Vehicle Insurance

[Girona40 0]

My son is 23 and has been driving since he was 17 - here in the US he's been driving for 3 years with no claims on his insurance.

Today, we call to get an insurance quote for him and they tell us that it is based on, amongst other things, his credit rating. Although his credit is good, he has not had the opportunity to build up a good credit score because he has never purchased anything on credit. Sears/JC Penny/Target etc. won't let him have a store card because he isn't an LPR - we've been trying to get that for him for 3 years now!!

Any of you have any experience of the same and how did you get round it? At the moment he is looking at $3500 a year to insure a pretty basic car!!! This is fully-comprehensive, I know, but he has to have this because we are co-signing a loan for him to purchase it. It's the only way he can get his credit rating increased. Catch 22

Any companies you know of that may be able to help?

Thanks

G

[ctjwa 0]

that is outrageous. call an insurance agent, not the companies directly. An insurance agent can get internal quotes from many companies, find the best plan price, and sign you up for much cheaper than an individual can by simply calling for a quote.

They can do multiple types of insurance (car, homeowners/renters), and oftentimes have good package deals. Also, they get paid by the insurance companies, not you, so it is free.

[Girona40 0]

that is outrageous. call an insurance agent, not the companies directly. An insurance agent can get internal quotes from many companies, find the best plan price, and sign you up for much cheaper than an individual can by simply calling for a quote.

They can do multiple types of insurance (car, homeowners/renters), and oftentimes have good package deals. Also, they get paid by the insurance companies, not you, so it is free.

This is the quote he got through an insurance agent - our insurance agent! It is just such a ludicrous price. We are now looking at putting him on our policy, if we can. The problem with this is that he builds no insurance rating himself, but if it gets him on the road so be it!n Just wondering is anyone knows of a cheaper company. I'll keep searching, just thought you guys may have been through a similar experience.

Thanks

[wally 0]

we use State Auto here in ND, don't know if that can help you. We moved from Metlife...they were gouging us and inconsistent with their information. Also I found using a local agent may get you a better premium.

[Girona40 0]

we use State Auto here in ND, don't know if that can help you. We moved from Metlife...they were gouging us and inconsistent with their information. Also I found using a local agent may get you a better premium.

I'll try State Auto - thanks for the head's up. My husband just phoned our broker and they said that even if we put him on our insurance policy it will only drop the premium by something like $200. Hardly worth it!

We'll keep looking - but I think this is just extortionate. Apparently, and I thought this was really strange, because we live in WV the premiums are much higher. Our insurance DOUBLED from when we lived in VA. When I think how dense the traffic is in the area of VA we used to live and how little traffic there is on the roads here (maybe because they can't afford insurance! lol) it makes no sense to me.

Oh well - I guess I am going to be stuck on the computer for a while, getting insurance quotes. He really needs a new car and it's about time he had something decent. He has been through so much here and his life hasn't been much fun lately, so we thought a new car would perk up his spirits a bit.

Thanks Guys - any more suggestions welcomed.

G.

[TracyTN 237]

That is crazy!! I've read where rates go down a lot when they hit 25. At least I remember that being true when I was that age. Not sure if it still works that way or not.

I'm sure that it will be cheaper for him to be on your policy, but not much cheaper, unfortunately.

[Girona40 0]

That is crazy!! I've read where rates go down a lot when they hit 25. At least I remember that being true when I was that age. Not sure if it still works that way or not.

I'm sure that it will be cheaper for him to be on your policy, but not much cheaper, unfortunately.

Hey Tracy! You are quite right, the premium drops when he is 25, but he has a year and 5 months before that happens. It is unfortunate that the insurance companies base their premium on his credit history, as well as his driving history. He has not had the opportunity to build a credit history, since he isn't an LPR but has been here over 3 years and driving. You would think the fact that he has been paying car insurance for 3 years would help, but it doesn't seem to. It just seems so unfair that he is penalised for being an immigrant - that's how I see it. I wonder, are there any insurance companies that specialise in vehicle insurance for new immigrants? Hmmm

[flipside 0]

Call Geico: 1-800-861-8380

Or get a quote online at geico.com

[Girona40 0]

Call Geico: 1-800-861-8380

Or get a quote online at geico.com

Okay, tried Geiko - they are the most expensive yet! $5100 per year!! Don't think so, but thanks for the suggestion.

[MaryandMian 1]

Is he still in school and living at home? If so you can ask if they will give a good student rate? All of this would be if he has good grades and is in school full time. I would call around but he is unmarried male and his premiums will be higher. I just changed insurance and got a quote from Allstate and it was half what I was paying for auto and homeowners too.

Factors they look at to insure:

1. Age

2. Married or unmarried

3. Credit

4. Type of automobile

5. How crowded is the population where you drive.

6. Driving distance.

Also, if you have more than one policy with a company you can get mulit car or mulit policy discounts.

Good luck.

Mary

[mandolinv 0]

Yeah, I would keep checking and shop around. I do know, though, that for a male under 25 (regardless of credit) driving insurance is quite high. The price of 3500 (less than 200 a month) sounds really bad, but I think it was close to that for my brother until he was 25. I can't remember for sure, but 150 a month sounds right. I've never heard of it being connected with the credit rating. I don't know if that is new, or I just never heard of it before. Once he turns 25 his price should go down quite a bit. Good luck

[de_sjiem 0]

We're with Esurance (www.esurance.com) and they aren't bad, but we are also both over 25 and married.. but you could try them.... they aren't too bad..

[TracyTN 237]

Hey Tracy! You are quite right, the premium drops when he is 25, but he has a year and 5 months before that happens. It is unfortunate that the insurance companies base their premium on his credit history, as well as his driving history. He has not had the opportunity to build a credit history, since he isn't an LPR but has been here over 3 years and driving. You would think the fact that he has been paying car insurance for 3 years would help, but it doesn't seem to. It just seems so unfair that he is penalised for being an immigrant - that's how I see it. I wonder, are there any insurance companies that specialise in vehicle insurance for new immigrants? Hmmm

Nah, I think he's being penalized for being under 25, not cos he's an immigrant. They probably don't even know that.

Progressive.com supposedly gives you rates from other companies to help you find the best one, but I've never tried it.

Edited February 24, 2006 by TracyTN

[ceriserose 1]

I don't know if this will help, but when I moved from Canada my insurance agent there provided me with a hardcopy of my 5 year driving record for showing the insurance agency here. They also told me that they could supply a more comprehensive (entire) driving history if the insurance agent wanted it faxed directly to them.

It helped our agent classify me per their levels. Of course, I'm over 25 and tacked on to Hubby's insurance, but it's possible if he had a good record in the UK that it may help a bit in his favor.

I hope it works out.

[ChristinaM 0]

Girona, have you tried on BritishExpats? I seem to recall there being a thread about this before, if not more than one.

I think there is a company who specialise in immigrants, but I can't remember the name.