Overhaulin'

Massachusetts Auto Insurance?

having just relocated to Ma, Im forced to change my car insurance policy because my big carrier (geico) doesn't carry policies here.. as a matter of fact NONE of the big boys write polocies in mass, that's 21st, independant, stat farm, Allstate, none.. Why is that?

Public Comments

1. most of time when a carrier won't write in a state its because the loss ratio in the area is too large.
2. They don't because the rates are set by the State, not the companies. Also, it is a PIP state. A couple of good companies that write there are National Grange Mutual & Vermont Mutual. Also, Commerce. No matter where you go it will be the same rate so get a good agent, ask co-workers & friends who they use.
3. Because Mass auto is highly restrictive - the state commissioner makes the rules, writes the policy (and everyone has to use the same policy) and more importantly, sets all the rates. Yep, there's not much shopping around in MA. Unless you're eligible for a group discount (like being a member of a credit union, etc) you're going to pay the same rate no matter where you go. MA won't let an auto carrier refuse to write someone - no matter how bad their driving record is. And they won't let the carrier set their own rate for a really, really bad driver. And they won't let a carrier stop writing auto, if they don't want to, without paying hundreds of millions in fees. So companies just don't want to get into that sort of situation. It's TOO regulated for most companies. Even the ones there, would get out if it wouldn't bankrupt them.
4. Massachusetts insurance industry is very heavily regulated -- this is one of the issues in this year's gubernatorial campaign. While regulation is keeping competition from freely entering the market and rates are much higher than in other comparable metro areas, the good news is that among the companies who do underwrite in Massachusetts the rates vary very little. Companies must follow a pre-set rate schedule that is based in part on the driver's experience, number of incidents, and other factors. Insurers are only allowed to deviate a little bit from these rates. Good luck. A site I've recommended in the past would be... http://www.surveyland.org/jump.php?link=insurance Hope that helps.