Originally posted by 442w30
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As far as the timing of their premium increase, that is a little cheesy. The reason they don't do that up front is that MVRs/CLUE reports cost $. I've been out of the game for almost 4 years, but a full MVR/CLUE used to run anywhere from $7 to $15 PER DRIVER...that may have increased by now. I can see them not wanting to spend that on EVERY SINGLE QUOTE...but they should have run it immediately after you showed committed interest....not three weeks later.
As far as spending $$ on advertising....GEICO, Progressive, and SafeAuto are the 3 that do that the most in my area. A lot of independently represented insurance companies barely advertise at all. I saw many cases where our quotes would beat the direct sellers.
As far as insurance premium variances....it isn't like buying a hamburger. When I quit insurance, we were processing 50-100 pieces of information just to give an auto insurance quote. It's probably more complicated now. There's tons of actuarial and statistical analysis that has gone into the set rates. Plus, (at least in Indiana) all rates have to be approved by the state government. Variance in rates is very complicated and usually not the result of any one thing, but dozens of things.
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