Dude, you live in MI...THEE worst state for car insurance and car ownership, in general. When I left Michigan, I saw just how expensive it is to drive there. My monthly premium in MI was slightly less than my 6 month premium here in NC. Let that marinate for a minute...
I used to live in Metro Detroit, and inside the city itself.
Every one of those dolls look like the mayhem guy? lol
Yes, my first quote from Progressive was ridiculous(IMO), so I switched to Farmers and it was still high but saved maybe $300 or so over 6 monhts. Within a month or two, they raised it a couple hundred bucks. I think that was when they jacked up Mustang rates across the board. Then every renewal has gone up. It has more than doubled in two years. And I have no tickets, no accidents. I just switched to Liberty Mutual, back to the rate I started at. Now to see what games they play.
The last quote I got from Farmers the rep told me I was jumping around carriers too much and that was hurting my rate. The level of BS these carriers spew is amazing.
That part is true. You have an insurance score much like you have a credit score. When you jump around you're length of time insured starts over. So if you've had company A for 1 year it doesn't really matter that you had company B for 20. You'll have the same length of time insured as the guy that had a lapse and jumped onto a company just to get insurance.
One of the primary rating factors, at least here in NJ, is one's credit rating. Regardless of miles driven or a spotless MV record, if you show pattern of poor credit and late payments, you're a much bigger risk and will pay accordingly.
Yeah, I forgot about that.
I hope everyone realizes this is complete and utter bullshit. A credit score should mean absolutely nothing when it comes to insurance, and it's something that needs actual legislation to stop. It's just an excuse the insurance industry uses to make more money.
If you don't give a sh*t about your credit or your payments you probably don't care about much else either. It shows a level of responsibility. Insurance companies are on the hook for tens of thousands if not hundreds of thousands of dollars depending on your policy, why wouldn't they use every factor available to determine your risk. Higher risk equals higher premiums and vise versa.
I completely agree. Good credit can be an indicator of someone who has been responsible with payments and money in the past. To an insurance company, that's gold. They see a person with a higher credit score as less of a liability. It makes sense. But so does a lower insurance premium for someone with a perfect record.
I am from the Netherlands, and have family that still lives there. I can tell you this is not true. I do not know who you were speaking with, some things must have been lost in translation as you mentioned. If you try to get a credit card or loan they will use the same factors, income, payment history, how long you have been employed, etc to determine if you are eligible. I do not think the "score" from the US transfers over there, don't know tbh, but overall it's the same basic principle just not called "credit score"
