Insurance

Aabidano · Post by **Aabidano** » January 23, 2006, 9:49 am

I was looking at my insurance policy the other day and got to thinking, I've got three cars and two drivers in the house. I drive a '92 Toyota and '82 VW, both pickups.

When I added the VW the insurance on the Toyota didn't change, they're ~$375 each every six months for liability. There's no way I can drive them both at once, why is the insurance the same when I'm covering either one or two of them? I can see some increase, but double is kind of silly.

Aslanna · Post by **Aslanna** » January 23, 2006, 10:03 am

It's just another way the insurance companies make money. You don't think they'll give you a break do you?

Besides, each car is like a snowflake and needs it's own unique coverage!

Boogahz · Post by **Boogahz** » January 23, 2006, 10:48 am

Not enough infoz.

You have three cars and two drivers...got that.

Your liability coverage was 375 on the toyota before adding the vw...got that.

Where are the drivers assigned? Some companies will rate with just driver to vehicle. Others will rate all drivers and all vehicles.

Are the bodies of the trucks similar (full size, compact, made of the same mats, etc.)?

Aabidano · Post by **Aabidano** » January 23, 2006, 11:30 am

I'm assigned 100% to the older two in the questionaire, the wife is assigned to the 2002 Dodge. Not sure how GEICO balances that out.

The VW was listed as 2 days a week to work, and 3000 miles a year. The Toyota was set to 3 days a week to work and 10,000 miles a year. That's pretty realistic for me, I don't rack up that many miles on cars. Insurance costs for the pair are within $25 of each other. Both are small trucks, the VW is a diesel. Neither has air bags, 5 mph bumpers or anything else like that.

If I drop the VW and change the settings to add those extra days and miles to the Toyo, the rate changes by ~$10. Same with the reverse. It's almost like they've got a flat rate I'm being charged per vehicle, which is dumb as one of them will be sitting at the house if the other is moving.

Aslanna · Post by **Aslanna** » January 23, 2006, 11:43 am

Well I get charged a lot just to let mine sit in the parking lot as I walk to work. I drive perhaps 50 miles a month and that's probably max. Life isn't fair sometimes. Just have to deal with it!

Boogahz · Post by **Boogahz** » January 23, 2006, 12:37 pm

Being assigned to both vehicles is probably what is doing it. This is something that all companies handle differently, as well as your vehicle usage.

Miles driven don't always affect premium. It will depend on the state and possibly the company.

Aabidano · Post by **Aabidano** » January 23, 2006, 8:55 pm

Aslanna wrote:Just have to deal with it!

I'll stamp my little feet!

Probably something I've got to live with, annoying nonetheless. Or get rid of the third car. If it took less time to cancel and add vehicles at GEICO's website I'd alternate months of coverage.

Zaelath · Post by **Zaelath** » January 23, 2006, 10:18 pm

Could be that they assume if you're going to bother to register and insure two cars for one person you're:

a) able to afford it
b) letting your kid/brother/mother/live in mexican drive the car so it's on the road.
c) in need of giving them money because you have too much (see a))

Also pretty sure liability coverage also covers you for "I parked it on the hill all week, then come Sunday it decided all by itself to release the handbrake, clip 15 cars rolling downhill until it was thankfully stopped by a rambler across the T intersection".

I hate insurance companies too... but I hate them for speed of payment (best measured in glacial terms) as opposed to their rates.

Boogahz · Post by **Boogahz** » January 23, 2006, 10:28 pm

Zaelath wrote:Also pretty sure liability coverage also covers you for "I parked it on the hill all week, then come Sunday it decided all by itself to release the handbrake, clip 15 cars rolling downhill until it was thankfully stopped by a rambler across the T intersection".

Yup, this would be a situation where Property Damage Liability would kick in...too bad so many people in Florida carry the state minimum of $10,000 in this coverage.

Aabidano · Post by **Aabidano** » January 23, 2006, 11:27 pm

It'd have to make it ~150 feet across sandy, level ground, around a tree and out from behind the house for it get a chance to hit anything I don't own. It could happen I guess

I've got $50k liability, considering dropping that to the 10k minimum and getting an umbrella policy.

too bad so many people in Florida carry the state minimum of $10,000 in this coverage.

Last guesstimate I heard was somewhere around 30% don't carry any sort of insurance at all. Wouldn't surprise me in the least, minimum wage and a couple tickets means drive with no insurance or ride the bus.

Boogahz · Post by **Boogahz** » January 23, 2006, 11:38 pm

well, considering that the state doesn't even require people to carry Bodily Injury Liability....

Zaelath · Post by **Zaelath** » January 24, 2006, 4:47 am

Quite the opposite here... there's no requirement for Third Party Property insurance, but you are required to have Personal Injury insurance. It's dead cheap too... $290AU for unlimited coverage against accidental injury to anyone but the driver.

Then, if you want $20 million Third Party Property damage cover, that would cost me all of $125AU/year (with a $500 excess)

And yes, that's $20,000,000 cover

American insurance is a massive rip-off.