Auto insurance from a customer's perspective

[Markthebroker]

Lemonade is a great example - right now it is going great with the hype, but they also are not playing with their own money, and rather $400M+ in seed funding for their project.

I hope they prove me wrong - but I see a crash and burn eventually.

Lemonade is promoting "Super fast service and SAME DAY CLAIMS SETTLEMENT" … What could go wrong?? The personal injury attorneys are already foaming at the mouth.

Anyone in the business for a while has seen something like that before.

 

[Markthebroker]

6,000 insurance carriers & they are all colluding to overcharge. If it was like most other industries (think big Box Walmart, Home Depot), the big ones would institute the super cheap rate ideas to eliminate all the competition. The big difference is insurance is a heavily regulated industry & is required to insure everyone & isnt in control of setting its own rate or implementing new ideas. They have to 1st sell regulators on how it helps consumers from all walks of life be protected for a reasonable rate.

I would love to see income taxes be based on how much i use government services as I pay at about 30% federal on my final dollars while 47% of our population pays in 0 federal taxes & some actually receive money back even though they paid zero in. Auto insurance has some of these same components.

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Comprehensive and collusion. Hmmmm.

I struggle to get a handful of people on a conference call, I can only imaging what it would be like to organize 6,000. But I'm not PHD level.

 

[marindependent]

I think its damm difficult to judge any P&C insurer until they have 10 years of history on their given model. Many of these new insuratechs just havent large loss year yet.

 

[Markthebroker]

I think its damm difficult to judge any P&C insurer until they have 10 years of history on their given model. Many of these new insuratechs just havent large loss year yet.

I've been in the business about 10 years. From my experience, ever time a new carrier comes in with low rates pricing everyone out of the market, I pretty consistently see them coming into serious problems a few years later. I just got off the phone with one of them this morning, lol.

 

[Matt37]

I've been in the business about 10 years. From my experience, ever time a new carrier comes in with low rates pricing everyone out of the market, I pretty consistently see them coming into serious problems a few years later. I just got off the phone with one of them this morning, lol.

Like my old boss at Continental said in the late 80s - " You just got to keep writing new premium so the losses don't have a chance to keep up"

Ah, the 80s hard market in this industry was so interesting.

 

[Beth Kopenhaver]

I am fascinated by the concept. But am intrigued as to why this could possibly help someone that has not had an accident or ticket in ten years.

In other words it would seem to me that per mile driven or driving habit auto insurance forms (Hanover Insurance) are most potentially useful for younger drivers or those who are rehabilitting their driving records.

Agreed with you about these insurance forms' usefulness for beginner drivers. There was a lot of evidence of this in my practice.