Insurance Agent woes

[ouwasp]

We had been with a very reputable ins company for 20 yrs... I'll keep them anonymous, call them "Alpha". We never rec'd a penny from Alpha, yet paid them multiple thousands. Guess that's the best way, to have it but not need it.

7/12... we get a letter from Alpha telling us vague house repairs need to be made. We call our agent, are told this applies to the kids' playhouse roof. We have until Feb to do this. A bit puzzled, but no big deal. We get it fixed in Dec.

2/13...we receive a letter stating our Alpha insurance will lapse in April because we haven't completed said repairs. Agent tells us not to worry, an inspector will be sent out.

3/13... receive an "amended policy" full of legalese, telling us we will be billed for the Alpha separately. So what. Who cares about the playhouse roof. Been fixed. We look to be back in good graces with Alpha.

Usually we get billed at the start of April... but not this month. Hmmm. Monday I send my wife down to write a check, as our policy expires on Friday. The agent greets her with this: "I've got good news and bad news. The good news is I'm going independent, and I can save you thousands with Bravo Insurance! The bad news is Alpha has dropped you. But don't tell Alpha about the deal I can make you. I need to stick with the agency for a few more months."

So wife does the 800 number routine, seeking an extension from Alpha. Got the run-around. Turns out they were concerned about our house roof, not the stupid playhouse. They will take our plea under consideration, let us know something in 48 hrs. We didn't rat out their agent, just wanted to see how this would play out. In the meantime, Alpha agent is sending wife emails pumping Bravo insurance, which will be sold from agent's residence soon.

I go to Charlie Insurance, another very reputable company. They really came through last yr when another driver with Charlie Insurance coverage ran a stop sign and nailed my daughter's car. They gave us no hassle at all and were very generous in settling. Good advertisement for them, because now I'm ready to give Alpha the heave-ho.

We work out a policy with Charlie. Roughly the same cost, but a lot more trust. Charlie also says we need a new roof. Fine, we coulda taken care of it last summer. Really doesn't look that bad, but my eye is untrained... Still, I wouldn't have bought new windows and siding last yr if I had known. Oh well, it is what it is. Just thankful I can afford it.

As of midnight tonight, Charlie is our new insurance company. Tomorrow Alpha will be notified we no longer need their services. And they no longer receive our thousands.

[StoopTroup]

I don't think it was ever Alpha. I bet your old Agent got you dropped with Alpha and hoped he could get you to follow him to Bravo. Something smells funny. Either way, I bet Charlie is the best move you could make.

[ouwasp]

Bingo

[cleller]

Bravo!

[SoonerInFortSmith]

Insurance is the biggest legal racket out there IMO. How many people ever get back what they pay in? Not me. So I basically spend my whole life funding other people's mistakes.

[OklaPony]

If you're in OK then I'm going to hazard a guess that Alpha is actually Allstate. Their coverage in OK has been getting more expensive at an alarming rate and I know some of their agents are leaving over that and other issues.

[badger]

While your suspicions about your Alpha/Bravo agent seem very likely, your roof probably did need replacing since Charlie suggested it too.

I agree with Fort Smith that insurance is racket, but necessary, legal racket. Also, its racket that sometimes doesn't bother people to never use --- if you pay more into life insurance than you get back, it's likely because you lived longer. If you don't need to use car or health insurance, it's because you're not having car accidents or in bad health. Sweet!

So, insurance seems like a good business to be in. I wonder if Obamacare is hiring ;)

[SoonerInFortSmith]

Life insurance is one thing. It is totally optional. When I said "racket" I was referring to the types of insurance that are required. Car insurance, homeowner insurance, health insurance. I agree that they are necessary but they are also overpriced. It seems like there is an insurance agent on every corner. And they all seem to be wealthy individuals. I just think maybe the profit margin should be regulated on types of insurance that we are required to carry. I know it will never happen, free enterprise, blah, blah, blah. There's my rant for the day.

[C&CDean]

Since when did insurance companies go around scoping out roofs that need to be fixed? Never heard of such a thing.

[bluedogok]

Since when did insurance companies go around scoping out roofs that need to be fixed? Never heard of such a thing.
It is pretty common, we would get a letter every year from our insurance company in Austin stating they had "done an inspection" on such and such date. The only thing they wanted us to do was replace some fascia trim one time. Insurance is ridiculous in Texas as well, when the insurance department (whatever it is called down there) didn't grant most of the big companies a rate increase they pulled out of the state and left us to find coverage in 15 days. A few years later they came back and we went back to Farmer's but ever since they left for awhile the rates were ridiculous but cheaper than the interim provider. Last year when we were selling the house Farmer's was real good to deal with on a roof replacement before we put it on the market.

Our insurance here in Colorado is half of what it was in Texas and our house is worth half again more than the house in Austin.

[olevetonahill]

Farmers can eat **** and Die

[aurorasooner]

Farmers can eat **** and DieAgree. Never will do business with that Swiss bunch again since I've still not received any money from that over-charging class action lawsuit. They always say "the check's in the mail and will be there soon". I sent in the form, and sent it certified so they couldn't say they never received it. It wasn't much, but at least you'd think a quality company would pay out once they've been caught.
After a year with any of them, you'll hear the standard line, even if you haven't had a claim. "we've had a bunch of claims nationwide, and have to increase our premiums". What they're banking on is their customers will get lazy and not shop around and change when their premium goes up 10 to 15%/year even though you haven't had a claim. Then after a year away from them, you check the price with them and it's back to what it was before the price increase and then it goes up after the year is over. They do business the same way as cable companies/Sat providers do.

[olevetonahill]

Yup, Anytime yer premiums go up , Get to shopping.

I had Farmers for years out here around 1100 a year. A storm came thru broke 2 BIG windows Farmers paid me 450 bucks. A few years later another storm Roars thru I never called em just figured I'd take care of what ever minor crap that needed fixin.
An adjuster was sent out anyway. He crawled all over my roof said Yup You have hail damage, I said no big deal Im fixing to put on a new roof anyway. He went ahead and filed the claim anyway.
Farmers gave me a 100 bucks Said they deducted for the age of the roof and My 1000 buck deductible.
Then promptly cancelled me because I had had 2 claims in 3 years .

[RUSH LIMBAUGH is my clone!]

--- if you pay more into life insurance than you get back, it's likely because you lived longer. If you don't need to use car or health insurance, it's because you're not having car accidents or in bad health. Sweet!

So, insurance seems like a good business to be in. I wonder if Obamacare is hiring ;)If you wind up with more claims than the money you paid in over a long period of time, it should be no surprise that the carrier would want to drop you. They can't print money like the government.

The government is hiring. They grow whenever they want to, and in these times, they do want to grow.