Ceded Auto insurance in NC

[lovepurple]

Does anyone have any experience with having their auto policy ceded to the North Carolina Reinsurance Facility? I just received a notice from State Farm saying they are doing this to my policy because of an accident that happened on 4-7-10. I don't understand why they are doing this. There was no ticket issued and the damage was around $1000 of which $500 was my deductible. I have an immaculate driving record. Also, why are they doing this after so many months have passed.

 

[kellydizfan]

Looks like you need to start shopping your insurance. They are putting you in their assigned risk plan, which means your premiums are going to jump. They will increase anyways due to the accident you had. They can get off the renewal for any reason and it just may be your accident you had. I don't know much about State Farm in NC. Also take Defensive Driving - that should help with your premiums. Any tickets or other issues in the last 39 months?

 

[Muushka]

No, I'm sorry I don't have any specific info.

But I did want to say that insurance companies really irritate me when they do stuff like this. When I lived in S FL many years ago, after hurricane Andrew, many insurance companies were dropping homeowners. In my area. Where Andrew did not even come near. State Farm was one of the one dropping customers.

I remember my insurance company (Amica) sent me a letter stating that they had no intention of dropping any of their customers and if I knew anyone who was dropped, to recommend Amica to them.

That letter that they sent and 32 years of excellent service makes me loyal to this company.

If you need to shop for a new insurance company, I recommend not just looking at what it costs, but how they treat their customers. If you were not charged with the accident, perhaps you could just shop for a new company? Best wishes in what ever you do, bad insurance companies.

 

[lovepurple]

No tickets and no other accidents. I don't think defensive driving course would help because I have no points to take off.

 

[kellydizfan]

No tickets and no other accidents. I don't think defensive driving course would help because I have no points to take off.

Here in NY it gives you 10% off your liability and collision for the vehicle you are assigned to on the policy. I would assume NC would be about the same. Doesn't matter if you have points but you will have points on your insurance due to the accident if it was $1,500 including your deductible as it should be chargable upon the renewal, this may be why they are dropping you. Did you get legal notice of cancellation or just a letter from your agent stating they are putting you in the Plan. Go to an agent who represents many companies as State Farm they only represent STate Farm that is probably why they are putting you in the Plan.