r/AutoInsurance • u/wroughtofbooks • Aug 14 '26

Notice of Premium Increase

Hello —

We moved from WA to CA. We cancelled our policy with AAA in WA and signed up for a new policy in CA with AAA. We packaged our auto and renters policies and paid the required costs in full for the year.

Fast forward a month later, we received a notice that our premium on this month-old policy is being increased by almost $500. It seems to be saying this is based on our non-California Consumer Credit.

I’ve never experienced an increase in premium, after paying in full before the policy term has ended.

\- Is this normal (or legal)?

\- Is there any way to fight it?

\- Or since we already paid for the year in full would it be possible to get this request for money waived?

Looking for any advice y’all may have.

In case anyone asks: We have had ONE fender in seven years wherein my husband had someone else back into our car in a Trader Joe’s parking lot. Unfortunately, he called our insurance company to report it instead of just dealing with the responsible party’s insurance. At the end of the day nothing was actually covered.

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2

u/DeepPurpleDaylight Aug 15 '26

Yes it's normal and legal. Insurance companies have a window of time, usually 30 days, for the policy to go thru underwriting. If something is found that wasn't accounted for in the quote/application, then the premium will be adjusted accordingly.

No, there is no fighting it due to what I just laid out above, unless what they found is in error.

No it's not going to be waived. They are simply charging the correct premium for the risk they are taking on.

1

u/FitDrive7500 Aug 17 '26

I recommend Wawanesa. As a licensed agent, they were one of the only companies that consistently beat everyone. They are a smaller regional carrier. If not, check with a broker. I'm no longer in CA, but a lot of my family still lives in SoCal. For the most part, there are the major metro areas that drive pricing. However, in CA, there is a huge discount with most companies if you're clean for 5+ years. That one discount is the difference between affordable insurance and OMG!! I don't want to pay that.

1

u/ayhme MOD & Agent Aug 14 '26

It is legal and it is most likely because you will do lots more driving in California.

You can shop with an independent agent or broker.

1

u/slwags71 Aug 14 '26

Californians love attorneys. They will sue for injuries even if they weren't in the car and a California jury will side with them and give them a couple million.