What kind of conspiracy is auto insurance anyway?
Question:
You're forced by law to have it, thereby forced to pay ungodly amounts each month for it, and if you ever file a claim, this is the only insurance I know of that actually has loopholes to get out of paying what they should and punishes you if you ever need it (with rate increases, cancelling you, other companies denying you, points against your driving record even when the accident was no fault of yours,etc). Health insurance doesn't challenge your claims or go up each time you go to the Dr or fill a Rx that I'm aware of, if a health insurance company tried that you could probably have an instant lawsuit; so why does the auto insurance industry get away it?
(Don't say because of all the payouts they make, just look at their main offices - they are ALL mansions or skyscrapers!)
Answer:
Yeah, it's complete crap. And what's the deal with deductions? It's all a rip off.
I feel exactly like you do My husband and I have been driving for 40 years had 1 accident in all that time which by the way was not our fault but still insurance goes up How about rewarding the people that dont have accidents
I agree. My wife and I just have liability and drive as safely as we can. As long as you are a safe driver, you should be fine with liability. I am a 23 year old male driving an '00 Mitsubishi Galant and insurance is about $70/month for me.
Depends on the carrier you decided to go to as well. Many have bad experiences and they reflect that to all carriers. If your agent is upfront and knowledgeable with you from the beginning then you would of known better. Now I am not totally backing the insurance company even I'm in the business. But, there are risks. When many people attempt to try insurance fraud which causes each person $200 more a year. And yeah the majority is because of the potential of "payouts." If it's a legitamate claim then yes they will pay out. If you have troubles contact the Dept of Insurance and they will settle things. Health insurance is a lot lower risk then auto insurance. there a much higher risk each and every day for a car accident, theft, vandalism, etc and the pay outs will be higher than a normal hosital visit. It goes back and forth.
Let's look at it a different way.
Let's say your state drops compulsory insurance and you decide by golly that you are not going to buy insurance and go without.
Do you even understand what it is for?
Let's say you get into an accident and god forbid you really hurt somebody badly. A young man in medical school who has a family of four to support. The man you hit is paralyzed for life and will need lifetime care.
Let's also say you were at fault in the accident. The other man's family hires a lawyer and they come after you to pay their medical expenses and family support.
Where in the world are you going to get the money? You have an OBLIGATION to pay them. You can't just try to declare bankruptcy to avoid it. They will take everything and I mean everything..house...cars... the clothes off you back to liquidate and use for cash to help pay the man's care and to make up for the money he didn't make because he couldn't become a doctor and support his kids.
Do you really want to take that kind of risk?
At a minimum, you should at least buy as much liability insurance as you can afford and then supplement that with a personal umbrella liability policy (about $120 per year for $1-million).
It may seem like money wasted.but let me ask you this.how much are you willing to pay now to prevent you from losing EVERYTHING and I mean EVERYTHING you own?
Powerful Lobbyists.
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