Insurance: It pays to shop around

We all know one of the best strategies for obtaining competitive motorcycle insurance is to shop around.

Over the past couple weeks I've been doing just that and I'm finding huge variations among brokers. In some cases as much as 150% difference in prices quoted. I find this very strange.

It's as though the criteria (or data points if you like) for calculating premiums is completely arbitrary among brokers and insurance agencies, perhaps explaining the wide variations in prices.

One would think an individual's specific circumstances (e.g. bike size/class, rider's years of experience, age, number of infractions -- or lack thereof, ...) would establish some level of pricing consistency. But clearly not, as I have discovered. Perhaps Ontario is an outlier in this regard. I don't know.

The bottom line: it really does pay to shop around.

Has anyone else experienced similar?




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Absolutely pays to shop around.
My premium went from $750 to $850 and then to $950. Two years ago I decided to shop around and found a new rate for $581. I added in all the extra optional coverages for full accident benefits, income loss and spousal support, etc, etc, and it is now around $900 which is amazing considering how good my coverage is.

Shopping around I was quoted as high as $1400 and I ride a DL650 with clean record. Makes no sense to me.

D-J said:

Over the past couple weeks I've been doing just that and I'm finding huge variations among brokers. In some cases as much as 150% difference in prices quoted. I find this very strange.

It's as though the criteria (or data points if you like) for calculating premiums is completely arbitrary among brokers and insurance agencies, perhaps explaining the wide variations in prices.

Click to expand...

People have gotten quotes before that then drastically change a few months in after the insurance company reviews the application. When brokers are quoting you the same pool of companies, I would be surprised if the prices differed much once the policies were actually executed. Forum reviews can help you pick out agents that know what they are doing (and therefore hopefully provide accurate quotes). Obviously different insurance companies rate differently so you can get huge swings there.

Some insurance companies want certain segments of business, and some don't. Sometimes pricing is a polite way of discouraging business they don't really want to begin with, without having to say "piss off" directly.

PrivatePilot said:

Some insurance companies want certain segments of business, and some don't. Sometimes pricing is a polite way of discouraging business they don't really want to begin with, without having to say "piss off" directly.

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I just had a broker ask for my Driver’s Abstract, Driver’s License History Report, and a copy of vehicle registration. This after providing what I thought was all relevant information to quote.

A polite way of saying "piss off"?

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D-J said:

I just had a broker ask for my Driver’s Abstract, Driver’s License History Report, and a copy of vehicle registration. This after providing what I thought was all relevant information to quote.

A polite way of saying "piss off"?

*



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Not at all.

This is completely normal for insurers to request this info...

In the end they will verify the info themselves ( they pay for this info before finalizing the contract); they are just saving themselves and you time before going deeper into the contract.

sundin4prez said:

Not at all.

This is completely normal for insurers to request this info...

In the end they will verify the info themselves ( they pay for this info before finalizing the contract); they are just saving themselves and you time before going deeper into the contract.

Click to expand...

But costing you money. IIRC abstract is ~$20 (I needed onr for a job application once). What's the difference between abstract and history report? Vehicle registration is simple and avoids VIN # problems.