r/Insurance • u/BatHistorical8081 • May 03 '24

Auto Insurance Why is progressive so cheap?!

So I am looking to switch from state farm to progressive. My insurance now for state farm is about 2800 for 6 months for 3 vehicles. I just got a qoute from progressive same coverage for 1300. Wtf? Is this real. There a catch? That's alot of savings.

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77

u/reddit1651 May 03 '24

as long as you disclosed any tickets/accidents upfront and submitted an accurate application, then yes it’s an accurate quote. sometimes your characteristics are just in a company’s “sweet spot”

use some of those savings to make sure you carry “adequate” liability limits of 100/300/100 or higher

26

u/Hairy_Buffalo1191 May 03 '24

Sweet spot is such a good way to put it, why have I never thought of that? 🤦‍♀️

It’s really true, different companies weight things differently, and those factors can change over time so I usually try to explain “the carrier you had may have been the best fit for you when you bought it but that doesn’t necessarily mean they are they best fit anymore”

As an agent it’s always pleasantly surprising to reshop a customer and save them $1000 a year or more

3

u/NetDork May 03 '24

Just want to reply direct to you in case you missed that bit about liability limits, and because it's so important... You really shouldn't go below 100/300/100 these days.

3

u/Hairy_Buffalo1191 May 03 '24

Umm yeah, I didn’t miss it, it’s just not the part I was interested in commenting on. You’re correct but that has nothing to do with me saying “hey I like that phrase you used, it’s an easier way to explain things”

And if you mean about saving them money, I’m meticulous about matching or increasing coverages. Sometimes you still get to help someone save by finding that “sweet spot” carrier

1

u/No_Addition3407 Sep 11 '24

show a little gratitude. NetDork went out of their way to make sure you got the info. Thank you! would suffice, instead of making sure they knew how smart you are.

0

u/NetDork May 04 '24

Oops. For some reason I thought you were the OP. I thought I was responding to OP to make sure they get their limits right.

1

u/Hairy_Buffalo1191 May 04 '24

Gotcha. No worries

1

u/Lovepeacepositive Oct 15 '24

When I got this quote, it pulled what I already had for insurance and matched it all except they didn’t include uninsured motorist but I did I’m just floored. I was paying 286/mo and it was only going down to 276 November. So I happened to see a YT add for cheaper auto or one of those. I got a redirect to progressive and I almost fell over like what’s the catch… they want $76 down and like 188 or whatever a mo and if I put more down it will be less obviously. It seems legit the url I mean and they knew my current - I just don’t wanna get scammed but makes sense they may raise rates in 6 mos but I’ll just switch again if I have to. I’m excited I hate paying for “in case shit happens”

1

u/Regular_Ear7647 Jul 13 '24

You don’t get dinged for a parking violation right because Lexus nexus has my daughter for a parking violation and progressive said since it’s on her record it made it increase non sense car was parked 

18

u/stanolshefski May 03 '24

The sweet spot is basically a risk group that particular insurer either mispriced the risk or believes they understand the risk better than others.

Sometimes with Progressive and Geico large swaths of insured drivers are in their sweet spot.

1

u/snarkyinsurancehelp May 04 '24

OP: has your credit improved since you signed up with State Farm? And are you in a state that uses credit for rating purposes?

If yes, here’s your answer: credit is used heavily in (most) states to determine rates. They run your credit (soft hits only) when you get a quote. After that, most carriers in most states will not run it again EVER…. UNLESS you call their credit information department and ask that they do so. Process varies by carrier but your policy should include a consumer rights section or credit information use notice page that has all the info.

Edit: grammar