billions for all i know. if there weren’t profits to be made. then people wouldn’t be selling profits. The other argument is, our cars are usually not parked we we live all day. Many people have to travel at least 30 miles and park their car at a lot where there’s an attendant. Why aren’t the planning commissions in aech location, planning for more efficient for public transportation, then we wouldn’t be on Rt 93 for 1-2 hours, stressed to get to work?
INSURANCE COMMISSIONER TYLER FINES ALLSTATE $750,000 FOR NON-COMPLIANT …
… ALLSTATE $750,000 FOR NON-COMPLIANT CONSUMER NOTICES Largest Property and Casualty Fine on Record Baltimore, MD (December 20, 2007)… Maryland Insurance Commissioner Ralph S. Tyler …
mdinsurance1.mdinsurance.state.md.us/sa/documents/Allstateviolations12-07final.pdf · Cached page· PDF file
Testimony
07:16 From: NancyPelosi
Views: 1,864
Re Elect Jim Hood MS Attorney General
00:31 From: jimhood07
Views: 641
Katrina Insurance Claims Hearing: Rep. Waters On “Claims”
01:39 From: NancyPelosi
Views: 496
About This Video Rep. Gene Taylor testified on his observations …Rep. Gene Taylor testified on his observations on the experiences of his Mississippi constituents with the state farm insurance companies state farm in the wake of Hurricane Katrina . State
State Farm’s Mr. Ed
CEO Ed Rust seems to have a little trouble with facts and memory…even a little unsure about his company…State Farm insurance
This is NOT Ed Rust. Ed rust was a fantastic CEO. This is Ed Rust Junior, the worst thing to ever happen to State Farm. check it out for your self . See how great the movies can be.
http://www.youtube.com/user/RadicalCenter
State Farm said it would be “factually and legally wrong” for Hood to argue that his new investigation isn’t barred by his January 2007 agreement with State Farm if it focuses on fraud against the federal government rather than fraud against policyholders.
Please do not let state farm get away with this.
“The Agreement
Rather than read the rest of the posts, let me say that I agree with your comments and want to put this in another light: those who think that Allstate should be required to offer insurance in MD coastal areas, should also have the same type of requirement: you have to live to Baltimore instead of coastal MD. If homeowners and the MD insurance administration can mandate where companies must offer insurance, then companies should be able to mandate where homeowners must live.
you have to remember, that the state can regulate not mandate. its a business and if they company feels that the losses in the coastal area are not profitable, then as a business owner, i might not write that policy. i might tell the state they can find themselves writing that policy or find another company. it’s like telling the mcdonalds, you have to have a fastfood joint on the coastline. but if nobody visits the store, they will have a loss. what business today operates on a loss – NONE.