Insurance recomendations - or State Farm Bites!

[Dave P]

So I have H/O and auto with S/F, and finally wanted to add a rider (personal articles policy) for firearms. After 5 weeks of excuses, I finally get a letter saying they can not cover any more property this close to ocean. Yeah- I believe that one! Idiots!

So I am searching - is the NRA rider OK? Don't think I qualify for USAA. Any other recos from the FLA folks for a company I could convert all my insurance to? If I have a reasonable choice I will dump St Farm.

Thanks
Dave

 

[Lone_Gunman]

Why dont you believe state farm?

 

[muddyboots]

I had the USAA rider but dumped it because it was too expensive. I got the NRA insurance and think it is reasonable. $350/year for $25,000 coverage. You only have to specifically identify guns valued at over $2,000 for coverage.

 

[bad_dad_brad]

Now take it easy Dave P.

Remember Hurricane Andrew?

Hurricane Andrew, a category 4 hurricane hitting a populated area in South Florida, completely rewrote the record books for hurricane damage. It also triggered a new way of thinking about potential damage from hurricanes.

State Farm's $3.6 billion claim payout for Andrew was more than eight times greater than the cost of Hurricane Hugo in 1989, previously the most costly. Total insurance losses attibuted to Andrew: almost $16 billion. So State Farm picked up almost 25% of the bill.

http://www.insure.com/home/disaster/andrewtoday.html

You are lucky you have any insurance at all. It will be tough for you to get on with any other company, what is left of them that is. A whole bunch (11) insurance companies just dissapeared after Andrew. A whole bunch of Insurance companies refused to renew policies in Florida after Andrew (State Farm was not one of them by the way).

State Farm, and lots of other nationwide insurance companies had to make some tough decisions, and one of those decisions State Farm made was to limit new property insuance in Florida, especially where you live, right on the coast.

Insurance companies are currently lobbying the U.S. Goverment to re-insure against disasters such as Andrew. That is the only way the insurance industry is going to survive in multiple disaster years.

I know it stinks but if you live in a high risk area, insurance can be a hassle. Go back to your agent, meet with him/her one on one. Sometimes they can go back and put some influence on the underwriters. Sometimes the Agent's clerical staff is not so assertive. Try again.

 

[Lone_Gunman]

I think my State Farm home owners policy covers the contents of the house as well, up to one third the value of the house itself.

Would this not cover firearms as well?

 

[Drjones]

Not to sound harsh or insensitive, but I don't know why:

a) People are allowed to live in places that have frequent hurricanes/natural disasters. (Not that the .gov should step in, but don't people have any common sense??? (wait...I know the answer to that one... ) )

Seriously, WHY do people live in "Hurricane Alley" and places like that???

b) Why insurance would cover at all people who live in areas that are annually decimated by natural disasters.

 

[bad_dad_brad]

Lone Gunman, you are essentially correct. Contents, or personal property, is typically part of a homeowners policy and is usually 75% of the dwelling coverage.

What Dave P. was trying to get was called a PAP policy for specific appraised property items like jewelry, rare collectables, etc. So, if Dave P. has a big collection of rare guns, he might want a PAP. Otherwise, his guns are protected by his homeowners policy.

It's a smart idea to take an inventory of your noteable property items and keep it somewhere besides your house. Itemize and describe this property, serial numbers, date of purchase, etc. Some people take pictures or a video. It makes your claim process go smoother if you have a loss.

If you have replacement coverage, you will get a new item. If you have limited replacement (most people go this route) coverage you will probably end up negotiating a personal property settlement after a loss, that is, you will get what is considered the "used" price.

For guns, that is not that big a deal, unless collectable, as most used guns hold their value very well.

 

[TallPine]

I suppose the reason that people live in Florida is that it is such a nice climate ("what's a snow shovel? Ice? That's the stuff you put in your tea, right?") most of the time, that is, in between hurricanes.

On the other hand, Montana is pretty safe from most disasters, but when the northeast wind blows off of Hudson Bay ... that's why we don't have very many people up here.

 

[Dave P]

Brad, you sound like the voice of reason - thanks! (You in Bloomington, BTW? ) H/O policy was just increased to cover up to $5000 in firearms, the PAP that was rejected was on top of that.

Dr: "b) Why insurance would cover at all people who live in areas that are annually decimated by natural disasters." Yer strechin the the facts here, Andrew was maybe12 yrs ago? Now we do get a good blow every now and then ... and I have the bent palm trees to prove it! I am about 300 yrds from the beach, and about 13 ft above sea level; not even rqd to have flood insurance. ANd I think I already have a $5000 deductable for hurricane damage.

And FLA is a great place to live; just avoid the tourist traps, and stay away from the big cities, and it is a nice casual piece of Dixie!

 

[Standing Wolf]

State Farm tried to steal hundreds of dollars from me in the 1980s—and hasn't done a dime's worth of business with me since then, and never will.

 

[Hkmp5sd]

And FLA is a great place to live

Shhhhhhh!!!

You keep saying stuff like that and more of them anti-gunning Yankees will move to this state and turn us into another California!

Florida SUX! It's Hot! Machineguns are legal. Lots of Snakes! Pre-ban AWs are legal. Lots of biting insects! Shall issue CCWs. Hurricanes! All other NFA weapons are legal. Lots of Blue Haired, Slow Driving Non-Natives! No state income tax.

 

[bad_dad_brad]

Dave P.

Yes regarding the Bloomington thing. Sounds like you got things worked out.

But I would caution all Floridians (and all other Atlantic coastal states) not to get complacent about Hurricanes just because we have not had a big one in awhile. Rest assured that we will.

Actually Dave, I love Florida. I come down on the Gulf side twice a year for a two week walk the beach relaxation. I love the sun, the salt, the people, just everything about Florida's coasts. I consider the St. Pete area my second home, and Hurricanes or no, I plan on retiring in that area.

State Farm probably won't insure me though! Ha. They actually may not.

When I look at Tampa Bay, and how low the land is there, I shudder. Just a matter of time. Can't happen? An unnamed Hurricane came through that area in 1848. Cut a nice inland waterway called John's Pass between Madiera Beach and Treasure Island forming Boca Ceiga Bay.

And let's not forget Camille 1969. The people of Pass Christian Mississippi, those who left before landfall won't forget. The ones that remained were wiped out. It was a catagory 5 with 200mph winds which brought a 24 foot swell.

I have vacationed in Pass Christian. Spent a week on the beach there before going to New Orleans. It is a beautiful coastal town. But you will notice something right away. There are no old buildings. None, except those that were made of stone or concrete block. Everything was wiped out. With rare exceptions, if you stayed, you died.

http://www.usatoday.com/2000/century/weather/stories/wcamille.htm

 

[bad_dad_brad]

Forgot one other point.

With hurricanes and today's modern weather reporting technology you get plenty of warning to get out of town.

Where I live now, a tornado does not give you much warning or time.

Property is one thing. Lives are another.

 

[mashaffer]

Actually SF is anti...

I and others have been cancelled when our association with firearms has been discovered. In my case my HO was cancelled when they found out that I was swaging bullets. They absolutely refused to even discuss additional riders or other ways to protect them from any imagined additional risk factors.

Farmer's had no problem with it so I switched all of my insurance to them.

I have a link to another SF story on my website Shaffer Performance Shooting Supplies . If I remember correctly the link is near the top of the home page.

 

[CZ-75]

They're also refusing to cover new homeowners in many areas of the Midwest.

Tornados, hail, icestorms, high winds, etc. are too big a risk I guess.

I'm not even sure if they write policies in even Bloomington-AbNormal.

A tornado is the best thing that could happen to their ugly home office there.

 

[Hkmp5sd]

I and others have been cancelled when our association with firearms has been discovered.

Strange. I have State Farm homeowners insurance AND a rider on that policy to cover my gun collection. And since my policy is replacement cost, something they no longer sell, I have no intention of going somewhere else.

 

[bad_dad_brad]

When you have 71.6 million policies in force, you are bound to tick some folks off. The law of large numbers.

I have been a State Farm policyholder for 32 years. Once they irritated me as well, on a certain claim, but it was just the adjusters attitude that I didn't like. They paid up. But by in large they have been more than fair on the other claims I have had.

By the way, I reported that adjuster. He does not work for State Farm anymore.

Insurance in an asset based economy like capitalism is a neccessity. For instance, you can't get a mortgage without insurance. You can't get a loan for or lease a car without proof of insurance. If you don't have health insurance, you become a welfare case if you become seriously ill. It is just a fact of life.

I think a lot of that "State Farm is anti" had to do with this story, which is plastered all over the internet:

http://www.insightmag.com/main.cfm/include/detail/storyid/273116.html

State Farm and other large insurance companies do not insure ranges, home ranges, or public. Deemed too much of a liability, that niche is left to small re-insured specialty insurance companies.

 

[JohnBT]

My entire family, except for the one cousin who still works for them, dumped SF in 1967 due to high rates and bad service. Maybe they're better now.

We've been with Geico ever since and haven't had a problem.

Read your policies folks. Most of them have low limits for the finer things in life

John

 

[Hawkeye755]

I have always been happy with SF. If fact I just added a rider to mine to insure the future wifes ring. While i was doing this my agent suggested that I may want to up the value of the rider to cover any guns or expensive electronics. He has guns himself and has the additional coverage.

To be fair I have known my agent for years and went to school with his son so he knows me and my family pretty well. He also knows I am a gun owner. I can't believe that an agent would be advocating insuring your guns if SF is truly anti. Even if he knows me.

 

[Lone_Gunman]

State Farm is not anti gun.

They just don't insure firing ranges. So they have been labeled anti gun.

They also don't sell medical malpractice insurance.

Does that mean they are anti-health care?

 

[CaesarI]

State Farm and gun ranges

Maybe ya'll failed to read the article. They didn't refuse to offer him insurance for the range. They cancelled the rest of his policy because he got a range. He offered to get an extra policy through the NRA to cover just the range, and they still weren't interested. I've read enough other rotten stories about State Farm to decide I ain't having a thing to do with'em.

-Morgan

 

[Dorrin79]

I've used State Farm for Auto and Renter's insurance for years.

Never had a problem, and they've handled the three auto claims (1 break-in, 2 collisions with Texas wildlife) quickly and professionally.

 

[JPM70535]

Actually, State Farm is not a particularly hostile insurance company. It is just a fact of life that insurance companies are in business to make money, and they can only do that by insuring as few high risk homeowners as possible. It's called maximizing profits.

I have been with State Farm for 38 years, and while I dont pay the lowest rates, by being a long term customer, They still write my policy as replacement coverage. (No longer available in Fl.) I got a rider written increasing my firearms coverage to $5000 with no hassle, and the few times I have filed a claim, payment has been prompt and courteous.

On the other hand, I am certain that if I ever filed a major claim like Hurricane damage or the dreaded Sink hole (A Florida hazard), they would drop me like a hot potato. And if in a few years once I turn 65, if I become involved in an auto accident or 2 where the fault is mine, they would no longer be my auto insurance carrier. And in fairness to State Farm, they are not alone in these practices. Just SOP

 

[Dave P]

New data

Talked to my rep today. SF won't cover any new items within 2500 ft of the ocean, and I am at 1900! Like, if I bought a boat and kept it at the house, they would not cover it.

So it doesn't seem to be anti-gun issue. I guess I shouldn't pick on them too much.

Think I will look at the NRA ArmsCare Plus program.

 

[moa]

I have read that the continental USA has, on average, the worse weather in the world. You name it, and we eventually get it.

So, it would be pretty hard not to live someplace that does not get its share of bad weather. Of course, people who live in tornado alley, on flood plains and the Atlantic and Gulf coasts have higher risks just as people on the west coast have earthquake risks.

Regarding earthquakes, I think the mightest one observed in the USA happened around 1815 around the Mississippi river valley. I think it changed the course of the river, if memory serves.

Bottom line, there are risks everywere. If I remember correctly, one analysis showed that the safest state from all natural disasters is West Virginia.

But, in West Va., you have to mingle with gun-totin' hillbillies.