05/31/2018
Everyone should understand how insurance works but most don't. Insurance is a shared risk concept. When you join an insurance group you are placed in a pool with all of the other members in the group. Everyone is required to pay a premium and all of the premiums paid go into a pot. When one of the members has a claim, it comes out of the pot. At the end of the term the provider either made money, broke even or lost money. If the provider lost money they raise rates to make up for it. If they made a nice profit they may even lower rates. We all know that rarely happens. Basically, you are paying for the mistakes of everyone in your group. That doesn't seem fair but that's exactly how it works. Companies like State Farm, Allstate, Liberty Mutual, etc.. will insure anyone who walks through the door. If you're a responsible driver with, good credit and a clean driving record don't you deserve to be in a better group? Farmers is the best group! Farmers is much more selective about who they insure. While the other insurance companies are covering anyone that comes in we only cover 20% to 30%. We do this to protect our clients. By only insuring responsible homeowners and drivers we are able to keep rates low and offer better coverage. While State Farm customers are seeing rate increases of 20% to 40% our average increase was only 2% to 9%. State Farm lost eight billion last year. $8,000,000,000.00!! Some Farmers customers even saw a rate reduction this year. A potential client called me yesterday to review the quote I sent her. She wanted to compare it to her current insurance policy. She is currently paying $2,000 a year for homeowners. I quoted her $812.00 and gave her better coverage all across the board. She was skeptical because the price is so much lower. She asked me how it was possible to give her better coverage at a fraction of the price. I told her the truth... "You're a preferred client and we are a preferred group. You are a perfect fit for our company and it shows in the premium we are offering you. If you had a lot of claims and poor credit we wouldn't cover you. You are getting the pricing you deserve." We cut her premium by 60%. Her insurance is escrowed in with her mortgage payment so we saved her $100 a month on her mortgage payment and got her a huge escrow refund. On top of that, we gave her the best homeowners coverage in the entire industry.
Whether you're in Carolina, Georgia, California, etc... You need to get a quote from your local Farmers agent.
