Why did my insurance go up?

 In Other Posts by Founders

TIP: If your insurance has gone up and you are not sure why – call your Broker to discuss to find the reason for your premium increase – your Broker is there to help you get the right coverage at a fair price.


Reasons why insurance goes up

Looking at your own policy (and not factoring other external issues) the following could have impacted your rate:

  • You added to your risk (add a vehicle, or secondary location, upgraded your car or home).
  • You had a claim in the past year that impacted your rating (or caused a claims-free discount to be removed).
  • You have benefited for a year or more from a ‘cap’ on your premiums which has now been removed allowing the insurance company to receive adequate premium for your risk (going forward).
  • You have not responded to request for updates or updated information – some Insurers are moving to a rate-by-peril or tailored insurance premium and submitting your information could mean a reduced rate.
  • Processing error. It is possible that there has been a typo, system issue that occurred during a recent upgrade or miscommunication.

What to do when your premium goes up

The best thing to do when you get your insurance policy is to review the documents to determine if any of the above has occurred and call your Broker.  Your Broker will help you understand your insurance and to make any adjustments needed.  Your Broker can also advise you of your options and discuss benefits or repercussions in making certain changes. Keeping in touch with your Broker is also good to build a trusting relationship – so you feel comfortable you are being taken care of and you have help down the road, as well.

If you are not getting along with your Broker, or if you are not in agreement with what he or she is telling you – ask to speak with a supervisor.  They can match you up with another representative that you feel comfortable with – or they may confirm what your Broker has told you.

The point is: if you don’t ask, then you won’t know.  Your first instinct may to be walk away – but, there is no guarantee that you will find a better solution elsewhere and you could lose out.


Don’t rush to switch! Loyalty counts. The grass is not always greener.

If you have tried contacting your Broker and talked with the supervisor and you feel you have not been heard and you do not have that comfort level or peace of mind that insurance is supposed to give, then get a second opinion.

A lot of people panic and go online and find the cheapest quote. It is really important that you don’t do that. Understand the policy that you currently have and why. And before switching, make sure you know that you are

comparing apples to apples. If you do find a cheaper quote for the same coverage, you can take that to your Broker and discuss the implications of switching. A good Broker will confirm if you find a good deal and wish you well – they’ll understand why you have to switch and they will be there for you down the road should anything change and you need to come back.


So… talk to your Broker.

TIP: Ask your Broker.  We try our best to make insurance simple; however, insurance can be complicated – insurance is influenced and impacted by things like government regulations, local and global catastrophes, as well as rising claims or claims costs. Call you Broker to find the reason for your premium increase – your Broker is there to help you get the right coverage at a fair price.

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