Car Insurance General

[mplsmm]

Thanks for the reply Dan

I would hope if the industry is not government owned ....

Good idea, we should put the government in charge of auto insurance, they are doing such a bang up job with health care

Seriously, if you go to Vegas and win big, do you hand it back to the house because it was just for funsies? Does the house give you back everything you lost when you leave? Shouldn't you expect it? No you don't, it's a gamble too, albeit more fun than car insurance.

 

[andyto2]

If it eases your mind, the insurance industry IS regulated, and all rate changes must be filed with the state and approved before the change can take effect (unless you're GEICO, apparently they can do whatever the heck they want and get away with it, so if you want a target put them in your sights).

Okay good to know, I read up its the OFSI here in Canada. They regulate what factors a company can use and how they use them to determine rates.

I really don't understand your comment about insurance companies and the insured should input the same amount of $$$$. Can you elaborate on this? Insurance companies get money from one place, the premiums they charge. They don't have a bucket of money to pay claims that didn't come from premiums as some point. (disclaimer: yes, I know about reserves, but those are either saved premiums or large investments to allow them to write policies). How can an insurance company pay a claim if they don't make a profit one day to pay losses the next?

Dan

Basically I just meant the collective total the insured put in = what insurance companies give out. So basically safe individuals who never get into accidents end up paying for people who got into accidents; so insurance companies don't make profits they just recycle the money.

I wonder how low rates would be if this was the case. I mean, what tangibly are you paying for in your rate besides a big collective bank? What do insurance companies even provide to consumers?? Cause they're not providing peace of mind, the government forces peace of mind by making it illegal not to have insurance.

 

[mattupthehill]

Okay good to know, I read up its the OFSI here in Canada. They regulate what factors a company can use and how they use them to determine rates.



Basically I just meant the collective total the insured put in = what insurance companies give out. So basically safe individuals who never get into accidents end up paying for people who got into accidents; so insurance companies don't make profits they just recycle the money.

I wonder how low rates would be if this was the case. I mean, what tangibly are you paying for in your rate besides a big collective bank? What do insurance companies even provide to consumers?? Cause they're not providing peace of mind, the government forces peace of mind by making it illegal not to have insurance.

The big collective bank is what they provide. It's only tangible if you put in a claim. Imagine your friend gets in an accident costing $50,000 in medical, property damage etc.
Thanks to the insurance company your friend doesn't have his assets seized and his wages garnished. Insurance companies are experts at gauging risks and putting a price on that risk that allows them to be profitable while also having enough money to pay for the many claims that happen daily.
If your friend needs something tangible he may be able to get a calendar or some pens from his insurance company

 

[andyto2]

The big collective bank is what they provide. It's only tangible if you put in a claim. Imagine your friend gets in an accident costing $50,000 in medical, property damage etc.
Thanks to the insurance company your friend doesn't have his assets seized and his wages garnished. Insurance companies are experts at gauging risks and putting a price on that risk that allows them to be profitable while also having enough money to pay for the many claims that happen daily.
If your friend needs something tangible he may be able to get a calendar or some pens from his insurance company

It's not thanks to insurance companies that people don't get their life ruined, its thanks to the millions of people that put money in the bank.

But I guess it is thanks to insurance companies we pay higher rates; since the insurance salesman has to get rejected every day; and apparently unique rates for I suppose some especially unique people need to be gauged.
Oh and don't forget the free pens and calendars. Hey look I can be a passive aggressive keyboard warrior as well!!

 

[andyto2]

The big collective bank is what they provide. It's only tangible if you put in a claim. Imagine your friend gets in an accident costing $50,000 in medical, property damage etc.
Thanks to the insurance company your friend doesn't have his assets seized and his wages garnished. Insurance companies are experts at gauging risks and putting a price on that risk that allows them to be profitable while also having enough money to pay for the many claims that happen daily.
If your friend needs something tangible he may be able to get a calendar or some pens from his insurance company

But its not thanks to insurance companies people don't get their life ruined, its thanks to the millions of people that pay into the bank.

What do you mean experts at gauging risks? Are there some super unique people that come along to somehow change the formulas that have existed for almost 100 years?? Anyone can get a free quote online from a computer that gauges your risk.

 

[KenP]

Tell me when you friend buys an awful permanent life insurance policy because of that mentality.


I'm kidding, but what everyone else says is true: The rates are regulated; he'll pay less for insurance if he's a safe driver like that; and the opposite scenario is why you have insurance - he buys a policy tonight for one month's premium of $100, then gets into an accident that causes tens of thousands in damages, he makes out on the deal.

That's the peace of mind. And the government requires it because farrrrrr too many people have this mentality you're talking about and it collectively protects everyone. If someone with no assets and little wages to garnish destroys your vehicle and racks up $8,000 in medical bills for you, you'll be happy they're forced to have insurance to cover that for you.

 

[indienoise]

Anyone can get a free quote online from a computer that gauges your risk.

Yeah, because that computer reviewed decades of data, identified trends, set acceptability guidelines, decided what attributes to apply additional discounts or surcharges to, forecasts future trends, assigned base rates. And, of course, people will always give the complete and honest truth to that computer, which will also help him understand what he is and is not purchasing, and guide him in how to Keep his insurance costs down in the future, and recommend coverage changes at major life events.

Of course, we could have it your way and insurance companies treat everyone exactly the same. In which case low risk individuals like your friend will find themselves paying much, much more than before.

 

[KenP]

Thank you for sharing valuable information. Insurance provider should be good as customers looking for. I did my auto insurance through Jackson & Jackson Insurance Agents and Brokers and it will help me to repair my vehicle in future.

0% chance of ulterior motives

 

[mplsmm]

Thank you for sharing valuable information. Insurance provider should be good as customers looking for. I did my auto insurance through Jackson & Jackson Insurance Agents and Brokers and it will help me to repair my vehicle in future.

Jackson and Jackson Insurance agents must be very smart to have you place such compelling ads in a forum filled with other insurance agents.

 

[KenP]

Jackson and Jackson Insurance agents must be very smart to have you place such compelling ads in a forum filled with other insurance agents.

Word on the street is they're as good as customers looking for