NLIC.org

Juanita Said:

Why does my local hospital contract with Insurance companies to do an MRI for $ 700 yet charges me $2100?

We Answered:

There are so many loop holes. That really is why I believe universal healthcare. Why is ok to price gouge patients in time when money is likely not their biggest priority? I dunno.

Yolanda Said:

What large insurance companies subcontract investigative services to local Private Investigation Agencies?

We Answered:

None that I know of - they all use in-house guys.

Darlene Said:

Does anybody know any LOCAL Auto Insurance Companies in Louisiana?

We Answered:

autoinsurance.maclenet.com - try this one. I personally have their car insurance, cause it is the cheapest for me in our area.

Shannon Said:

Is there any national or local (FL) organizational ombudsman for issues related to insurance Companies?

We Answered:

For a national organization, try www.iiaa.org.

For state issues, or specific issues related to a certain company, you have to contact your state insurance department.

Kristin Said:

Are local insurance companies better than global ones?

We Answered:

In my opinion, it's better to have a local AGENT who can search his data base to find the best bargain for you instead of a toll free number where you get a different person every time you call.

Gladys Said:

Why are the big insurance companies so much cheaper?

We Answered:

To answer the main question: A larger insurance company generally has more customers which means more individuals taking responsibility (risk) for the whole group and when an accident happens it leaves a small dent in the fiscal well-being of the company. All insurance companies have what is referred to as reinsurance for their larger claims to ensure that if there is a significant (large-scale) claim that several insurance companies (not just one) will carry the burden.

I'm not sure I can answer the second question for you (is there a reason to use a local company), but I hope that I can help enlighten you to get the best deal possible from both entities and empower you with greater information so that you are better able to make the judgment for yourself.

The first thing that you should find out is whether or not the policies are identical (all numbers matching exactly, premiums, deductibles, coverage amounts--the differences in the breakdown amounts may give you negotiating room). If you are getting substantially better coverage or coverage that is more appropriate for needs from your local company then you should go local. There are some repair shops that do not accept insurance from certain carriers (one near me does not accept the specific company you mentioned). The potential for an accident (whether with an animal or a person regardless of who is at fault) is always a possibility, which is why you want to be appropriately insured (especially if you're involved in an accident with a person who does not have insurance). A little more insurance is better than a little less.

Once you determine that the policies are identical, to obtain the best price you could ask for a good driver discount, multicar discount (as you mentioned that it is the same company that carries your parents) and also a price match (or compromise) with the lower-priced company. Paying your premium once a year in a lump sum is cheaper (administratively) than paying monthly (as someone only needs to manage the bookkeeping aspects of your accounts once a year versus twelve times per year). If you're able to do that, you might be able to secure a single-premium payment discount. You might also be able to secure a discount if you have multiple policies with the same carrier (i.e. an emergency hospital policy that would reduce your monthly auto premium). If you are able to keep money in the bank ($500+), perhaps you could have higher deductibles which would in turn lower the cost of your premiums.

I would be curious to know how quickly claim service is provided, the other amenities that are provided by both companies (i.e. free roadside assistance, coupons, discounts at local businesses etc.), whether or not they are a stock company and if so, do they have a track record of dividend payouts to their shareholders? In addition, I would be interested to know what reinsurance companies they work with. The fiscal well-being may be substantially better (or worse) depending on who reinsures for them. If it is a company that is well-known to be in financial trouble, I would be concerned, but if there are smaller insurance companies and maybe one or two larger (that aren't in such dire straits) then that would be a better sign.

Once you can look at the quotes objectively, hear/read what all are ready, willing, and able to provide, and ensure that you are able to provide your end of the agreement (paying your premiums on time), I am sure that the right decision for you will present itself easily. Even if on those negotiation points there is not absolute compromise, just remember if you were in a serious accident how would you rate the importance of the breakdown components under extreme circumstances.

The final component that I would consider is this. If all things appear equal (for the most part), I think it is a good practice to purchase from a local business. As a part of the community it is a great thing to be able to support your local businesses. I'm sure that if you had a local business you would want the reciprocal benefit of loyal local customers supporting your entrepreneurial endeavors.

Best of luck to you.