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    pastor1189's Avatar
    pastor1189 Posts: 1,538, Reputation: 3
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    #1

    Feb 28, 2014, 01:03 PM
    Property Insurance
    Party received quote on property insurance that is inviting. But the way it is worded could be a trap. Is there a technique in the insurance game whereby you could confirm the premium before
    You commit yourself. South Florida

    From the Insurance Company:

    The quoted premium is based on limited information provided by you concerning your property and desired coverage. The final premium quotation amount will be higher or lower depending upon the results of a complete underwriting review.
    joypulv's Avatar
    joypulv Posts: 21,591, Reputation: 2941
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    #2

    Feb 28, 2014, 01:45 PM
    'Quote' is a joke. The actual price will be determined partly by town appraised value (on your tax bill) and a drive by or actual visit by a company appraiser.

    I wish I had refused to pay the first month before I knew. I had a huge increase from 2 companies after paying one month, one after the other. I haven't been insured since, but I own my home outright. I think if I had been more savvy they wouldn't have jacked the premium up more than double.

    In other words, wait. Say you want an actual quote that is good for one year before paying a dime.
    tickle's Avatar
    tickle Posts: 23,796, Reputation: 2674
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    #3

    Feb 28, 2014, 02:11 PM
    I don't see anything wrong with how this is written. It is not a commitment because they don't have all the correct information, so they can't underwrite it. When they can do this, they will give a firm quote.

    You don't commit yourself until you actually sign on the dotted line, but before you do that, you get another quote.
    joypulv's Avatar
    joypulv Posts: 21,591, Reputation: 2941
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    #4

    Feb 28, 2014, 02:56 PM
    A quote is firm by definition. Anything else is an estimate.
    tickle's Avatar
    tickle Posts: 23,796, Reputation: 2674
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    #5

    Feb 28, 2014, 04:18 PM
    @joy. A quote is a quote until it is accepted by the cosignee. That is the way it is in business; some people get two or three quotes. Are you saying they are all binding?
    talaniman's Avatar
    talaniman Posts: 54,327, Reputation: 10855
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    #6

    Feb 28, 2014, 04:46 PM
    They have already told you more info is needed so just wait. You should have 3 quotes to make a reasonable decision.
    Fr_Chuck's Avatar
    Fr_Chuck Posts: 81,301, Reputation: 7692
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    #7

    Feb 28, 2014, 06:25 PM
    While normally most quotes are good, if you are dealing with a local agent who only writes for one company. They will know the normal ratings for the area.

    If you are dealing with an internet company or a broker who does dozens of companies. They do not.

    The distance from a fire hydrant, the exact fire department rating for your home, the age of electric, type of construction, I will assume all those questions were asked and answered.

    BUT, I will say this, what is their claim record ? When a large storm came though, and destroyed many roofs in my local area in Atlanta, I had a claims person at my house, and had my roof repaired, before some companies even got a claims person to see the other people. And then they tried to pay less than they should in settlements often because they use independent claims people, not company claims people.

    With property insurance, lowest price is not always best
    pastor1189's Avatar
    pastor1189 Posts: 1,538, Reputation: 3
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    #8

    Mar 1, 2014, 04:34 AM
    Quote Originally Posted by Fr_Chuck View Post
    While normally most quotes are good, if you are dealing with a local agent who only writes for one company. They will know the normal ratings for the area.

    If you are dealing with an internet company or a broker who does dozens of companies. They do not.

    The distance from a fire hydrant, the exact fire department rating for your home, the age of electric, type of construction, I will assume all those questions were asked and answered.

    BUT, I will say this, what is their claim record ? When a large storm came though, and destroyed many roofs in my local area in Atlanta, I had a claims person at my house, and had my roof repaired, before some companies even got a claims person to see the other people. And then they tried to pay less than they should in settlements often because they use independent claims people, not company claims people.

    With property insurance, lowest price is not always best
    That is the problem down here with older homes, most companies require a 4 point inspection, this company People's Trust does not. Their price $1,789 vs the current price $3,230 with Gulfstream. This makes me wonder about this company's reliability. I am checking with the insurance commissioner just in case. The parties involved are paid up till Nov 2014
    smearcase's Avatar
    smearcase Posts: 2,392, Reputation: 316
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    #9

    Mar 1, 2014, 07:46 AM
    "The quoted premium is based on limited information provided by you concerning your property and desired coverage. The final premium quotation amount will be higher or lower depending upon the results of a complete underwriting review."
    "That is the problem down here with older homes, most companies require a 4 point inspection, this company ... does not."

    Sounds like their first statement is misleading in that they imply that the homeowner has not provided sufficient information, but based on your understanding of normal practice, the real fact might be that the insurance company has deliberately left the conditions ambiguous. That could be so they can raise the price later by saying: ' Now, that more facts have become available ...' or using the ambiguous language to deny a claim. My experience is in interpretation of construction specifications, not insurance, but I would not try to insure anything with these conditions and this language as part of the deal. But, neither do I live in FL where rates are out of control and obtaining insurance is basically a nightmare. So I guess if this was the bast deal I could afford, I would soon change my tune.
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