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State Farm Homeowners Insuranceabandonment

Review updated:

Gentlemen,

So let me get this straight. As an insurance provider you want to sell your products, services, and policies to your customers until you decide its too risky to provide insurance. Hmm, isn't your business model based on risk and reward? Sometimes you win and sometimes you lose. It sounds as if the organization could use a business coach on how to make good business decisions that benefit their customers and their shareholders.

"Like a good neighbor statefarm is there"...you have got to be kidding me! As a 20+ year customer with home and auto policies, and ZERO claims I find it unconscionable that your would hide behind your desks and let the media tell me you are dumping me. What a crock. You should come up with a way to manufacture a non-rechargeable electric car. You've got the list of suckers, I mean customers that bought into your first concept and convincing us you would be there. I'm sure you could sell that car and then have the tow truck driver tell the poor chump that he bought a car that he cant use because the maker decided they were going another direction.before they made a battery charger.

A couple of thoughts. America is such a great place that we allow our 'good neighbor' to say, screw our Florida neighbors, we are only going to sell them our services that offer minimal risks. And to think the state would probably give you a license to sell peaches at a roadside stand just baffles me. Hey, if we are not good enough to buy all of your products, I suggest you load up the uhaul and take the rest with you.

Even though state farm is by far not the cheapest insurer, I have probably turned down thousands of requests to take up others offers and passed up thousands in savings...heck, my 'good neighbor' has been there for me (wait did I mention 0 claims in 20 years) 'er would be there for me if circumstances required, so why would I do that to my good neighbor that takes care of me. Even though some mail campaign tells me, we'll take just as good care of you and cost you less. C'mon give us a shot. We want your business and will treat you like family. Uh oh, where did I hear that before I would think, oh, that good neighbor named State Farm. I cant leave him, he's a great guy, got good kids, a great staff and really wants to talk to me when I stop in to say hey.

So, my good neighbor wants to raise rates 47% because of rising costs or whatever. Someone has been stealing the newspaper off his driveway (or his foreclosed neighbors driveway), because he obviously hasn't seen that property values have fallen over 50%. So what you are really asking Florida is a 97% rate hike. I'd turn it down to. I would feel funny borrowing 10 bucks from my neighbor, but obviously my 'good neighbor' feels its his given right to be excessive in his requests. Maybe I should go out and find the latest home value figures. last I checked, I have $350000 coverage on my home that the median value is now 279000. Now, I didn't ask you my good neighbor to re-evaluate my home when the values plummeted, but like a good neighbor I figured just in case something happens "you'll be there", so why fix what's not broken, besides it's all good, we're neighbors.

Now what would a true neighbor do? If you are statefarm you move out of the state and leave some of your belongings behind. But me, I am a good neighbor and would go tell the guy that's been there for so many years for me, hey, there's no need to move out of the state, just move away from the neighbors that duped you and built a house 3 feet away from being taken over from high tide. We're not all bad neighbors, we look out for each other, but you need to lose those friend on the water, they are just begging you to let them build that fixer upper into a party palace on the beach as their weekend get away. This neighbor (me) would say, hey stop hangin out with those guys, they are bad news its a no win situation and it will ultimately alienate our neighborly ways.

I'm not in the insurance business but I consider myself to be business savvy. How can I seem to understand the underlying issue, but the people that bleed the red logo don't?

Regards
Austin

Au
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Comments

  • So
      Feb 14, 2009

    I think I agree. It's a little hard to follow the entire narrative.

    I was informed by State Farm that, after more than 30 years of my family being a customer that they were canceling our homeowners insurance because we were too close to the water. During a follow up call, I was informed that they have changed there risk thresholds and since my house is less than 2500' from the water, they were canceling my policy.

    Like you, I bought 30 years worth of their B.S. and stayed with them even though they were not the least expensive option.

    0 Votes
  • Th
      Apr 25, 2009

    Clearly you are angry, but perhaps instead of believing 100% of the media you need to do a little research. Let's for fun sake say for every dollar collected it costs two dollars to pay claims. How long do you think an organization can stay in business? Do you realize the destruction the past several years has cost Florida insurers. Oh by the way, Allstate pulled out also, but they waited for State Farm to do it first so they could avoid all the media attention. Yeah I'm a policyholder also, but before I jumped off the cliff and called my agent to complain and curse him out I stepped back and gathered all the information. My agent took the time to explain this is how much it costs us we are making on a policy and this is what it's costing us. Without the insurance rate they would go belly up. Oh and what if they raised rates 47% you'd ### then also, because then you'd have to pay more money. You're right it sucks because we are all affected. I live north of Orlando have not seen a hurricane in over 25 years but guess what, I pay an increased premium because I choose to live here. Now consider this, it is the govenor trying (he hasn't succeeded yet) to push out ALL insurance companies, you know what that means? Your right to choose who insures your home dwendles down to piece of crap carriers who have no financial backing. At least if your house gets hit by a hurrican you know State Farm is there financially to pay your damages - you really think if Citizens gets stuck with all the State Farm, Allstate and who ever else policyholders they will have enough to sustain your damages if we ever get hit by a big one. Rule of thumb, don't believe everything you read in the media they are there to get your feathers ruffled. Until you get a cancellation letter I don't think State Farm is going anywhere, and if they don't then you cried over spilled milk.

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  • Ra
      May 21, 2009

    Homecomings has helped ruin my credit when 2 months after closing, STATE FARM contacts THEM requesting payment for our homeowners insurance, which; as AZ Law dictates, 14 months had been paid for in escrow at closing. I have all documentaion from the title company, including a copy of State Farm's cancelled check...As a result, our 2 month's worth of escrow account was drained and showed a negative balance, which has since been reported to the credit bureaus regularly, our monthy payment on a 30 year fixed increase $500 and we have been given the '...not looking goood..., ' regarding our recent loan modification request. Bottom line, State Farm denys everything even though I have all the proof, they even issued new car insurance policy numbers around the time they 'debited' our escrow account fraudulently. Don't you think my mortgage company would have been calling if they didn't show any policy? How about State Farm calling, you know since we're on a first name basis with Curt Garrett's Tempe, AZ office staff. Hum...

    0 Votes
  • J0
      Mar 09, 2010

    My good Neighbor just cancelled me. Why? Because i filed a subrogated claim that they assured me would not be held against me. I had a contractor working in my house and he ruined the floors in my house. He reported it to his insurance who decided not to pay even thought the contractor admitted his guilt. My agent assured me that they would step in remedy the situation and would collect from them. In turn I was cancelled for this. I was a life long customer of State Farm. Over 20 years insuring my two trucks and a motorcycle and my home. Stay away from State Farm they are nasty greedy corrupt and have no integrity or loyalty to their customers.
    John A. Gonzales

    0 Votes
  • Ta
      Apr 21, 2010

    i have had state farm for 21 years. i have had 2 claims 14 years apart. i received letter from state farm letting me know that they were not renewing my policy in May because my 2 claims were unacceptable. not sure why we pay into insurance if we are not allowed to use it in a time of loss. i guess the only thing that is acceptable with state farm is to pay your premium and never have a claim. i am very upset with state farm and will never have anything nice to say about them. i have been searching for a new insurance company to take me and they will not accept me as a new customer because i have had a fire loss in the last five years. so what do i do, who do i turn to. when and if i find someone to insure me i will have to pay a very high rate i'm sure. state farm is not a good nieghbor.

    0 Votes
  • Be
      Dec 01, 2010

    We lost everything in a house on august 8 2010 and as of today 12/01/10 we haven't seen any money not even living expenses call me sarah berfield [protected] if you have any help ideas. Lock haven pa

    0 Votes
  • Sa
      Aug 13, 2011

    I live in Las Vegas NV. and I have two homes five autos and two motorcycles all with State Farm. On July 9 of this year we had a strong storm rip through the valley ( heavy rain with 60 plus MPH wind) my roof leaked into my finished garage and leaks also in the formal dining room, the wind removed two wind turbines and destroyed the solar system for the pool. I called my agent and reported the damage, he gave me a number to call ( 11 July ) and I was given a claim number and I was told that a claims examiner would be out within two days to look at the damage. The claims examiner did not show up on the promised date ( I took off work to accommodate them ) I called the claims office late on the afternoon of the 11th July to see if the examiner was running late and I was told that this was the first time they had heard of my claim, when I asked how come I have a claim number the response was that I was a liar, and that a person would show up on friday because it is policy to show up within two days. I took off Friday the 15th and their representative showed up about 4 pm. When I showed the claims rep the opening to get into the attic ( a Female ) the rep said I don't go in attics so she stuck her hand up into the attic with camera in hand and took photos in a 360 degree manner. She then asked if I had a ladder because she did not have one. She then went on top of the roof and said that there was evidence of wind damage, and would cover the solar system and turbines but the roof leak dad damage to sheet rock paint and leak in formal dining room would not be covered because it was her opinion that the roof had seen better days and was worn out. We had rain during the winter and had no leaks at that time, the roofer stated that the high wind forced the water up under the shingles and caused the leak. Ok then I would pay for the roof repair and they ( insurance ) would cover the solar and turbines. It has now been over 30 days and several calls to my agent and the claims center and no one will return my calls how long does a reasonable man have to wait before the insurance company is in breach of contract or acting in bad faith.

    0 Votes

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