Car Insurance Thread
 

Hey guys,

I just renewed my car insurance policy and was pretty stoked to save like 150 bucks over the next 6 months. I thought it would be really helpful to be able to see a range of what people driving record is like/what state they live in/what their car insurance company/rates are as we dump an assload of money into car insurance every year.

I got into an accident when i turned 16(9 years ago). Swerved to miss someone coming at me head on and ended up flying between 2 trees, landing in the ditch and shockingly no one was hurt(witnesses said they thought we would all be dead). Ive gotten 2-3 tickets but those are all off my record now. So officially, my record is "clean", in that the state of California has assigned me 0 points.

2 years ago I was insured through Mercury Insurance, I paid 830/6 months. Last year I switched to esurance and paid 692/6 months. When I just turned 25 last month I was told that my car insurance rates would plummet. So i called esurance to see if I would get a discount. They informed me that all of their rates were going up, so that while I would be getting a "discount" my rates would be going up. After this, I called a bunch of places(geico, progressive, etc) and geico ended up being by far the cheapest at 510/6months. I am pretty stoked about this, but at the same time I have always found it a bit troubling that the state forces us to have insurance and the rates are generally so insanely high. It seems like theyre kind of subsidizing the insurance companies with this law, no?

Coverages:
Bodily Injury Liability(BI) $100,000 / $300,000

Property Damage Liability(PD) $50,000

Uninsured & Underinsured Motorist $100,000 / $300,000

Comprehensive(COMP) $500 deductible

Collision(COLL) $500 deductible

Re: Car Insurance Thread
 

[ QUOTE ]
I am pretty stoked about this, but at the same time I have always found it a bit troubling that the state forces us to have insurance and the rates are generally so insanely high. It seems like theyre kind of subsidizing the insurance companies with this law, no?

[/ QUOTE ]

I'm not sure about the States but in Canada we only need to buy 3rd party insurance which is pretty minimal. I'm pretty sure that is the same in the States. Your coverage seems to be much higher then what would be legislatively required by law.

Re: Car Insurance Thread
 

Yeah, that another one of the problems, the insurance knows the exact coverage people are required to have, so that is expensive, but adding more to it really doesnt add much more in cost, so I generally get better than the minimum, as I believe my benefits are double the minimum and it made my yearly premium go up like 10% or so.

Re: Car Insurance Thread
 

Insurance is the biggest legal scam in the world.

Re: Car Insurance Thread
 

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Insurance is the biggest legal scam in the world.

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except that it is actually one of the great inventions of civilization and is one of the key innovations that make a modern economy possible.

Re: Car Insurance Thread
 

none of you guys are doing what youre supposed to be doing btw.

Re: Car Insurance Thread
 

I pay about $225/6mos., GEICO, Ohio, minimum legal coverage. I have a clean record except for one speeding ticket.

Re: Car Insurance Thread
 

What are we suppose to be doing?

Listing our insurance?

Re: Car Insurance Thread
 

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I pay about $225/6mos.

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HYSKAKCKAHKAHCKAKCHAK.

WHY IS SOMEONE IN OHIO PAYING 300 DOLLLARS LESS THAN ME?!? THIS IS THE KIND OF TILT INDUCING STUFF I WAS WAITING FOR!

Re: Car Insurance Thread
 

Is there a less interesting activity in the world than comparing car insurance rates?

Re: Car Insurance Thread
 

$205, Seattle(Capitol Hill), minimum legal coverage. Clean record plus an extra discount for my "membership" in the american physical society.

Re: Car Insurance Thread
 

[ QUOTE ]
[ QUOTE ]
I pay about $225/6mos.

[/ QUOTE ]

HYSKAKCKAHKAHCKAKCHAK.

WHY IS SOMEONE IN OHIO PAYING 300 DOLLLARS LESS THAN ME?!? THIS IS THE KIND OF TILT INDUCING STUFF I WAS WAITING FOR!

[/ QUOTE ]

I'm not even 25 yet either. I'll bump the thread next time I renew my insurance to update.

Re: Car Insurance Thread
 

I pay between $5500-5700/year. Moderate driving record. I get 1-2 speeding tickets a year but no claims ever.

Re: Car Insurance Thread
 

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Is there a less interesting activity in the world than comparing car insurance rates?

[/ QUOTE ]

It's so easy a caveman could do it.

Re: Car Insurance Thread
 

Geico won't insure me, ahh, what it cost me to be a teenager.

Re: Car Insurance Thread
 

[ QUOTE ]
Yeah, that another one of the problems, the insurance knows the exact coverage people are required to have, so that is expensive, but adding more to it really doesnt add much more in cost, so I generally get better than the minimum, as I believe my benefits are double the minimum and it made my yearly premium go up like 10% or so.

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That's not why the additional coverage is so cheap. At least it's not the only reason. If you think about it you will quickly realize that the first $100k of coverage is much more likely to be called on than the next $100k. It's a function of the Frequency/Severity relationship.

As to your main argument, I think that the fact that auto insurance is mandated by law has the effect of lowering prices per dollar of coverage, since if it were optional, the people who buy it would be worse risks on average than the general car-owning population.

It's the same reason individual health insurance is usually so much more expensive than group policies - anti-selection.

Re: Car Insurance Thread
 

God I hate car insurance companies. Really the worst. Is there some special circle of hell where all insurance adjusters and brokers can go?

As a poker player they offend me even more. These people are the ultimate bet-welchers. An insurance policy is a wager -- we are betting that [censored] will happen to us. They are betting that [censored] will not happen to us. When the [censored] inevitably happens, then the insurance company hunts for reasons not to pay their end of the wager. They say the [censored] happened for the wrong reasons. They say the policy didn't cover that kind of [censored]. They say the [censored] was your fault even when the police say otherwise.

What bastards.

Re: Car Insurance Thread
 

[ QUOTE ]
God I hate car insurance companies. Really the worst. Is there some special circle of hell where all insurance adjusters and brokers can go?

As a poker player they offend me even more. These people are the ultimate bet-welchers. An insurance policy is a wager -- we are betting that [censored] will happen to us. They are betting that [censored] will not happen to us. When the [censored] inevitably happens, then the insurance company hunts for reasons not to pay their end of the wager. They say the [censored] happened for the wrong reasons. They say the policy didn't cover that kind of [censored]. They say the [censored] was your fault even when the police say otherwise.

What bastards.

[/ QUOTE ]

[img]/images/graemlins/heart.gif[/img]

Re: Car Insurance Thread
 

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none of you guys are doing what youre supposed to be doing btw.

[/ QUOTE ]
PITTM I LOVE YUOU WILL U BE MY DADz?

Re: Car Insurance Thread
 

Just switched insurance companies because I just got married so I'll just paste the email my insurance guy sent me.

$532 per 6 months, for both my car 1996 Eagle Vision and my wife's car 1996 Honda Civic. We are both 22 with clean records.

Liability - Bodily Injury Per Person $250,000
Liability - Bodily Injury Per Occurrence $500,000
Liability - Property Damage Per Occurrence $100,000
Medical Expense Per Person $10,000
Uninsured/Underinsured Motorists - Bodily Injury Per Person $250,000
Uninsured/Underinsured Motorists - Bodily Injury Per Accident $250,000
Physical Damage - Collision Deductible $250
Physical Damage - Comprehensive Deductible $100
Towing & Labor Limit $50

Re: Car Insurance Thread
 

those are some ballin deductibles imo.

Re: Car Insurance Thread
 

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I pay between $5500-5700/year. Moderate driving record. I get 1-2 speeding tickets a year but no claims ever.

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can i borrow your lamborghini sometime?

Re: Car Insurance Thread
 

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[ QUOTE ]
I pay between $5500-5700/year. Moderate driving record. I get 1-2 speeding tickets a year but no claims ever.

[/ QUOTE ]

can i borrow your lamborghini before you total it for the 9th time?

[/ QUOTE ]

1 speeding ticket, 27 y/o, minimum coverages, $900/year

Re: Car Insurance Thread
 

[ QUOTE ]
Yeah, that another one of the problems, the insurance knows the exact coverage people are required to have, so that is expensive, but adding more to it really doesnt add much more in cost, so I generally get better than the minimum, as I believe my benefits are double the minimum and it made my yearly premium go up like 10% or so.

[/ QUOTE ]

The minimum coverage in most states is pretty low. If you have a decent amount of assets you should look into an umbrella policy. I think in my state I am only required to have like $50K in coverage for bodily injury. So if I really hurt someone in a car accident that $50K is going to be gone quickly in medical bills. Then I become personally liable. That is where the umbrella policy kicks in and covers me an additional $1M. It is an umbrella in that it is over my auto and homeowners policies.

Granted I had to up my coverage beyond the state minimums in order to get the umbrella, but the peace of mind is worth it if you have assets that you want to protect.

Re: Car Insurance Thread
 

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I pay between $5500-5700/year. Moderate driving record. I get 1-2 speeding tickets a year but no claims ever.

[/ QUOTE ]

I dunno $460 per month seems like a reasonable rate to me. [img]/images/graemlins/ooo.gif[/img]

kthxbai

Re: Car Insurance Thread
 

I'm a 26 year old male, living in Victoria, Australia, and have insurance with CGU.

I pay $A32.66 a month, or $A195/6 months. That works out to be $US170 or so, depending on exchange rates.

I drive a 2001 6-cylinder Toyota Avalon, CSX Sports Pack, and I have comprehensive insurance for its market value (prob $A12k or so)

The basic excess is $450, with an additional excess for young/new drivers.


Included in my $32 a month is a little extra for their "windshield" protection, so if a window/screen is smashed, they repair it with no excess. On Christmas Day last year, a window was smashed (by a thief) and they arranged for someone to come out and fix it, with no transaction involving me (ie, they paid directly).


I think they're awesome. They allow me to remove variance from my car costs.

Re: Car Insurance Thread
 

Ah if only this was how it worked in the US.

Re: Car Insurance Thread
 

Joker, You're wrong. Neither you nor the insurance company are betting on anything. You are trading volatility.

Re: Car Insurance Thread
 

24 and I pay about $175/ 6 mos to insure my car. Liability only on my $2k car, but I've never had a claim or ticket.

Re: Car Insurance Thread
 

[ QUOTE ]
Joker, You're wrong. Neither you nor the insurance company are betting on anything. You are trading volatility.

[/ QUOTE ]

http://www.fractalfairy.com/lice/nit.jpg

http://www.scrantontimestribune.com/...s/westband.JPG

Re: Car Insurance Thread
 

$52/month for comprehensive, $250 deductible and renter's insurance. I have a horrible driving record, with numerous speeding tickets and a DUI.

USAA ftw.

Re: Car Insurance Thread
 

I recently dropped all comp and collision on my car (my car is only worth ~$4k so if i total it I just plan to buy a new one). I still have liablity and some form of underinsured coverage incase someone hits me who is not insured, which comes out to approximately $200 every 6 months (about $33 a month). Also, assuming the accident is not my fault, damage to my car would still be paid for by the other driver's insurance. Comp/collision is only for damages you are at fault for. I guess you could say I am willing to take on the risk of $4k (minus any decutibles and insurance premiums I'd have to pay), that I won't cause any accident that I would be found responsible for. I have already saved a good portion of my car's current value in reduced premiums that I am putting what I would have paid the insurance company into a fund that will go towards a new car and/or cover any expenses I may incur from my reduced coverage. If you have the discipline to do this I really think that is the way to go.

for those of you with low deductibles (around $250), I would highly recommend raising your deductibles to around $1000. In most cases, the rates you save will more than make up for any increase in deductible you will have to pay, often within just a year or 2. Unless you get in a crash per year or something ridiculous like that, you should have high deductibles. In the long run, you'll end up saving much more than you have to pay out in higher deductibles from potential future crashes. Put the amount you save each month into an online savings account as a type of car emergency fund. If you never get in a crash, eventually you can stop contributing to this fund or maybe even buy a new car with it someday.

Re: Car Insurance Thread
 

[ QUOTE ]
[ QUOTE ]
I am pretty stoked about this, but at the same time I have always found it a bit troubling that the state forces us to have insurance and the rates are generally so insanely high. It seems like theyre kind of subsidizing the insurance companies with this law, no?

[/ QUOTE ]

I'm not sure about the States but in Canada we only need to buy 3rd party insurance which is pretty minimal. I'm pretty sure that is the same in the States. Your coverage seems to be much higher then what would be legislatively required by law.

[/ QUOTE ]

We pay more in the US because courts like to award people large amounts of $$ for stuff like pain & suffering. Your rates will be determined by: your age, car you have, where you live (which factors in accident frequency/high traffic patterns/legal system attitude towards lawsuits).

You can save $$ by combining auto & renters/home ins and save as much as 10-20%.

And most state laws don't require insurance, just proof of financial responsibility and some sort of funding to meet the minimum requirements....you can keep a separate account with at least $10,000 (will vary by state) waiting to pay if/when you hit someone. Or you can carry an insurance policy for a lesser rate.

Re: Car Insurance Thread
 

Should I get renters insurance also? I always imagined this was a scam.

Re: Car Insurance Thread
 

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Should I get renters insurance also? I always imagined this was a scam.

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Renter's insurance is very cheap (less than $100 a year), and basically will replace all your belongings in case of theft/fire.

Also, most companies give you a discount if you combine your renter's insurance with your auto insurance, and the resulting discount makes it almost free.

Re: Car Insurance Thread
 

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Should I get renters insurance also? I always imagined this was a scam.

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Depends on how good you are at fraud

Re: Car Insurance Thread
 

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Should I get renters insurance also? I always imagined this was a scam.

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Normally I'd say no unless it is required as a condition of your rental agreement. It really isn't that big of a decision though as you are looking at under $300 a year.

If you have any jewellery or watches of great then $8-10k then you should get insurance and have a rider added to cover that item specifically. That way even if you lose the item outside the home it is covered.

Re: Car Insurance Thread
 

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[ QUOTE ]
Joker, You're wrong. Neither you nor the insurance company are betting on anything. You are trading volatility.

[/ QUOTE ]

http://www.fractalfairy.com/lice/nit.jpg

http://www.scrantontimestribune.com/...s/westband.JPG


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That's funny, but you nonetheless have a facile understanding of why insurance companies are willing to sell protection. It's not because they think rare events won't happen.

Re: Car Insurance Thread
 

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Renter's insurance is very cheap (less than $100 a year), and basically will replace all your belongings in case of burglary/fire.

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Sorry to be "that" poster, but it's an important difference when you're talking about renter's insurance. Unlike most homeowner's policies, most renter's policies do not cover simple theft. When a person steals something from you without breaking into your home it is considered theft as opposed to burglary. Most common occurrences are when you invite someone into your house (which includes large parties where you may not know everyone in attendence, but they have your consent to be there) or when you leave your doors/windows unlocked. There is a lot of potential for fraud in renter's insurance, so most companies require evidence of forcible entry before they will pay out a claim.

A good renter's policy is a must, in my opinion, and as others have mentioned, it is very very cheap. Most people underestimate the value of what they own. They think: "Well, I have a big TV for a couple grand and my computer and some pots and pans. If I lost everything I could replace it for less than 5,000 dollars." When you have a fire (which for apartment dwellers is always a greater possibility because you don't have control over what the idiot next door does) you may have to replace everything: towels, shirts, socks, toilet brush, trash cans, sheets, bedspreads, mattresses, shoes, wallet, watch, dishes, silverware, spices, etc. Stroll through Bed, Bath, and Beyond, or even Wal-Mart, and think about purchasing a new one (even the cheapest you can) of everything you have in your home. It adds up really quickly. And that's before you get to electronics.

Also, a renter's policy will often pay for you to stay somewhere else, which most people will be surprised to learn their landlord is usually not responsible for. The Red Cross will give you a few days worth of vouchers at the local Best Western and then you are on your own.

Perhaps even more important, the liability portion of the policy also protects your net worth (and bankroll) in the event that YOU are the idiot next door and you leave your stove on and your landlord's insurance company decides to sue you.

Edit: It is very important that you shop for "replacement cost" coverage for your personal belongings. "Actual cash value" coverage is virtually worthless.