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My USAA insurance is up by $100 every 6

Discussion in 'Model S' started by PatD, Sep 10, 2015.

  1. PatD

    PatD Member

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    So my first renewal came up for my USAA auto insurance. It's up by about $100. I called USAA to find out more, since nothing has changed on my driving record, etc. They said it's simply based on what they're paying out to repair the car. Shocker there.

    $100 every six isn't too bad, but I'll be surprised if this isn't an ongoing trend every six months.

    They said they review the numbers every six months, and it COULD (HAHAHAHA!) go down if their estimates are high.
     
  2. Tripple_T

    Tripple_T Cincinnati Member

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    Interesting. I use USAA as well and noticed that my insurance went down slightly. What model do you have?
     
  3. Chris TX

    Chris TX Active Member

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    It could also be the local market. Mine hasn't changed in almost two years.
     
  4. PatD

    PatD Member

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    P85D. What month is your renewal for insurance?

    In my head though, it really shouldn't matter. No real difference between the various models, unless a battery pack for front motor needs to be replaced from an accident. Even then, cost should be minimal compared to all of the labor and aluminum.
     
  5. Rockster

    Rockster Active Member

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    I don't have USAA but when I upgraded from a 2013 Model S to a 2015 Model S my insurance rates went up by about $100 per every six months. I called my insurance company and asked why the rates were going up even though I hadn't had any claims. "It's because you have a newer Model S now," they replied. "If a newer Model S means my rates go up then why haven't you been lowering my rates as my previous Model S aged?" I asked.

    Crickets...
     
  6. Zythryn

    Zythryn MS 70D, MX 90D

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    Performance cars (of any brand) tend to have higher insurance costs.
     
  7. PatD

    PatD Member

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    Agreed, but that's not what USAA said. They said my increase was based on what it cost to repair the cars they've seen come through. The P85D is probably no more expensive to repair than the 85D.
     
  8. jtpassat

    jtpassat Member

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    this is one of the reasons I'm going the CPO vs. new. Anyone try Amica?

     
  9. PatD

    PatD Member

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    Not sure CPO is going to be any better in terms of insurance. Maybe slightly. I would get quotes from you insurance on both, if this is truly something that will influence your purchase. If you're going CPO for the more obvious reasons (Cost of the car itself!), then, well, I'd still get quotes from your insurance just so you know what you're looking at.

    I have a new car discount (Why, I don't know - the newer they are, the more expensive to fix and total!) It went down with this renewal, as it's not as new. But it's still a discount, so. . .
     
  10. Tripple_T

    Tripple_T Cincinnati Member

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    I figured you had a P model. I was considering a P85 and found out that the insurance is a good bit more. The reason about about "performance" models is true. They do charge more for it. They also factor in the probability of a car being in an accident. They could rate a P85 model more likely to be in an accident than a S85 model.

    Last thought, don't count to much on what the person over the phone said. They probably don't know exactly the reason the underwriters decided to increase the rates. It is most likely computerized and has dozens of factors.
     
  11. BertL

    BertL Active Member

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    FWIW, as I was researching cars before I ordered my S90D, I got a quote from State Farm that I've been with for 25+ years and have all the various discounts in place -- for both an S85D and a P85D (no 90's in their system yet). As I suspected before ever calling them, the P85D was higher -- just over 17% more every 6 months, than the non-performance Tesla. My new S90D insurance cost will still be very close to what I was paying for both my 2013 RX450h and 2014 SLK250 combined. I've had zero claims or tickets in all that time, so the higher price IMHO has got to be based on repair costs as has been suggested, as well as paying more for the faster toy. I know that if I had purchased an SLK350 instead of the little 4-cyl turbo I owned, my insurance cost would have been almost 30% more -- for an $8K purchase price difference, but a huge HP increase. IMHO, insurance rates are calculated not only on the person's demographic (male/female, age, citations, claims, married or not), but also on the specific model and the zip code the primary driver lives in. My insurance rates went up quite a bit as I moved from Georgia back to California years ago for example, and they cost less here in northern San Diego County than when I moved here from Los Angeles, less than 100 miles away.
     
  12. Pinot.Noir

    Pinot.Noir Member

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    I'm with USAA (since 1984) and I have seen my insurance rates go down from time to time with no outside changes that would have an affect (same cars, no tickets). I've also seen the check they send me every year go up and down with the market. Remember that a portion of your insurance goes right back in your pocket at the end of the year.

    I love USAA. When somebody tries to get me to switch insurance companies all I have to do is say I have USAA and they give up immediately.
     
  13. gizmoboy

    gizmoboy Member

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    Hmm... I've been with USAA for years and have never gotten a check.

    (I used to get one from Amica though...)
     
  14. CHGolferJim

    CHGolferJim Member

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    I asked USAA on the phone a few years ago about why rates don't go down as a car ages and depreciates. They said "because collision damage repair still costs the same, and is even increasing". That makes sense to some extent, although I guess that is just one of the factors.
     
  15. jtpassat

    jtpassat Member

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    The cheaper cost of CPO is THE main reason for going that route. But the initial purchase price is what's used for the majority of things associated with the car such as sales tax, local car (excise) tax for those of us that have them and your insurance quote. I've gotten quotes based on 2013 vs. brand new using USAA online and the difference was $150 for a 6 month quote. At the end of the day it all adds up.


    - - - Updated - - -

    Consumer reports just did an article about car insurance and "price optimization" Basically some car insurance companies can mine your online data to figure out how much they can continue to raise your insurance rate before you switch to another company. Interesting read.

    Price Optimization and the Schmo Tax - Consumer Reports
     
  16. Only Trons

    Only Trons Member

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    I've been with USAA for many years, and have all my insurance with them. My six month insurance bill went down about 8% at last renewal (April 2015). My latest statement for the renewal period beginning Oct 2015 was increased by about 3%. No claims or tickets for years.
     
  17. Brit4864

    Brit4864 Member

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    Interestingly my insurance keeps going down! When I got the P85D earlier this year, the increase was a whopping $2. I pay less than $600 per 6 months now. I have Progressive.
     
  18. techdoc

    techdoc Member

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    Anyone have experience with registering a 70 RWD with USAA? They don't have the car in their database, couldn't recognize the VIN on my car, and subsequently raised my 6 month premium by about $250. I got a quote before buying and based it on a 70D since that's all they had in their database - that was quoted at $150 more than I was paying. I've always had reasonably high coverage (300/500) and previously has a less expensive 335i. I suspect they have over quoted me not knowing what the car is.
     
  19. martinwinlow

    martinwinlow Member

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    The repair cost may be the same but the replacement cost in the event of a total loss is definitely NOT! I would imagine that this is, next to personal injury (let alone death), the main cost to car insurance companies (anyone who knows differently, please correct me).

    As jtpassat implies (above) insurance most companies are fourth only to bankers, lawyers and estate agents in their business ethics (Ooops!... I've probably just insulted about 99% of TMC readers with that one! - Sorry!) MW
     
  20. AustinPowers

    AustinPowers Total Smeghead

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    Just for comparison / perspective, I just configured a quote for insurance of a P85D with our current insurance company and the result was 775 Euro per year.
    Interesting, quite a bit less than what I would have expected. Also interesting that it was possible at all, because up to a few weeks ago they didn't have Tesla in their list of insurable cars anyway.
     

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