Auto Insurance Competition

Now that Governor Deval Patrick has changed the way the state is handling auto insurance rates, many expected to pay next to nothing for their auto insurance because of all the hype that surrounded the “managed competition” reforms. They may have been expecting a bit too much, but on average, most auto insurance rates seem to have gone down for residents.

Experts predicted that the rates would fall somewhere in the vicinity of 11.7%, which would put them on par with the year before’s drop. Instead, they found them more around 7.7% which is still a substantial drop for most people. Again, these numbers are on average, and it will pay to shop around to find the best deal on auto insurance for you.

Some people found their numbers significantly lower, while some were higher, and many think that if the politicians had done more for them they would have gotten better rates. But again, it will depend on the company. One car insurance company, USAA, is offering cut rates to everyone – with some going as low as 30% below what they paid last year.

Some are offering deals for returning customers, others for opening other policies with them like for home or life insurance. There are also “good driver” discounts that are being offered for the first time, and this will help with the bottom line as well. The auto insurance companies have until November 27th to look at the competition and decide if they want to raise their rates or not. With all the competition out there now, it pays to take the time and do the research.




Back to November 2007 Archives