Car insurance companies are as popular as banks but life would otherwise be difficult. Without insurance, we would have no option but to carry the full cost of a catastrophic event (house burning down, car getting nicked) on our own. This is okay if we’re really rich, poor or lucky, but not so good the rest of the time.
Instead, insurance allows us to share the risk of something bad happening with other people, by each paying a premium into a much larger pool of money, out of which those poor unfortunate people who do suffer a big loss are reimbursed.
Premiums are set according to the expected outgoing costs from the fund – how many cars in total are likely to get nicked – and individual risk: how much more likely is if your car will get nicked compared with, say, your mum’s Corolla. The value of your car can also be a factor.Complaints about insurance companies usually centre on the exorbitant cost of the premiums, or the shortfall between actual and expected payouts when something does go wrong.
Insurance companies aren’t charities but if they get greedy and overcharge on premiums, their customers will go elsewhere, just like any other business. Well, that’s the theory and it’s the practice too if we shop around and compare prices, which these days is as easy as typing ‘car insurance quotes’ into Google, you can easily find a better than average deal.
Insurance companies increasingly specialise in market segments and some may not particularly want your business, in which case they’ll quote an uncompetitive premium. This is especially the case for younger drivers and older cars, which is why specialist insurers like Shannon’s (modified cars and classics), Piranha (race cars) and Just Car (young people) were made for people like us.
source: Auto insurance quotes, Get auto insurance quotes, Compare auto insurance, Auto insurance comparisons, Auto insurance quote, Instant auto insurance, Affordable auto insurance, Auto insurance companies, Auto insurance rates, Auto insurance discounts, Auto car insurance, Student auto insurance, Auto insurance brokers, General auto insurance, American auto insurance, Auto insurance UK, Auto insurance claims, Fake auto insurance, Auto insurance complaints
