Nothing good ever lasts, I guess. I just got notice that my Root car insurance premium was doubling. I Started Off Paying $48.33/ moRather than paying as a lump sum, I split my premium into monthly payments. At first, I was ecstatic. I'd be paying less than $50 per month. A huge savings! In February 2020, I was Bumped to $52.83/ moMost auto insurance companies review their policies every so often and will increase rates at that time. When Root did their six-month review and renewal, I wasn't surprised to see the bump. It was minor, so I wasn't overly concerned. In March 2020, I Purchased a "New" Vehicle and My Rate Jumped to $74.33/ moFair enough. My old vehicle was literally worth $200. I drove it into the ground. I replaced it with a used SUV that was worth around $17k. It was a bummer to see the rates rise, but I understood it too. Granted, I almost never drive and I haven't had an accident or ticket since I was a teenager, but some increase made sense here because they were assuming more risk. In August 2020, My Rate Will Be $111/ mo: Root is Raising My Rates 49% OvernightYeah. No joke. I just got my notice from Root today notifying me that they've done their six-month review and are doing an increase. In an unceremonious and easy-to-overlook message, they said: Hey there, Thanks for choosing to drive with Root. Here’s some important information about your policy renewal. Your renewal rate is $111.00 per month of coverage and your policy will automatically renew on August 09, 2020. Naturally, I wrote back: My policy was under $50 when I signed up and is just over 70-ish now. Your latest message says you’re bumping it to $110. Seriously?!? Tell me this is an error please. Their reply: Thanks for reaching out. Every 6 months, we review your policy and information to determine your renewal rate. Any changes to your policy like vehicles, drivers, coverages, or a recent move could cause your rate to go up or down. Your rate can also be affected by changes in your driving history, like if you’ve been in an accident. Unfortunately, the increasing cost of car repair and medical care, and damaging weather events nationwide can impact insurance rates, too. An increase in your rate is likely based on a combination of these factors. If you have any other questions, let us know. Beautiful Things Never LastI have to say, this feels like a pretty big kick in the teeth. I'm sitting here writing this in July 2020. I'm in Arizona at the peak of the coronavirus pandemic. We're in a time of economic strife. Everything is closed. I lost my job. I caught COVID and was bedridden for a month. I still haven't found a new job or recovered financially. And, Root is doubling my rate. No, "Hey, sorry we're screwing you over." No, "Hey, we realize the economy is in the sh*tter and we want to help." No, "We're taking care of our customers in these difficult times." They didn't even send a jar of Vaseline. This is a company that built itself on the promise of inexpensive car insurance, and while I'm still saving about $40 per month over what my Allstate bill was despite these increases, I'm really disappointed in the company for making such a drastic hike overnight, particularly when I'm still counting my pennies at the grocery store. I can't say I'm done with Root because this may well be the best I can do right now. But, I don't have a whole lot of faith in the company anymore and I will be shopping around again. I don't want to dissuade anyone from trying Root- perhaps this is universal and insurance rates are skyrocketing everywhere right now- and maybe others can still save cash by switching. But, I'm honestly really sad a company I liked would increase rates so much overnight. Not cool, Root. Not cool. Did Your Insurance Rates Skyrocket Too?Whether you have Root or another insurance, let readers know in the comments below so we have a better idea of whether my experience was indicative of a general trend or isolated. Update:
After writing this blog and feeling unsatisfied with Root's refusal to tell me why my rates went up, I filed a complaint with the agency in my state that oversees insurance companies. Root did respond to them and informed them my rates went up for a variety of reasons, none of which had to do with my actual driving. You can read the explination they gave here.
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