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QuestionInsurance Question  I received a quote for snowmobile insurance, in Wisconsin, for $210/yr. A week later I went in and signed the policy. The next day I received a call from my agent stating that the underwriters changed the snowmobile policy on the previous Monday, between the quote and signing. The new quote under the new policy came in at $510/yr. My questions is: Am I entitled to the first quote price since it was performed before the change took place? Or do I have to take the quote price at the time of signing the policy?

AnswerAuto Insurance Answer

You should check with the Wisconsin insurance regulator, Office of the Commissioner of Insurance (OCI), to find out what WI state insurance statutes have to say about your current situation. 

Generally when you are quoted a rate the agent tells you how many days that specific rate is good for. If you came in within that time then you may have an issue with the insurance company if they are stating it is their underwriting that changed rates and the rate change was not due to something they found out about you after issuing the quote, such as your driving record was different then you stated in the application, etc.

So find out the exact reason there is a discrepancy in the first quote and the policy cost they are now quoting you. Sometimes information will be revealed to the company on your Motor Vehicle Record (MVR) or credit report that will require the originally quoted premiums to be changed by the company.

Normally in a situation such as this you have three options:

  1. You may pay the increase to keep the policy valid.
  2. You may request cancellation.
  3. Do not pay the additional premiums, and the company will cancel your policy for nonpayment of premium. 

The agent should be able to give you a satisfactory explanation for the increase in your premium. If you feel that your premium was intentionally quoted low in order to obtain your business, you should be able to file a formal complaint with the OCI. 

To get a quote with our partner Safeco for your snowmobile click here.

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