Another Year, Another Premium Discount

At renewal, my premiums went down. That's not always the case.

At renewal, my motorcycle premiums went down. That's not always the case.

Often when an insurer contacts a policyholder, it’s bad news such as a notice of non-renewal, or at best, just your current bill. Case in point, a friend recently got her renewal notice from State Farm, which had held her car insurance policy for over a decade.

Nothing had changed from her perspective: she was still driving the same car, had gone the entire policy term without any moving violations, crashes or claims on her policy. Yet they informed her her premium was more than doubling every six months.

Likewise, I just got my motorcycle policy renewal from my insurer. And like my friend, I’ve had a year with no moving violations, no crashes or collisions, and no claims, not in an automobile nor on a motorcycle.

Unlike hers, my renewal notice announced that my premiums were being lowered, by more than 10 percent, without any actions on my part. Well, no actions other than keeping my driving record clean for the 26th year in a row.

So why did her rates go up while mine were lowered?

In part, it’s due to the different operating environments of the states we call home. Her insurer told her their hands were tied in regards to her premium, since they were basing her premiums on “state regulations.”

However, when she got quotes from other insurers operating in her state through this site, she quickly found a policy that wasn’t simply cheaper than her policy renewal, but one that was in fact cheaper than her original one, pre-renewal increase.

This despite both insurers operating under the same set of regulations and laws, and despite both policies having the exact same coverage amounts.

It just happened to be with the same company that holds my motorcycle policy, and in the end, I think we both ended up as happy customers of the same insurer, even if we got to that point in very different ways.

Have you ever gotten a notice of a huge increase from your insurer without a reason? Did you do as my friend did, and get quotes from other insurers, or did you simply pay the higher premiums?

About Cecil Helton

Cecil Helton Cecil Helton is a U.S.-based writer and editor with passions for cars, motorcycles, boats, technology and social media. Much of his professional life since 1996 has been web-centric, and he’s written and developed content on a variety of subjects. His work in the houseboat industry received wide acclaim, such as winning the 1999 Cisco Systems Growing with Technology award and being named one of five finalists in the manufacturing sector of the 2000 Computerworld-Smithsonian Awards. As an Air Force brat, he spent much of his childhood in a two-year cycle of moving to a new place, making new friends, establishing a life, and then moving again. Destinations included: Kentucky, Illinois, Texas, the Greek isle of Crete, California and Ohio. Today you’ll find Cecil coping with his 15 year old son’s decision to pursue a motorcycle license at the same time he gets his driver’s license, being active across the web on multiple social media sites, and of course, writing articles and creating content on automotive and car insurance related topics right here at

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