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View Full Version : Car Insurance--State Farm or Liberty Mutual



hmbay
06-03-2009, 08:06 AM
I have two questions really I'm hoping someone can answer:

1--anyone have Liberty mutual and love/them hate them? Care to share why?

2--anyone had good luck negotiating a rate with your insurance agent? Are rates even negotiable?

We've been with state farm for probably 20 years. Love our agent. However I just price compared and we pay around $1700 a year to insure 3 cars. Liberty Mutual quoted me under $1k a year for the same coverage. I'm ready to jump ship to LM to save the money but I was wondering if perhaps my agent has the ability to adjust my rate to be more competitive if she wants to? Also wondering if Liberty is hard to deal with, prone to raise rates etc?

MrsBeckyLP
06-03-2009, 08:21 AM
We switched from State Farm to Liberty Mutual last year, and we're saving about $700 a year and getting better coverage. I talked to our State Farm agent before we switched, but he said he couldn't lower our rates. So we took all our policies -- homeowners, auto, personal effects, etc. -- to Liberty Mutual. We weren't able to negotiate, but I was OK with that since our rates were already considerably lower than with State Farm.

I haven't had any problems with LM, but we haven't made any claims, either. I really like our agent, and she came to our house to meet with me, which was nice since I had a newborn at the time. I just got our policy renewal information, and our rates did not go up this year.

WisWis
06-03-2009, 08:46 AM
We have Liberty Mutual for both our homeowners and car insurance. Our agent is great and they were very flexible about insuring our house before it was fully renovated. Good thing, since two years later it's still a work in progress... We've been quite happy with both the price and the service. We haven't needed to make any claims but we were in contact with them last year when I was in an accident (the other driver was at fault and ultimately their insurance paid) and they were very prompt in responding to us.

hmbay
06-03-2009, 09:44 AM
thanks guys. We've had several auto claims over the 20 years with state farm and they've handled them well (no home ones so far thankfully). we'll probably switch (now that I've just paid all the premiums for the next six months.... grrr). Still interested to hear any other experiences good or bad with LM.


MrsBeckyLP--thanks for sharing you tried to negotiate with your agent. I figured as much that they couldn't lower your rates but I figured I wouldn't know for sure if I didn't ask.

Boskie
06-03-2009, 02:27 PM
hmbay - My parents have both homeowners and auto through LM and they LOVE them. They have had numerous claims over the years, including 2 homeowners claims this year, due to weather conditions. They have always paid very promptly and seem fairly easy to work with. My husband and I would consider them, except I work for a Nationwide Agent.

dragonfly_71
06-03-2009, 08:43 PM
Insurance rates are filed with and approved by the state. They are non-negotiable. The only way an agent could give you a lower rate would be by giving you discounts you don't qualify for or misstate your age, marital status, claims history etc. If an agent were to do that it would usually get caught by underwriting and corrected at the next renewal at the latest.

hmbay
06-04-2009, 06:52 AM
dragonfly_71--does that mean my current agent can't budge or does it also mean that LM can NOT possibly be $700 a year cheaper than SF in the same state?

Boskie--thanks! I'm glad to hear your parents have had claims with no adverse effects. That is something I really wanted to hear before switching. I'm pretty sure we're going to switch. Two of the 3 cars are due in a couple weeks--I should do it now before I have to pay SF and end up having paid double insurance for a while.

mcgwigan
06-04-2009, 07:28 AM
hmbay Insurance rates are filed with and approved by the state...since each company has their own rates, it's possible that Liberty Mutual could save you that much over your State Farm policies.

Liberty Mutual is a financially strong company with lots of "affiliates" or sister companies. I'm an agent that works in an agency that writes business with about 20 different companies. I have no experience with either Liberty Mutual or State Farm, so can't really comment on them -each company is different.

We do work with Peerless Insurance, which is a sister company of Liberty Mutual. I have found that their claim service is less than stellar...again, I have no idea about Liberty Mutual though -they're still seperate companies with their own procedures and such. I've never heard a complaint from anyone that's come to me from Liberty Mutual..their rates tend to be good too!

Another idea for you would be to call an agency that represents a bunch of different companies to see if they can "shop" your policies for you. Basically an agent in an agency like that is working for you to find the best company for you. An agent at State Farm or a Liberty Mutual or other company that only writes business for their own company is working for the company to find customers for the company.

dragonfly_71
06-04-2009, 08:19 AM
It means that your current agent can't budge. Different companies have different rates so yes, one company could be cheaper. However, you want to keep in mind that premium is only one factor when shopping for car isurance. You want the company to be there and be fair when you actually have a loss. I work for an insurance company and while we are competitive, we are by no means always the cheapest, but our claims service is stellar and our financial strength is second to none. We often have claimants ask how they can become members because they were so happy with how we handled their claim. Since you had good experiences with State farm in the past, I would probably stay with them.

mcgwigan
06-04-2009, 12:14 PM
I guess I don't totally agree with that. I agree not to base your judgement soley on price, but if you know of people that have had Lib Mutual and they have good reports on the claim service and you can save that much, then definately switch!

hmbay
06-04-2009, 01:38 PM
I've been happy with state farms service BUT it hasn't been $700 extra a year great. if I was only talking $100 or so maybe but I'm talking just over $700 in savings just on my cars alone. My house I think they were within $20 of State Farm but that was before figuring a multi-line discount.

and with any service good and bad agents and experiences can happen anywhere and I try to consider that when reading bad reviews/good reviews.

I'd still love any stories good or bad but right now I'm about 95% positive I'll be switching next week.

dragonfly_71
06-04-2009, 04:53 PM
$700 is a lot of savings. You can check out ratings here, that may help you make a decision. http://images.businessweek.com/sb/jdpower/auto_insurance/index.htm

hmbay
06-11-2009, 12:27 PM
dragonfly--thanks for that site. Looks like they rate honestly about the same as State Farm in most areas. I talked with a LM rep today twice and I've been happy with his service so far. the rates he quoted me were great on cars. Home I'm not so thrilled on some of their coverage limitations but their pricing is stellar (estimate I'd save about $1K a year between auto and home if I'd switch both). I'm most likely switching my cars but maybe not my home. Need to compare to what I have now and see how much it will go up with State Farm if I take away my auto business and figure out what makes the most sense there.

dragonfly_71
06-26-2009, 06:04 PM
Sorry this response is way late you may have already switched anyway. I just wanted to say that as far as homeowners insurance is concerned there can be huge differences in coverage from one company to another and you want to make sure you know exactly what the differences are before switching. If you find that Statefarm has better coverage you might possibly be able to increase your deductible to reduce your premium. You really don't want to file small claims under your homeowners policy anyway so a high deductible is usually a good idea.

berry
06-29-2009, 01:31 PM
Also, perhaps adding in too late.

We recently bought our first home and shopped around a lot for insurance, meeting with people from American Family, State Farm and Erie Insurance. State Farm was the most expensive of the three companies we looked at in detail.

We ended up getting exactly what we wanted through Erie Insurance (a smaller regional company) and have had great customer service thusfar.

We were actually sad State Farm was so much more expensive, because we really liked the agent we met with a lot. But, like you, not so much that it was worth the $600 difference.

hmbay
06-29-2009, 02:48 PM
berry--I do feel really bad for my state farm agent because I do really like her but she just couldn't be competitive enough on our car rates. I haven't switched our home yet. I'm verifying a policy difference I noted--It seems like I might have better coverage under state farm than I could get from LM. LM is about $400 a year cheaper but has a higher mandatory deductible ($1K vs $500) and will not cover personal property located in my basement (we have a semi-finished walkout basement) incase of a sewer backup etc--only structural. If I'm reading my current state farm policy correctly they DO cover personal belongings. Because we plan to finish a media room with expensive audio/video/furniture that coverage or lack of is a big deal to me.