by Guest » Mon Sep 29, 2008 04:25 am
I'm wondering about the auto insurance premium hikes each year!
Even when billions are less driven in terms of mileage...how could this happen?
How do these insurance companies develop their price structures?
Playmate-of-Texas
Even when billions are less driven in terms of mileage...how could this happen?
How do these insurance companies develop their price structures?
Playmate-of-Texas
Posted: Mon Sep 29, 2008 11:37 am Post Subject:
Hi, I'd listened to all that has been said about the circular letter, which mandates all insurance carriers (who had forwarded their rate-hike requests) to present a supplement depicting their evaluation of the rates as well as the effects of reduced driving on the rates. This analysis would be taken into account before the insurance dept. finally allows the filing of rates. Hope that's news again!
Roddick
Posted: Mon Sep 29, 2008 12:12 pm Post Subject:
Hi all,
I had the opportunity to go through an article a couple of days back wherein it was clearly stated that the following factors have been identified as some of the probable causes influencing the claims costs:
* Increasing injury claims
* Expensive costs of repair
* Costly health care treatments
* Increasing lawsuits
Apart from these noted factors, we can't also forget the 'fraud element' which is eating on the pillars of this powerful industry. Perhaps it constitutes greater than a quarter of the total number of personal injury claims. So, you could easily imagine what price structures we'd come across in the near future.
Regards, Fatman
Posted: Mon Sep 29, 2008 01:30 pm Post Subject:
Hi,
If we'd start empathizing with the private insurers, the only fact that they are so determined to earn profits would surface. They would often come up with theories depicting how the provincial governments should be responsible for rate checks. Till a bill gets passed, a good way of cost control would be through pulling the deductible.
Roddick
Posted: Tue Sep 30, 2008 07:13 pm Post Subject:
All insurance rates are approved by the state that the insurance is sold in. For example, I am in Tennessee. My company submits rates for approval by the state before any increase can come to effect. There are times that the states turns down the request - so the rates have to be lowered before getting approved.
Fatman is right on his list of five reasons for a rate increase. That is why you see the list of the most stolen cars every year - and also the crash test ratings. All these things come into play when determining rates.
Fatman did leave one out though - the color of the car.
Posted: Thu Dec 04, 2008 10:52 pm Post Subject:
Posted: Thu Dec 04, 2008 10:53 pm Post Subject:
Posted: Thu Dec 04, 2008 10:58 pm Post Subject:
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