State Farm wants to charge me $500/month to insure my $1000 'Burb

"cletus44 aka Clayton Seams" (cletus44)
05/23/2014 at 15:45 • Filed to: None

Argggghhhhhh!!! That means insuring two cars (just liability) will cost me $12,000 a year. I'm 23 and I had one accident that was my fault. I rear-ended a '06 Charger going 30km/h because I was distracted when my then girlfriend decided to break up with me while I was driving.

I fixed the bumper on the 'Burb myself and my insurance paid out 3k to fix the Charger. Up 'til then (and since) I had been a driver for seven years without a single speeding ticket or incidence. In Alberta, my rates went up $100 a year for three years and I can live with that as the cost of being an idiot.

But State Farm Toronto thinks it's cool to jack up my rate $300 a month for three years so I'll pay an extra $10,800 for a $3,000 instant of dumbassery.

Even telling them that my cars are worthless and that I don't even drive them to work didn't change the number one cent. Any ideas on how to get around this? And please don't guilt me for the accident. I have learned my lesson there.

DISCUSSION (25)

ADabOfOppo; Gone Plaid (Instructables Can Be Confusable) > cletus44 aka Clayton Seams
05/23/2014 at 15:47

Change Insurance providers?

That's major BS.

cletus44 aka Clayton Seams > ADabOfOppo; Gone Plaid (Instructables Can Be Confusable)
05/23/2014 at 15:48

I think I'll have to. I've had fantastic experiences with State Farm Alberta but this is just nutso.

ADabOfOppo; Gone Plaid (Instructables Can Be Confusable) > cletus44 aka Clayton Seams
05/23/2014 at 15:51

I'm guessing it's something to do with the theft/accident ratings for the 'Burban, and perhaps less to do with your accident than you think.

I'd bet those Burbs are sought after for parts, and the people your age who drive them crash a lot. That said, raising your rates 10k a year is profoundly greedy. I'd tell them to take their rate hike and shove it up a camel's ass.

JGrabowMSt > cletus44 aka Clayton Seams
05/23/2014 at 15:56

State Farm is a fricken racket. They wanted $1200 every 6 months for a magnum, we're the same age. Progressive with similar coverage wanted $642 every 6 months.

Flo got me.

Drop SF like the stupid rock it is.

Brian, The Life of > cletus44 aka Clayton Seams
05/23/2014 at 15:56

That's their "we don't want you as a customer anymore" price. Oblige them.

Luc - The Acadian Oppo > cletus44 aka Clayton Seams
05/23/2014 at 15:57

You're in alberta? You might want to get a quote from RBC insurance. I had a small incident when I was 23, I backed into a parked car and caused $4000 damage. I can't remember the name of the insurance company I was with at the time. but they tried to jack up my rates by about $300/months. so I started calling around and RBC even with admitting about the accident and that I was the one at fault.Was cheaper than the other company was pre-accident. I'm 29 now and I pay $115/month for full coverage with RBC. That's with 1 accident,1 minor speeding,1 major speeding and 1 suspension(because of the major speeding).

Mr. Ontop, No Strokes, No Smokes...Goes Fast. > cletus44 aka Clayton Seams
05/23/2014 at 15:57

I think I could plow down a whole busload of nuns and orphans while shotgunning rum and cokes and still get a better rate than that! Look around for a different provider, man.

KMarino > cletus44 aka Clayton Seams
05/23/2014 at 15:57

Definitely get quotes from other companies. When I got married and got off my parents policy I got a quote from State Farm (Louisiana) and it was much more than who we went with, Liberty Mutual. Even if the others aren't lower at least you'll know your getting the best price.

Wacko > cletus44 aka Clayton Seams
05/23/2014 at 16:01

damn, I heard it costs more in alberta and other provinces, well i'm glad i'm in quebec since any car I insure (just liability) is about 150 a year.

Roberto G. > cletus44 aka Clayton Seams
05/23/2014 at 16:03

That's just crazy! ...ok, you had an accident... but insurances are for that, otherwise why we should pay them? Here in Italy, I pay for my 5 y.o. car an RCA (Automotive Civil Responsibility) insurance of €340 PER YEAR (highest coverage), because (touch wood) I had my last accident 10 years ago. These the charts, related to a 35 y.o with a 1,600 cc. FIAT hatch:

Chart 1 - The best car insurance tariffs per year, for the "expert" driver:

!!! UNKNOWN CONTENT TYPE !!!

Chart 2 - The best car insurance tariffs per year, for the "newbie" driver:

!!! UNKNOWN CONTENT TYPE !!!

davedave1111 > cletus44 aka Clayton Seams
05/23/2014 at 16:04

I don't know what your insurance market is like, but over here insurers seem to specialise in particular categories of driver, so when your circumstances change, the insurers you get the cheapest quotes from will also change. Although your old insurer might now quote some ridiculous rate because they don't want to deal with you, someone else will offer a much better rate for that kind of business because you're their kind of customer.

Regardless, does anyone these days seriously still buy insurance (where it's not a monopoly) without checking comparison sites first?

cletus44 aka Clayton Seams > Luc - The Acadian Oppo
05/23/2014 at 16:14

I just moved to Toronto but I'll look into it. Your situation seems really similar to mine actually. Thanks for the tip!

cletus44 aka Clayton Seams > Brian, The Life of
05/23/2014 at 16:17

Damn right

TheNeonDriver - Now with More BMW! > cletus44 aka Clayton Seams
05/23/2014 at 16:19

See, what you said there is the key word. "Toronto".
When I lived on Dundas and Kipling, I had to have my car registered with my parents (I was also 23) and insure it outside the city. There was no way I could afford the $450/month they wanted to charge me for a street parked car in Toronto.

I will also say that I drove to work out of the city everyday, so I needed the car.

Try TD, they gave me an awesome quote, however, I was with economical insurance for years while living just outside the city in Oshawa.

cletus44 aka Clayton Seams > TheNeonDriver - Now with More BMW!
05/23/2014 at 16:21

Thanks for the info! My cars are really just for after-work stuff and they live off the street. I didn't realize until recently how much insurance costs if you're central (like I am)

Jon-o > cletus44 aka Clayton Seams
05/23/2014 at 16:29

Just thought I'd chime in. I'm also from Alberta and moved to Toronto (im also 23). I'm insuring a 1996 ford thunderbird and have had good luck with TD Meloche Monnex. My rate is about $180 a month with a clean record though no accidents or tickets. They usually have among the best rates for older cars. I referred a friend who was dropped by her insurance company because her 94' Mustang was too old. Might be worth a look.

Jedidiah > cletus44 aka Clayton Seams
05/23/2014 at 16:40

That blows. I'd change providers. It sounds like they are charging you the "get lost" rate. If I were you, I'd happily do so. I despise the insurance industry; they're all a bunch of crooks.

desertdog5051 > cletus44 aka Clayton Seams
05/23/2014 at 17:13

SF's way of cancelling your policy.

erastus > cletus44 aka Clayton Seams
05/23/2014 at 17:40

Shop around for sure, try Belair or as other people said TD, and just do liability not comprehensive. How long ago was the accident? And you have your full G right?

DasWauto > Jon-o
05/23/2014 at 18:14

+1 on TD MM (the Meloche Monnex seems to be important cletus44). They seem to be consistently the best for auto insurance here in Ontario. Their rates are cheapest for my e30 as well.

DasWauto > cletus44 aka Clayton Seams
05/23/2014 at 18:15

Welcome to Ontario, now bend over. - Insurance companies.

As others mentioned, shop around. I'll second the TD MM suggestion.

The Compromiser > cletus44 aka Clayton Seams
05/23/2014 at 19:07

mom had state farm. She got hit by a drunk driver.never had a ticket in her life. When renewals came up, they dropped her like a hot rock. Fuck em.

thebigbossyboss > cletus44 aka Clayton Seams
05/24/2014 at 00:02

We don't call in "Onterrible" for nothing.

my car smells like crayons > cletus44 aka Clayton Seams
05/26/2014 at 12:43

State Farm is one of those ridiculous companies who base rates off of arbitrary means. Take their motorcycle insurance- completely based off of displacement. So a Yamaha R6 putting out 120 hp costs less to insure than a 37hp KLR650.

I think the key indicator State Farm is using now is who is buying the vehicle. Your low insurance rates before were based on financially-secure young-to-middle-aged parents; the rapidly declining prices of this vehicle in the used market makes them attractive to a younger crowd. That changing demographic is likely their primary driver for the rate increase.

OnetimeBlueboy > cletus44 aka Clayton Seams
05/26/2014 at 16:34

I assume you quoted Canadan francs, or Euro, or whatever. What does that come to in real money?

I don't know the laws there, but here in South Carolina (which is in 'Murica, you foreign heathen) a motorist with no violations in the past three years can pay a one-time fee of $500 to be a registered, legally uninsured motorist (essentially self-insured, assuming all liability, etc.). Maybe the supposedly enlightened Canadans have a similar program.