Just my opinion having bought insurance for dozens of cars over the past 50+ years, as well as having worked for the largest automobile insurer in Texas.
1. You do not get anything from your insurance company for your loyalty....in most cases, your loyalty is rewarded with higher and higher premiums at each policy renewal. I had State Farm insurance for 30 years and their rates kept going up and up even when there were not accidents, claims, or tickets. To reward me, they sent me a letter for being a loyal customer and that they would never cancel my insurance?? No, they just raise the price. Loyalty gets you nothing. Every time my policy comes up for renewal, I shop for a better rate from the competition, and the lowest price for the same coverage gets my business.
2. Discounts are always based on a highly inflated premium that most people would never pay...and the discounts only appear to make their insurance prices competitive. My insurance company offered me a $56 discount if I took a Defensive Driver course (Cost $19) I took it and got the discount. Next time my policy came up for renewal my 3 year Defensive Driver discount went down to $4 and my policy went up $60?...not to mention the $19 I paid for the course?
3. Don't fall for those claims that they can lower your car insurance bill by hundreds of dollars over any other company....It's total BS. If you find a company that will give you a lower rate, take it, because the next renewal the rates will go back up and many of the discounts will vanish. That's when you look for another insurance company offering a lower premium for the same or similar coverage.
4. Multi-car discounts are legit, and can reduce your premium over insuring multiple cars with different companies, but don't fall for the hype about bundling in your homeowner insurance with your car insurance (Multi-line policy) I did that and the first year savings evaporate when the policy comes up for renewal because the homeowner insurance rates goes up through the roof ! They also use the combined multi-line policy to confuse the consumer as to what and why the cost is increasing when there are no claims or added risks. I found that getting separate quotes for homeowner and car insurance saves money, and allows me to search for the best rates for each individual policy. If my car or homeowner insurance increases unjustly, I can easily change to a company that offers a lower rate without having to change the other policy that has a lower rate.
I have changed my Homeowners insurance 4 times in 6 years since I bough my new house in 2010. I have stuck with my current homeowner insurance company for the last 3 years now since nobody can give me a better rate for similar coverage. My car insurance (2 vehicles) and separate homeowners insurance are cheaper than any company has quoted me for a combined multi-line policy.....and they are the lowest rates I have found.
I have GEICO for car insurance (for about 12 years now) only because nobody can quote me a lower price. AUSA's quote was the closest, but still $15 more than GEICO.
I have SAFECO for my homeowners insurance...they keep going up every year, and they have some things I don't really need, but nobody can beat their price....but I keep checking every year....some companies want nearly twice as much for the same coverage??
...Rich
