Way OT- State Farm insurance

[reptilemama]

Just talked to my mom, and they've had their house insurance cancelled! The listed reasons were 2 claims- 1 for $127 for hail damage, which the insurance inspector pointed out and said they'd pay to fix when they first got the insurance, and one for $30,000 in personal belongings from the fire at their store last August. When they filed that claim, they asked the adjustor if it would affect their insurance rates in any way. They said no, it woudn't have any effect. No effect on the reates, I guess, just the fact that they got cancelled! I can't beleive State Farm would run their business that way. Dad happened to talk to a guy who owns a business next to the old store, who also filed a claim from the fire with State Farm, and he got cancelled too! I thought the whole reason to have insurance was so you could file a claim if necessary. I guess that's not how State Farm sees it.

[haroldo359]

from what i hear, it is a common problem to have house insurance cancelled for almost any claim they have to pay for. i think you are allowed like 2 in ten years before getting cancelled with many companies. it is a rip-off, as is most insurance in this country. it ought to be regulated by the government.

[schatzie001]

That terrible! I would be writing my congressman, the bbb, calling local news stations...etc!

[Constrictor_BO]

Thats typical for insurance agencies. As long as they get your money everything is fine but low and behold... use it once and youre out, No more insurance.

[Kent K25]

P.S. what does the OT stand for in this thread title?

[Constrictor_BO]

I took it to be OFF TOPIC.

[Kent K25]

ahh, thanks, makes sense, I knew i was just missin something. Oh and Reptilemama, I feel for ya, that is absolutely ridiculous.

[SnakePool]

One reason I can think of is something my mom told me, she works for Farmer's Ins., is that the insurance companies are becoming overloaded with customers and their claims,hence they are losing money. They are finding any reason to cancel policies, even as minute as $127. Which means that you are going to get cancelled if you make any claims.

[eddie]

I have always seen insurance as legalized gambling with the worst odds in the world.
Even if you make it all the way through the game and have no losses, guess what?
You are still at a loss for all the money you paid in premiums over your lifetime.

If I were you, I would get on the news, in the newspapers and every where to get everything out to as many people as possible about the claims and cancelled insurance.
Public awareness of situations like this can sometimes be an embarrassment to big companies and may get some action taken.

[kerri4776]

all insurance is a ripoff.