Earlier this year I called my auto insurance co., Progressive, and told them I wanted to park my truck and take it off insurance, but maintain fire insurance to keep my account active. I planned on selling it, and I knew it would take a while. It's a common thing done by many. But they would not give me a policy like that and wanted to charge me an exorbitant amount even though I wouldn't be driving it.
So I fired them and had them cancel my policy. I drove on a family member's insurance until I got another truck on the road that needed work. I was shocked when I later picked up insurance with another company.
Progressive is presently doing a media blitz of advertising that has spots running in practically every time break on every major network. That advertising costs a fortune. How do they pay for it? By jacking up all of their customer's rates each and every year. Every year when I got a notice of a rate increase, the messages would say "rate increase in order to provide you with better service." Like it was to my benefit that I had to pay them more money! Their television ads say that they will find you the lowest rate with their "major competitors." There's only one thing wrong with this! It's not the truth.
Each year I would call to complain about the rate increase. They would feed me the same lie each year; "We cannot find you a better rate. You will have a problem finding a lower rate. We're the cheapest." I was paying over $1100 a year for simple liability, full tort and $50,000 injury. They racked me with big service fees for time payments. My new policy with another major company, an old, established company? Only $380 a year, automatic monthly withdrawal from checking and no service fee for time payments. For the exact same policy specifications as I had with Progressive. Quite a difference? You betcha. And I felt terribly stupid as victims of rip-offs usually do. I couldn't believe I just paid that year after year like I was married to the company. And I couldn't see the obvious; the constant barrage of television ads. Wouldn't it make common sense to understand that a company that spends tens of millions on advertising could never afford to offer its clients the cheapest rates?
Dennis
Hermitage, Pennsylvania
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