Why Did Car Insurance On My Mariner Go Up In Omaha?

I was told that the state of nebraska issued rates for all insurance companies. I do not understand why it went up. Also if I file a claim on my car, does that cause my rates to go up? Why would it if I am paying insurance each month? Isn’t that why I have insurance?

21750 POINTS
view profile
Jim Winkler
CEO/Owner, Winkler Financial Group, Houston, Texas
Great question! Unfortunately, that is a tough question to answer without a little more information from you. There are many reasons why your rates may increase within the state mandated rate limits. Some things that can raise your rates are a result of how you drive. A claim filed for an 'at fault' accident can raise your rate, as can a poor driving record, or speeding tickets, in some cases. ( You are a bigger risk for a payout, so you pay more, just as someone who smokes pays more for life insurance - smoking has been proven to increase your health risks, and bad driving habits increase your risk for an accident.) Some things are not in your control - rates can increase if the vehicle theft rate in your area increases, if the company has had to pay out significant claims, and their profits are down, or you move into a different age category in some cases. Some companies will even look at your creditworthiness as a basis for your rates. The purpose of insurance isn't to provide you with a steady rate as much as it is to help you in the event that you are in a position where the cost to repair or replace a car is more than you can afford. That said, there are some companies that will offer "first accident forgiveness" types of policies, and are a bit more lenient in their rate changes. I'd tell you that if you are unhappy with your current rate to shop around and see if there is a better company or rate that fits your budget. If you have further questions, please contact me, I'd be happy to help. Sorry for the unpleasant answer, but I appreciate you asking!
Answered on April 14, 2014
flag this answer