State Farm just canceled my parents’ insurance policy because of my driving record. Any suggestions for new insurance companies I should consider?
A bit about my situation: I’m a 19-year-old male with a car insured in Idaho, but I’m currently attending college in Colorado. I’ve had three accidents in the past four years. The first was a hit-and-run where another driver hit me. Then, while my car was in the shop, it somehow ran out of oil, leading to the engine seizing within a day of picking it up (total loss). I got a new car, but unfortunately, I backed into someone in a tricky parking lot at low speed, damaging the tail light and cracking the bumper.
Most recently, during Thanksgiving week, I was driving in snowy conditions without snow tires. While picking up a friend, I lost control and slid off the road into a tree at about 20 mph, totaling my car. I recognize that I should have exercised more caution given the circumstances.
Now I have a new (to me) car thanks to the insurance payout. However, my mom was informed yesterday that State Farm is canceling her car and trailer policies due to my record. They wanted to cancel all of our policies, but luckily, my car has an automatic renewal, as does my dad’s truck. I’ve decided to leave my parents’ policy so they can maintain their long-term benefits and not be penalized for my mistakes.
My parents will assist me, but I want to manage most of this myself, as I’ve never dealt with insurance before and feel a bit lost. Can anyone recommend insurance companies that could offer me a competitive rate? Any tips on how to navigate this process would also be appreciated. By the way, do you think it’s fair for State Farm to cancel my parents’ policy because of my accidents? My mom has a clean driving record, and my parents haven’t had any accidents in years.
Thanks for your help!
It’s great that you’re taking responsibility for your situation and trying to look out for your parents. It can definitely be frustrating to deal with insurance companies, especially with a few accidents under your belt. Here are some tips and recommendations:
Esurance: This can be a good option for those who prefer a digital-first experience.
Look for Discounts: Be sure to ask about discounts you may qualify for, such as:
Bundling with renters or health insurance, if your parents have those.
Consider Usage-Based Insurance: Some companies offer usage-based or pay-as-you-drive policies that track your driving habits. If you drive safely, you could earn lower premiums over time.
Increase Your Deductible: If you can afford it, consider opting for a higher deductible. This can lower your premium, but make sure you have some savings set aside to cover the deductible in case of an accident.
Build Up Your Record: Once you have insurance, focus on driving safely to build a better record. Good driving behavior can help you earn better rates over time.
As for your parents’ situation, it does seem like a harsh policy to cancel their insurance over your accidents, especially since they’ve maintained good driving records themselves. Unfortunately, many insurers do consider the overall risk of the household when determining policies and premiums. It’s worth noting in your search that you can explain to potential insurers that you’ve taken steps to separate your policies.
Ultimately, good communication is key. Don’t hesitate to ask providers about their policies and your options. Good luck, and remember that this is a learning process!