My insurance premium went up. How can I find out the reason for the increase?

Friday, January 29, 2016

From the Office of the Insurance Commissioner

Consumers frequently ask us this question. Your agent or insurer should be able to provide you with an explanation other than “there was a general rate increase.” We recommend that you obtain a policy-specific premium breakdown directly from your agent, and that you ask for a rate worksheet comparison between your old premium and your new premium. 

Every policy is priced differently, depending upon the type of coverage you want and what are called underwriting factors.

Underwriting factors for auto insurance may include:

  • Household/family driver records.
  • Driver(s) age(s).
  • Type of vehicle(s).
  • The number of miles you drive per year.
  • Where you live and/or drive your car.
  • Level of coverage being purchased
  • There may be surcharges or discounts unique to your situation.
Underwriting factors for homeowner’s insurance may include:
  • The age of your home.
  • The materials used to build your home.
  • Your home’s value, as based upon its size and features.
  • Your home’s location.
  • Prior claims or losses for the home.
Read more about understanding auto insurance and understanding home insurance.

Questions? You can contact our consumer advocates online or at 1-800-562-6900.


Anonymous,  January 29, 2016 at 8:55 AM  

You don't mention that insurance companies will also factor in your credit rating and increase your premium if your credit is poor.

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