Geico increased my 6 month auto insurance premium by $600

[BobHarris]

Im not a P & C guy but I do live in Mass and have Geico. My cars are a bit older and I have 2 inexperienced drivers as part of my family. Roughly 78% of my premium is directly related to Massachusetts mandatory mandates. Im paying roughly $2000 for the year

 

[adjusterjack]

Bob, you might as well say that 100% of your premium is related to MA mandates. When insurance is mandated by law you pay for it regardless of the rate classification.

It would be more accurate to say that the major part of your premium is due to the inexperienced drivers in the household who are the most expensive to insure.

How old are they?
Male? Female?
Number and types of cars?
Liability only?
Or does one or more have comprehensive and collision?
City?
Who drives what?

Even without that information, I'd say that $2000 per year is not unreasonable, these days.

I have three vehicles. one has liability with comprehensive and collision. The other two are old enough that I just have liability. I'm the only driver, age 75, clean record, 800 credit score, drive 2500 or less miles per year (total for all three) and the best I could get was about $750 for 6 months ($1500 annualized) and I don't know where it's going to do in August when the renewal comes up. I'm in the highest rated zip code in Phoenix.

 

[Allen Trent]

Male? Female?

I don't think Massachusetts allows rating based on gender/sex or whatever it is called today

 

[BobHarris]

Bob, you might as well say that 100% of your premium is related to MA mandates. When insurance is mandated by law you pay for it regardless of the rate classification.

It would be more accurate to say that the major part of your premium is due to the inexperienced drivers in the household who are the most expensive to insure.

How old are they?
Male? Female?
Number and types of cars?
Liability only?
Or does one or more have comprehensive and collision?
City?
Who drives what?

Even without that information, I'd say that $2000 per year is not unreasonable, these days.

I have three vehicles. one has liability with comprehensive and collision. The other two are old enough that I just have liability. I'm the only driver, age 75, clean record, 800 credit score, drive 2500 or less miles per year (total for all three) and the best I could get was about $750 for 6 months ($1500 annualized) and I don't know where it's going to do in August when the renewal comes up. I'm in the highest rated zip code in Phoenix.

Im not complaining about the rates. The vast majority of my premium is all related to the mandates and liability, and I increased the limits on both of those. For example, I live 30 minutes from New Hampshire, which has virtually no auto insurance laws. I carry higher than normal underinsured and uninsured coverage.

I carry comprehensive on all 4 cars because it includes glass coverage with no deductible. I only carry collision on my 2013 vehicle. All the other cars are 2006-8 and would be totaled anyway

 

[BobHarris]

I don't think Massachusetts allows rating based on gender/sex or whatever it is called today

Correct

 

[adjusterjack]

I don't think Massachusetts allows rating based on gender/sex or whatever it is called today

It doesn't, according to the MA Consumer Bill of Rights for Auto Insurance.

Massachusetts Consumer Bill of Rights for Automobile Insurance | Mass.gov

Here's a part that I found alarming:

"Your policy's bodily injury protection (part 1) only applies to accidents that occur in Massachusetts. In order to have bodily injury coverage outside of Massachusetts, you must purchase the optional part 5."

Bob, are you aware of that? Did you buy Part 5?

What did your agent tell you about it?

 

[Allen Trent]

It doesn't, according to the MA Consumer Bill of Rights for Auto Insurance.

Massachusetts Consumer Bill of Rights for Automobile Insurance | Mass.gov

Here's a part that I found alarming:

"Your policy's bodily injury protection (part 1) only applies to accidents that occur in Massachusetts. In order to have bodily injury coverage outside of Massachusetts, you must purchase the optional part 5."

Bob, are you aware of that? Did you buy Part 5?

What did your agent tell you about it?

Wow. That is nuts, especially for such a small geographic state. Maybe that is the law, but maybe policy language is not as restrictive

 

[Downeast Agent]

Wow. That is nuts, especially for such a small geographic state. Maybe that is the law, but maybe policy language is not as restrictive

Below is just a snippet from what I've looked up.

Part 1: Bodily Injury to Others (compulsory)
Pays for damages to anyone killed or injured by your auto in Massachusetts only, up to $20,000 per person, $40,000 per accident.

Part 5: Optional Bodily Injury to Others (optional unless required by leasing company)
Extends the liability coverage provided in Part 1 above the basic limits of $20,000 per person and $40,000 per accident; provides coverage for accidents off public ways and outside of MA to anywhere in the United States or Canada; automatically meets the minimum required bodily injury limits of any other state or Canadian province; pays for injuries suffered by guest occupants in your auto.

Looks like part one only ever provides the compulsory limits. If you want anything above the compulsory, you'd have to purchase it with part 5 which automatically extends it to states outside of MA and Canada. I guess it's good deal for people who never travel outside of the state. That would suck to leave, get into an accident, and find out you don't have coverage but 20/40 isn't going to help much anyway.

 

[Allen Trent]

Below is just a snippet from what I've looked up.

Looks like part one only ever provides the compulsory limits. If you want anything above the compulsory, you'd have to purchase it with part 5 which automatically extends it to states outside of MA and Canada. I guess it's good deal for people who never travel outside of the state. That would suck to leave, get into an accident, and find out you don't have coverage but 20/40 isn't going to help much anyway.

how does any Massachusetts resident get an Umbrella policy? what umbrella carrier would want on a risk with such a low out of state limit even if optional bought? Umbrella likely not going to pick up anything if underlying policy doesnt cover it already & they wont be happy if they are on the hook for anything over 20/40 if client did buy optional Part 5

we must be missing something or no one with any assets or wealth would knowing own, register cars in Mass

 

[BobHarris]

It doesn't, according to the MA Consumer Bill of Rights for Auto Insurance.

Massachusetts Consumer Bill of Rights for Automobile Insurance | Mass.gov

Here's a part that I found alarming:

"Your policy's bodily injury protection (part 1) only applies to accidents that occur in Massachusetts. In order to have bodily injury coverage outside of Massachusetts, you must purchase the optional part 5."

Bob, are you aware of that? Did you buy Part 5?

What did your agent tell you about it?

When I moved to Geico, 3 years ago or so, I replicated my exact coverage. My part 5 is 250/500K. Geico hides on their declaration sheet