I recently moved states and updated my insurance policies, and my Mazda’s premium skyrocketed by 349%. We own two cars: one is valued around $6k-$7k, and the other is a Launch Edition Rivian worth $60k-$70k. In our previous state (IN -> WA), the insurance for these vehicles made sense, with the 2014 Mazda costing us $158. Now, it’s jumped to $551. How is it possible for an older car to see a 349% increase simply due to a change in location?
Also, the price gap between our two cars has narrowed significantly—from a 280% difference to just 158%.
At this point, should I consider shopping around for better rates? I’ve been a loyal USAA member for 11 years, but this drastic increase feels like a blatant money grab.
It sounds frustrating to see such a dramatic increase in your insurance rates, especially for a car that typically wouldn’t have a high premium like your 2014 Mazda. Here are a few things to consider:
State Differences: Insurance rates can vary significantly from state to state due to factors like local laws, the number of uninsured drivers, and even population density. Washington may have different regulations or a higher rate of claims, which can contribute to the increase.
Coverage Types: Ensure that the coverage you selected in Washington is the same as what you had in Indiana. Sometimes, standard policies can change between states, and you might be getting broader coverage than necessary.
ZIP Code Factors: The specific area you’re in within Washington could also affect rates. If you’ve moved to a more urban area with higher crime or accident rates, that could explain the increase.
Comparison Shopping: Given the significant jump in your rates, it might be worth shopping around. Even as a long-time member of USAA, you should have the right to seek quotes from other insurers to ensure you’re getting the best deal.
Discuss with Your Insurer: It may also be useful to discuss this with your USAA representative to understand why the rates changed so dramatically. Sometimes, they can provide insights or offer discounts you might not be aware of.
Re-evaluate Coverage Levels: With two vehicles of such differing values, consider whether the coverage levels on the Mazda need to be as high as they are. Adjusting deductibles or coverage limits might help reduce your premium.
Ultimately, comparing rates and understanding the reasons behind your premium increase can empower you to make the best decision for your situation. Good luck!