golfster

I just received my first insurance renewal at the 6 month mark of ownership. My premium increased by approximately 10%. Neither I nor my wife have any tickets or claims. While the amount isn't the issue, I called my agent to inquire as to the reason as none of the other three cars on my policy had a premium increase. He said "the manufacturer (M-B in this case) changed the rating on the car from that of the initial release, stating that in the event of an accident, actual damage and cost of repairs have been greater than the initial projections." I suppose that is possible, but thought I would ask, has any of you seen an increase in a most recent premium for your E's?

chrisvr6

can i ask what you're paying for 6mths?

golfster

For the E350, $893 (with "max" coverage and $500 deductible). Funny, of the 4 cars, it ranks 3rd in purchase price, yet highest in premium, all with the same coverage.

Of note: I am not challenging the amount I pay, just curious as to the reason given for the rating change.

chrisvr6

For 6mths? I pay $500.

listerone

Just got an amendment notice and bill from my insurance company for $77 which would apply up until my usual renewal date in July.So,annualized,that would be about $300/yr.My Bluetec is more exepensive than was my BMW (when new) and there's obviously the model year difference.Also,I've *never* had a moving violation,*never* had an "at fault" accident and haven't had *any* accidents in almost 7 years.However,I think I opted for the "if your car is totaled in the first year,you get a *new* car" rider.

I don't know what my auto insurance premiums are largely because I have an umbrella policy that covers car,home and miscellaneous claims.In July I'll check *that* bill to compare it to last year's.

golfster

It is difficult to compare rates from individual to individual, as there are so many variables involved, such as state, amount of coverage, etc., in addition to driving and claims history, which mine is clean. I saw a jump on same car coverage before, just comparing IL to CA (CA substantially higher). So my concern was not about the total policy, just the increase due to the E's rating

It sounds like Listerone's addendum was similar to what I'm seeing. And likewise, my total coverage, and likely umbrella as well, will change in the next month or two due to coverage on an additional property which is now under construction.

I guess it is just the mfr's rating change on the car at play, as this was the only car increased for me.

ImInPA

I have never heard of this Mfg Rating. Why would a manufacturer make his car more expensive to own? Can someone point me to a location that lists these ratings?

golfster

ImInPA,

That was my thought, too. I know the insurance company may change the rating on a car due to their past claims experiences, but the MFR? How/why would they change the rating?

I've had the same agent for 16 years and the same carrier for even longer, so they normally have my trust.

listerone

It may or may not be the manufacturer that makes such declarations.If it *is*,they could well be required to do so by law or they choose to do it on advice of their legal department.Also,it seems to me,it could be some insurance industry trade group that makes such determinations...perhaps by means of analyzing claims and repairs data which,I'll wager,insurance companies are constantly doing.

Of course I could be entirely wrong.

ImInPA

How would MB know how much insurance related repairs are? Have you ever reported your accidents to MB? I am not saying it is impossible, but, all a repair is is parts and labor. The cost of parts is a known and the cost of labor in a region or specific area is known. There is something missing here.

golfster

I will call around to get a "like quotatation on coverage" although I don't really want to change companies after so many years of service. I agree something is missing as I don't understand the rating either.

Richie999

......as an agent I can say this............

Yes vehicle factors can change for the good (lower premium for you) or can get worse (more risk to the insurer).


Many factors are considered in a insurance premium, too many to list here without going nuts.

More probable than MBZ changing it's factors is that the insurers loss exposure changed on the E.

Feel free to lob me any questions in PM.

Richie999

Has almost zero to do with the cost of the insured vehicle (your car).

Remember, auto insurance has (nearly) nothing to do with your car save for part D.

Richie999

I'd confirm this if I were you....

Max coverage? My guess is you have 300/500 for liability which is a far cry from max.

davidbijan

I would like to share my experience with shopping for coverge for my 11 w212. I initially asked geico for a quote, and it was reasonable at 600.00 for 6 month coverage. I called back to purchase the coverage and he ran the VIN, made a comment about docs like me make alot of money then changed the rate to 900.00 for 6 months. I felt like he was cheating me and did not purchase. I particularly did not understand how running the vin a second time would change the rate when i had already declared all of the cars features and given the vin 1 time prior. I ended up caling farmers and got the same coverage for 600.00 for 6 months and a discount for being a physician. Did geico try to take me for a ride? I think so!

listerone

That's the way it should be for everything.......steak should be $8/lb for "ordinary" folks and $18/lb for rich sons of guns like you. Capitalism in its purest form!

davidbijan

I would assume your joking. If not dont show up in my ER. No morphine for you buddy. LOL

listerone

No prob...whenever I visit an ER I always bring a few of my Fentanyl patches with me.Sweet stuff!

El Cid

In March 2011, my M-B rate went up 10% while stayed same or dropped a little on other two vehicles. Rep. said the "computer" sets the rates. Of course, I am assuming someone at some time loaded in new variables they got from a rating agency. Also cost of repairing M-B's probably went up more than the "average" vehicle. M-B parts aren't cheap and neither is labor.
Lots of variables on insurance costs. I get discounts for more cars than drivers, longevity with the company, insure cars and house and have investments with the company, DRL discount, security discount on the M-B, and driving each vehicle 3,500 miles or less per year. No tickets in many years, but a claim each year for 2006-2008.
BTW, credit rating also factors into rates. Not to mention where you drive.