Help!! Automatic 5% Yearly Insurance Increase

[Igofastr]

Jim,

You're not a State Farm Agent, are you? Come on, come clean.

[jhv48]

Originally Posted by Igofastr

Jim,

You're not a State Farm Agent, are you? Come on, come clean.

Good catch.

Wife is!

[Bobcat]

For what it`s worth , the type of coverage must vary greatly from state to state . I just heard from my State Farm agent who I have all my insurance with ( 3 cars , house and umbrella for over 20 years ) and he checked with the home office . In SC , they will NOT write an agreed value policy .... ACV and Stated value , yes ... but not agreed value . This is why I chose to go with Robin at Midwest Classic .

Bob

[jhv48]

State Farm generally determines the value of your car at the time of a loss.

It is based on the average private party sales price of a similar vehicle as yours on the day of the loss.

So, if you spent $85k on the car, but similar cars are selling for $50k at the time of the loss, yours will be valued at $50k. If you spent $50k on it but it is selling for $85k at the time of the loss, you will get $85k.

That is how they base the value of all their insured vehicles. It's value is whatever comparable vehicles are selling for at the time of the loss.

Very fair if you ask me. Blue book and wholesale pricing have nothing to do with determining the value of your vehicle if you are with State Farm.

Check out some of the other big names in insurance and see how they determine the value of your vehicle. The words, "wholesale value" and "Bluebook" just might pop up.

[danc30]

Originally Posted by jhv48

State Farm generally determines the value of your car at the time of a loss.

It is based on the average private party sales price of a similar vehicle as yours on the day of the loss.

So, if you spent $85k on the car, but similar cars are selling for $50k at the time of the loss, yours will be valued at $50k.

Well that doesn't seem right. Let's see, car costs $85K, insurance company looks at other "replicas" that were built on the cheap and says mine is the same value as theirs. Yeah, that's fair.

That's why I went with Robbin at Midwest. AGREED Value, which means I get what both he and I agree to as the vehicles value at time of insuring it. The agreed value also goes up each year automatically, but my cost hasn't.

+1,000,000,000 for Robbin