Variability of Insurance

Today I had planned on doing laundry. But we’ve got a house full of teens who wanted a safe haven from the post-prom parties, and now the plumbing has backed up. So while I wait, I decided to shop auto insurance. The variability has me amazed.

As background: This year our daughter started driving. This drastically increased our policy. Her turning 16.5 took our policy from $1916 per year to $3688 per year. The transitional year was difficult to change, but this year I decided to look around. As background, she did have a chargable accident her second time out on her learners permit (under $2K in damage, just our car), and she’s been stellar ever since. Her driving has also upped the mileage on our cars this year as she went back and forth to high school; that will go away in the next policy year as she’ll be at UC Berkeley with no car. Based on that, I estimated using 2/3rd of this year’s monthly mileage.

So how varied were the quotes? Remember, our AAA number from last year was $1844 for six months. GEICO came in with an amazing $843.40 for six months (I don’t know how much that will change if Karen would be a homemaker vs. retired engineer). Esurance came in at $1,494 for six months. They also estimated some other companies–in particular, $1,333 for six months from Safeco, and $1,505 for six months from 21st Century… but it looks like they didn’t get deductable numbers right. Progressive, which advertises as saving money, came in at a whopping $2765 for six months, the bulk of that being just one car at $2189. I’ve still got to call State Farm.

For a few hour exercise, it was worth it. When I get this year’s information from AAA, I’ll call them and give them one chance–otherwise we may just switch back to GEICO (we were with them many many years ago).

Music: Till I Loved You (Barbra Streisand): Love Light


2 Replies to “Variability of Insurance”

  1. If you have membership with either Costco or Sam’s, check the insurance programs there. I started with what is now Ameriprise (formerly Amex) with Sam’s and continued with Costco. We’ve been with them for almost 15 years and no one has beaten their rates. The last time I checked (several years ago admittedly), they undercut GEICO by 12%.

    Plus I charge to my Amex and get Membership Rewards points. 🙂

Comments are closed.