I recently joined AAA for home insurance, and it’s been a complete circus. My house is a standard frame house, but out of nowhere, AAA sneakily changed the classification to "Solid Brick" in their system and jacked up my premium.
Even though my previous insurance and all records show it's a frame house, AAA kept demanding "evidence." I first provided photos of the house and official City BS&A records, but they refused those and insisted on a professional inspection report.
So, I provided the inspection report from when I purchased the house. Now, they are finally agreeing to change the classification back to "frame," but they claim the premium will stay exactly the same because my house is "high quality." I have no idea what "high quality" is supposed to mean in this context, but they suddenly increased my Dwelling Cost from $574k to $750k. Basically, once they were forced to admit the construction type was wrong, they pulled a $176,000 increase out of thin air just to keep my premium high.
Is this even legal? It feels like a straight-up scam to move the goalposts once I proved them wrong.
AAA Insurance is moving the goalposts. This is insane.
byu/Immediate_Doubt_9406 inInsurance
Posted by Immediate_Doubt_9406
5 Comments
I used to be in insurance sales. Most insurance companies consider houses with a replacement value of $750K+ as high value
If you feel like they did something wrong in their underwriting practices, you should contact your state’s Department of Insurance and file a complaint for them to open an inquiry/investigation.
Shop around. You don’t want to be underinsured or overinsured. Call a few companies and ask them to value the replacement cost of the home and give a price on the insurance.
If you don’t like it then just get a new policy elsewhere. If no one else is offering rates as low then clearly what they are telling you is accurate.
If you recently joined just cancel and get the remainder of your months premium back. Find a broker to shop other companies for you. AAA is great for roadside, not a fan of their insurance.