Insurers' 10 dirty little secrets

Sounds like people are upset that they can't commit fraud.  Who's slimy now??

I sick of paying for these people!!

WACO3 is right. Call your agent and get a quote (i.e. an estimate) of how much your premium will change before you purchase the vehicle. And if you will need full coverage try and have the VIN when you call. Even if only the insurance companies know if a vehicle has a symbol 8, 10 or 16; the agent will be able to enter the VIN into the computer and pull up an estimated premium increase with the deductibles you have chosen. Oh, and VIN stands for vehicle identification number. If you say VIN number you are saying vehicle indentification number number.

The information in this article is only about 25% correct.  While things like ISO and Insurance scores are used,  It is not the insurance company that makes up the rates.  Its the state insurance department that tells the insurance companies what they are allowed to charge. They are the ones that approve what the rates are.  All insurance companies have to pass any rates, policies and contracts thru the states insurance board for approval before they can charge their membership.  Is it corporate America, sure.  But to pin it all on the insurance companies is like saying you dislike a congressman, but you never voted.  Just stupid.  Grouping all insurance companies together is also unfair.  While most are in it for themselves, and only looking out for themselves, there are still a few gems out there.

I have USAA, I'm not worried about it. Being a reciprocal company, there are no shareholders, or big biz guys behind the scenes. The membership owns the company.  They might not always have the best rates, but they are fair, honest, ex military for their staff, and don't work on commission.   Ask your agent the next time you look at your auto or home insurance how much he makes off of you a month, 6 months, yearly...

If your 5 year old roof or 5 year old car gets damaged, you do not get a brand new roof or car, you get indemnified, which means you are restored to your state prior to the loss occurring.   So, a 5 year old car may get aftermarket or LKQ parts rather than new factory parts, and in the case of the roof, the policyholder will be responsible for a pro-rated portion of the new roof, because their roof was not brand new, it was 5 years old.

Policyholders can choose their deductibles, and their premiums differ based on the deductible they choose.  a deductible is not forced on you by an insurer, and if it is, pick a different insurer

Insurers use credit history to assist in rating, just like lenders.  If a person is irresponsible with their money, its a good indicator that they are irresponsible with their vehicle, and as such, will be charged a higher rate.

Attorneys have little to no effect on how a claim and settlement are handled.  when you hire an attorney, you are paying them (in most cases 33% of your settlement) to negotiate your settlement for you.  That is all.  The length and type of treatment you receive dictates how long it takes to settle, and insurance company cannot settle with you in most cases until you have 1. completed treatment 2. they have received all of your bills and records 3. and your attorney gets around to putting a demand together, which in many cases...they take their time because most injury attorneys have hundreds if not thousands of similar cases pending and you are not special.  an insurance company cannot do anything until the attorney submits a demand to them.  Insurance companies would be acting in bad faith if they deliberately delayed settlement of a claim, something that they generally avoid and state governments sanction them severely in justified bad faith cases.

In regards to the forced-premium insurance, if you dont make your payment, suck it, you are ultimately responsible for what happens to you if you do not make your payment, regardless of your scenario.  These things are in the lending contracts, so the consumer knows before they sign anything the consequences of not making good on their side of the contract.  The lenders and insurers are bound by state and federal law to honor the terms of the contract, and by and large they do, it is very rare for a lender or insurance carrier to violate the terms of any contract, do the research.