Hey {first_name}, your auto insurance renewal is coming up shortly. There have been some big changes in California that are effecting your upcoming renewal.  Your billing pay plan is changing due to some new carrier guidelines, I will explain it all. First a bit of back story. 

In the state of California a lot of carriers have pulled out of the state from writing new auto insurance business due to the amount of losses they have taken in the last few years. They are losing about 30 cents for every dollar in premium their write. Mainly due to the fact that the used car market prices are through the roof, as are new car prices. Since they are indirectly the largest purchaser of used cars, they have taken huge losses. 

Some carriers are even pulling out of writing new business on home insurance. 

For the very limited amount of carriers that are still writing business in California they have a lot of regulations, requirements, and changes that make it very difficult to write insurance. 

Now lets get to how this is effecting you. You should be receiving a letter shortly on how you will be required to pay your insurance for the whole 6 months up front. This is either due to you having a driver on the policy that doesn't qualify for the "good driving discount" or because you received two "notices of cancelation" within the last 12 months due to missed premium payments. 

The company has no exceptions to this. You will be required to pay the next 6 months up front. You can do so with a credit card, or with a debit card, its completely up to you. 

I am so sorry for the inconvenience this will have on you, there is nothing I can do. Every carrier in CA is going to a huge change in the policies they renew and write new in CA. Most carriers are using this same model on renewals. 

If you have any questions, please send me a text and schedule a time to chat at 925-319-6622.

- Matt Hahn