2 posts shown.
fadedlynx6 said:Basically, you started with zero discount, then caused an accident. If that's the case, you're looking at a 115% rate—meaning you're paying a 15% premium over the base price.
The surcharge scale works like this:
0%
115%
130%
150%
170%
190%
210%
230%
250%
The discount scale looks like this:
0%
5%
10%
15%
20%
25%
30%
35%
40%
45%
50%
So, if you cause damage before even building up a discount, you hit 115%. A second accident bumps you to 130%. It takes until the third one to hit that 150% mark...
I actually called State Farm the other day to get some clarity on how their surcharges work, and honestly, this super rude, unpleasant lady on the phone told me that just one single claim bumps you up three levels on the penalty scale. So according to their math, I'm jumping straight to 150%. Man, I felt physically sick just doing the math on what my registration and insurance costs are going to look like now.
Hey, maybe one of you guys can help me out here:
So, I picked up a used car that’s registered through December, but I haven't officially transferred the title at the DMV yet. We signed the bill of sale last Friday, but I still need to head out to Boise next week to swap the plates and get everything in my name. Well, today, while I was pulling into a parking lot, I accidentally tapped into some guy's brand-new Ford. I dented his bumper, and honestly, the damage looks way more expensive than whatever cash I have sitting in my pocket to settle this right now. We’re heading over to a State Farm office in Silicon Valley to get an estimate and see where we stand.
Here’s what’s actually bugging me, though. Is there any risk for the guy who sold me the car? Since the insurance policy is still technically in his name, could he end up getting hit with a surcharge or a penalty? Also, since this is my very first car and I don't have any prior insurance history, am I going to be stuck paying the full premium when I go to register it in December, or will they tack on a penalty for this accident right away? And if they do, how bad is it going to hurt?
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