Using Auto Insurance Roadside Services May Raise rates

Discussion in 'Off-Topic' started by baddriver, May 24, 2009.

  1. baddriver

    baddriver Active Member

    After reading Mad Mallard's "Be Prepared" post it reminded me of something
    I heard Clark Howard talk about on air a few years ago.

    In summary he stated that the roadside assistance offered by some auto
    insurance companies ( towing, changing a tire, battery, jumping a car) are
    bad news.

    Apparently some insurance companies were flagging usage of the optional
    roadside assistance service as a general claim against the policy and in
    turn increasing insurance rates of their customers.

    Link:
    http://clarkhoward.com/liveweb/shownotes/category/9/27/

    Relevant Blurb from link:

    Jun 13, 2006 -- Drop towing riders from your insurance
    Clark talked recently about how getting tow service from your insurance company can boost your rates if you use the service. The report got people up in arms and he has some follow up news for you. The story first came out in Consumer Reports, a magazine Clark highly respects. It said that AllState, State Farm and Geico all either raise your rates or report you to other deciding bodies. Clark wanted to contact the biggest insurer - State Farm – to see what they had to say. And, it is true. If you’re a State Farm, All State, Geico or Nationwide customer, discontinue the towing rider from your coverage. If you need the towing coverage, get it from Costco or BJ’s instead. Read State Farm's response
    1 comment | Permalink
     
  2. XanRules

    XanRules Active Member

    And that's why I use AAA.
     
  3. Eco Auto Clean

    Eco Auto Clean Active Member

    Reliability, that's what makes Subaru a Subaru.
     
  4. nicad

    nicad Yes I am a troll

    insurance is a scam, news at 11
     

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