FabSwingers.com > Forums > Politics > Car insurance
Car insurance
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"Chatting to a few people, and there car insurance has gone through the roof. One said its gone from 650 to 1050, and that's with 7 years no claims bonus etc Did say shop around, check details but quite a few people are saying the same. Considering its law to have insurance, what's going on? Why the big hike? Is it a way of getting people off the road" My car insurance went from £460 to over £1300. Comprehensive, 9 years no claims and no accidents. It's legal extortion. | |||
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"Chatting to a few people, and there car insurance has gone through the roof. One said its gone from 650 to 1050, and that's with 7 years no claims bonus etc Did say shop around, check details but quite a few people are saying the same. Considering its law to have insurance, what's going on? Why the big hike? Is it a way of getting people off the road" funnily enough I've just had my renewal gone up by 170 quid spoken to them and there trying to tell me it's because of new electric cars and costs to mend them so im now subsidising eco wsrriors | |||
"Chatting to a few people, and there car insurance has gone through the roof. One said its gone from 650 to 1050, and that's with 7 years no claims bonus etc Did say shop around, check details but quite a few people are saying the same. Considering it’s law to have insurance, what's going on? Why the big hike? Is it a way of getting people off the road" No… there was a big Martin Lewis thing on car insurance… it’s generally going through the roof, a bit of was that some of the discounts they use to give are now illegal under discrimination laws… They also put it down to the 2nd hand market not having the depreciation it use to.. and the cost of repairs also being a lot higher than where it was I am interested to see what is now going to happen with mine cause my year is up mid February | |||
"Chatting to a few people, and there car insurance has gone through the roof. One said its gone from 650 to 1050, and that's with 7 years no claims bonus etc Did say shop around, check details but quite a few people are saying the same. Considering it’s law to have insurance, what's going on? Why the big hike? Is it a way of getting people off the road No… there was a big Martin Lewis thing on car insurance… it’s generally going through the roof, a bit of was that some of the discounts they use to give are now illegal under discrimination laws… They also put it down to the 2nd hand market not having the depreciation it use to.. and the cost of repairs also being a lot higher than where it was I am interested to see what is now going to happen with mine cause my year is up mid February " good luck Fabio what pissed me off is mines a 64 plate focus estate worth about 4000 6000limited miles now just under 400 quid yet I have a 2.1 GRP 4 MK2 e cort 6000 miles limited 15000 minimum payout with Adrian flux 205 quid go figure | |||
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"Just as a quick note don't go searching when you get your renewal leave it at least 5 days " Another bit of advice...do your price comparison 21/22 days before renewal due not a few days before. | |||
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"Last week, 20 days to go, I tried the same insurance company web site, with the exact same details, three times in the same day using 3 different email addresses. It came down from £1,450 to £1,090. They all use the same statistics so the reason must be, they can make a profit at £1,090, but if they can squeeze £1,450 out of the dumb insured, that is even better. "There is also something about people who plan ahead and are organised (ie 21 days ahead) are more careful drivers AND have more time to shop about for best deal. | |||
Make insurance legal, charge what you want and have a deal with major certificate garages, what can go wrong?
I've business insurance on mine, and it's still gone up 500. Small companies and trades have to pass on the cost or go bust.
Oh so ever insurance policy has a tax, and vat ... so who wins? | |||
"Chatting to a few people, and there car insurance has gone through the roof. One said its gone from 650 to 1050, and that's with 7 years no claims bonus etc Did say shop around, check details but quite a few people are saying the same. Considering its law to have insurance, what's going on? Why the big hike? Is it a way of getting people off the road" Mine was up just under 10% in November renewal, so not everyone getting hit | |||
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"Car Insurance Increases (From a FB post some months ago). . So let's look at why car insurance has increased recently. . Firstly, though; it's not personal; even if it feels that way. If your premium has risen 65% - its just the insurer saying that's how much they need to earn to make a profit - so look elsewhere if you are not happy with that price. Sadly because insurance has become so 'automated' there is nobody to explain to you 'why' its happened. That's what I will try to do now. . I have seen comments from many such as 'rip-off' and 'profiteering'. Car insurance is emotional - it always has been, partly because cars and our other personal possessions are emotional to us. . Let's go over some facts. Car insurance premiums are driven by many factors but some leading ones are..... the cost of repairs the delay in the supply chain to replace spare parts the overall rise in new and used car costs the rise in legal costs and injury settlements. increase in labour costs at every part of the chain the overall economic state of the world Insurance premiums are led by these areas (and more). . Below are some simple examples as to why car insurance premiums have risen by anything from 15% to 40% on average and in some cases even more. . Insurers calculate your premium based on what they feel they need to charge you to earn a profit for the coming year, not past years. Yes the calculation takes into account your driving history, your age and much more but it also takes into account how much the price of parts will cost if you have an accident, how much the courtesy car might cost and much more. . At present, if any of us are unfortunate enough to have an accident, or any incident occurs where our cars need repairs, in very simple terms, it will cost insurers much more now than it would have done 2 years ago. . This isn't down to your personal circumstances, so if you have never had an accident, that makes no difference - it is about how much it will cost if you 'do' have an incident where insurers make a payment. . The cost of parts has risen and its taking 'much' longer for many parts to be obtained, due to global delays. As with many things, time costs money. Part of those delays is a knock on effect for areas such as a courtesy car. If, as an example, a repair which used to take 8-days is not taking 18-days and the cost of a courtesy car in the background is £50 a day (its probably more), that alone will cost your insurers £900 instead of £400. And there will be more. In addition, and this will be for another post, the cost to insure an electric car or hybrid car is normally very expensive.... . So, the key questions here should be..... . Why have the cost of parts gone up so much? Why is it taking longer for parts to arrive? Why has the cost of cars, both new and used gone up? Why are electric and hybrid cars so much more to repair? And not, why are insurers charging more - because the answer is simple; insurers are charging more because the costs to repair and replace a car has risen - dramatically. . And, despite feelings that insurers are ripping people off, most insurers are not making a profit, or very little profit on car insurance - many are making a loss and my feeling is that premiums could easily continue to rise for the time being before things settle down. . One area that may be coming is that there is insurance market chatter that windscreen cover may be excluded from standard cover - so you would no doubt buy this back by paying more money - because of the rise in costs to replace them. Many cars now have technology connected to the glass, meaning the cost to replace the glass and the time involved is more. . If the cost of to repair a car has risen 10% and the time it takes to repair your car has risen by 25%, this is not the fault of the insurance industry. . It's all too easy to accuse the insurers of raising prices for the sake of it, but there are actuaries who deeply analyse all these costs to the business and advise the premiums have to rise to meet those costs." I'm not on Facebook as its a another tool for propaganda by who ever has the most money and influence.. so called. But in the law, insurance is compulsory, and an offence not to have any. Insurance is delt in the private sector and thus have to earn a profit and pay shareholders correct me if I'm wrong? Join the dots and see where I'm coming from | |||
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"I'm not on Facebook as its a another tool for propaganda by who ever has the most money and influence.. so called. But in the law, insurance is compulsory, and an offence not to have any. Insurance is delt in the private sector and thus have to earn a profit and pay shareholders correct me if I'm wrong? Join the dots and see where I'm coming from "You're coming from a position of ignorance (I don't mean that unkindly) and one of conspiracy bias. . You are looking for conspiracy where none exists. At the most, there is "opportunity", but in a capitalist society that's to be expected. . More than enough reasons have been provided for why insurance has increased over the years. My friend is an underwriter and he saw the list and laughed and said "Have you go space for another 100 reasons. That's a good start, 5/10 but could try harder). . As they say, "Follow the money", and in this case it is true. Everything has increased in price, including the parts that come from overseas. The domestic salaries. Everything. Many smaller insurers cannot weather these costs and the market is going to see major shakeups, if it hasn't done so already. Less competition = Higher prices. So there is that coming as well. | |||
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"Just as a quick note don't go searching when you get your renewal leave it at least 5 days Another bit of advice...do your price comparison 21/22 days before renewal due not a few days before." Yes. Think it’s +10% or thereabouts for same day cover. | |||
"I'm not on Facebook as its a another tool for propaganda by who ever has the most money and influence.. so called. But in the law, insurance is compulsory, and an offence not to have any. Insurance is delt in the private sector and thus have to earn a profit and pay shareholders correct me if I'm wrong? Join the dots and see where I'm coming from
You're coming from a position of ignorance (I don't mean that unkindly) and one of conspiracy bias.
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You are looking for conspiracy where none exists. At the most, there is "opportunity", but in a capitalist society that's to be expected.
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More than enough reasons have been provided for why insurance has increased over the years. My friend is an underwriter and he saw the list and laughed and said "Have you go space for another 100 reasons. That's a good start, 5/10 but could try harder).
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As they say, "Follow the money", and in this case it is true. Everything has increased in price, including the parts that come from overseas. The domestic salaries. Everything.
Many smaller insurers cannot weather these costs and the market is going to see major shakeups, if it hasn't done so already. Less competition = Higher prices. So there is that coming as well."No offence taken. Should it not depend on your vehicle? As few are still made in uk. Might have to wait for a couple days, but we do have a strong aftermarket supply chain. One big factor is labour, most independent garages are charging 100 a hour, dealership can double that. | |||
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"Car Insurance Increases (From a FB post some months ago). . So let's look at why car insurance has increased recently. . Firstly, though; it's not personal; even if it feels that way. If your premium has risen 65% - its just the insurer saying that's how much they need to earn to make a profit - so look elsewhere if you are not happy with that price. Sadly because insurance has become so 'automated' there is nobody to explain to you 'why' its happened. That's what I will try to do now. . I have seen comments from many such as 'rip-off' and 'profiteering'. Car insurance is emotional - it always has been, partly because cars and our other personal possessions are emotional to us. . Let's go over some facts. Car insurance premiums are driven by many factors but some leading ones are..... the cost of repairs the delay in the supply chain to replace spare parts the overall rise in new and used car costs the rise in legal costs and injury settlements. increase in labour costs at every part of the chain the overall economic state of the world Insurance premiums are led by these areas (and more). . Below are some simple examples as to why car insurance premiums have risen by anything from 15% to 40% on average and in some cases even more. . Insurers calculate your premium based on what they feel they need to charge you to earn a profit for the coming year, not past years. Yes the calculation takes into account your driving history, your age and much more but it also takes into account how much the price of parts will cost if you have an accident, how much the courtesy car might cost and much more. . At present, if any of us are unfortunate enough to have an accident, or any incident occurs where our cars need repairs, in very simple terms, it will cost insurers much more now than it would have done 2 years ago. . This isn't down to your personal circumstances, so if you have never had an accident, that makes no difference - it is about how much it will cost if you 'do' have an incident where insurers make a payment. . The cost of parts has risen and its taking 'much' longer for many parts to be obtained, due to global delays. As with many things, time costs money. Part of those delays is a knock on effect for areas such as a courtesy car. If, as an example, a repair which used to take 8-days is not taking 18-days and the cost of a courtesy car in the background is £50 a day (its probably more), that alone will cost your insurers £900 instead of £400. And there will be more. In addition, and this will be for another post, the cost to insure an electric car or hybrid car is normally very expensive.... . So, the key questions here should be..... . Why have the cost of parts gone up so much? Why is it taking longer for parts to arrive? Why has the cost of cars, both new and used gone up? Why are electric and hybrid cars so much more to repair? And not, why are insurers charging more - because the answer is simple; insurers are charging more because the costs to repair and replace a car has risen - dramatically. . And, despite feelings that insurers are ripping people off, most insurers are not making a profit, or very little profit on car insurance - many are making a loss and my feeling is that premiums could easily continue to rise for the time being before things settle down. . One area that may be coming is that there is insurance market chatter that windscreen cover may be excluded from standard cover - so you would no doubt buy this back by paying more money - because of the rise in costs to replace them. Many cars now have technology connected to the glass, meaning the cost to replace the glass and the time involved is more. . If the cost of to repair a car has risen 10% and the time it takes to repair your car has risen by 25%, this is not the fault of the insurance industry. . It's all too easy to accuse the insurers of raising prices for the sake of it, but there are actuaries who deeply analyse all these costs to the business and advise the premiums have to rise to meet those costs." Great Post. I'm not sure why the increased cost is news to any one. People can see how much 2nd hand cars went uo during lockdown and how little new cars were produced. Inflation has meant the cost of repairs has increased, a d thenoverrall cost of a written off car has increases. I bought a hynudai dacia sanders in 2019 for £5k I part exchanged it for a mazda cx5 this year for 4.2k it only depreciated £800 in 4 years. It was 7 years old when I sold it and I'd done an extra 30k miles. No way it should have maintained that value. | |||
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"This thread has surprised me! Not one mention of it being Brexit's fault and no calls for insurance companies to be scrapped because of the massive returns they make! And where is the call for the government to tax people with more than 1 car to cover the insurance of those who can't afford to pay. Honestly surprised Well done all. "Give it time  | |||
"This thread has surprised me! Not one mention of it being Brexit's fault and no calls for insurance companies to be scrapped because of the massive returns they make! And where is the call for the government to tax people with more than 1 car to cover the insurance of those who can't afford to pay. Honestly surprised Well done all. "The last thread on car insurance was about that | |||
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"The long explanation above missed the key part of the insurance pricing; the RISK presented by the insured." You are quite right, the RISK is of course the key part. I am going to speak to my friend the underwriter and his wife (she's an actuary also in insurance) and ask them just how many risk factors/data points are involved in pricing for insurance. I have a feeling it's a crazy amount of data points. | |||
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"This thread has surprised me! Not one mention of it being Brexit's fault and no calls for insurance companies to be scrapped because of the massive returns they make! And where is the call for the government to tax people with more than 1 car to cover the insurance of those who can't afford to pay. Honestly surprised Well done all.
The last thread on car insurance was about that "Was that the one where the person lied about their insurance going up 250% or something | |||
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"So the odds once again are stacked against the consumer. All car's are expensive to repair,main dealer repair prices are a cartel. No cheap makes on the road, despite many car's using the same chassis and bodywork but with different badges. This is just going to increase the amount of non insured drivers on the road and cause premiums to go even higher. Insurance companies will use every possible reason to raise costs and we have no rights or way to appeal what's the option to become a bus wanker?" yep said it before won't be long before people stop insuring themselves I'll be honest if it wasn't for my Job I wouldn't but I drive for a living no buses available for when I start work. | |||
"So the odds once again are stacked against the consumer. All car's are expensive to repair,main dealer repair prices are a cartel. No cheap makes on the road, despite many car's using the same chassis and bodywork but with different badges. This is just going to increase the amount of non insured drivers on the road and cause premiums to go even higher. Insurance companies will use every possible reason to raise costs and we have no rights or way to appeal what's the option to become a bus wanker?yep said it before won't be long before people stop insuring themselves I'll be honest if it wasn't for my Job I wouldn't but I drive for a living no buses available for when I start work." I do think we are probably the most law abiding country or one of. Last year on holiday on a Greek island I saw so many beaten up old wrecks being driven by locals now I guarantee that a vast amount are not insured. You drive round Paris and it's probably harder to find a car without a dent than with and knowing the french I can almost guarantee that lot's of rural areas the amount of uninsured car's are high. I feel that as a common working man we are being out priced for everything from insurance to housing, dental treatment and basic healthcare. The economic bubble has to burst at some point for many it already has. Insurance is just another class of taxation. I don't know what the solution is but all these price increases can't go on indefinitely not without wages increased to match. | |||
"So the odds once again are stacked against the consumer. All car's are expensive to repair,main dealer repair prices are a cartel. No cheap makes on the road, despite many car's using the same chassis and bodywork but with different badges. This is just going to increase the amount of non insured drivers on the road and cause premiums to go even higher. Insurance companies will use every possible reason to raise costs and we have no rights or way to appeal what's the option to become a bus wanker?" Because so many data points are used to assess Risk, and the sheer volume of data he has at his fingertips, I've asked my friend if he can run some algorithms / data analysis on what would be the most inexpensive quotation his company could provide ? He works for a major band name insurer which everyone on FAB would have heard of. The sort of thing I will ask him will be : Which make/model is the least likely to be involved in accidents ? That would give folks a model to consider. What is the age least likely to have accidents ? Is there a cut off price on the car value where premiums sky rocket ? That would give a budget idea on what not to exceed. Personally, I think there are some things that as consumers we can do to mitigate the costs and move ourselves in to more favourable risk brackets. A lower value car, more reliable track record, etc. Can't do a lot about the inevitability of aging, and moving home to a neighbourhood with less crime isn't an easy task. But perhaps even just moving out of one or two high risk insurance categories/data points might see lower premiums. (and to be a devil, I'll ask him if Brexit had any impact on the insurance quotes he provides and why)  | |||
"So the odds once again are stacked against the consumer. All car's are expensive to repair,main dealer repair prices are a cartel. No cheap makes on the road, despite many car's using the same chassis and bodywork but with different badges. This is just going to increase the amount of non insured drivers on the road and cause premiums to go even higher. Insurance companies will use every possible reason to raise costs and we have no rights or way to appeal what's the option to become a bus wanker? Because so many data points are used to assess Risk, and the sheer volume of data he has at his fingertips, I've asked my friend if he can run some algorithms / data analysis on what would be the most inexpensive quotation his company could provide ? He works for a major band name insurer which everyone on FAB would have heard of. The sort of thing I will ask him will be : Which make/model is the least likely to be involved in accidents ? That would give folks a model to consider. What is the age least likely to have accidents ? Is there a cut off price on the car value where premiums sky rocket ? That would give a budget idea on what not to exceed. Personally, I think there are some things that as consumers we can do to mitigate the costs and move ourselves in to more favourable risk brackets. A lower value car, more reliable track record, etc. Can't do a lot about the inevitability of aging, and moving home to a neighbourhood with less crime isn't an easy task. But perhaps even just moving out of one or two high risk insurance categories/data points might see lower premiums. (and to be a devil, I'll ask him if Brexit had any impact on the insurance quotes he provides and why) "I was told by an insurance company that the area you live in can be effected by the amount of claims and cost of those claims. If you live in an area where the average car is 70K and the owners of those cars make regular claims, that area would be a higher risk than a 20K average area that tend not to claim for dents and minor things. Not sure if that is the truth or not, but it sounded feasible | |||
" I was told by an insurance company that the area you live in can be effected by the amount of claims and cost of those claims. If you live in an area where the average car is 70K and the owners of those cars make regular claims, that area would be a higher risk than a 20K average area that tend not to claim for dents and minor things. Not sure if that is the truth or not, but it sounded feasible " My friend got back to me and said "That's partly true. But the average value isn't really considered by area. The rates of claims made in that area are considered however. I also asked him if there was a make and model considered to be a less riskier vehicle to insure. He replied "A low risk risk car with a high risk driver, is a high risk. The most dangerous part of a car is the nut behind the wheel." | |||
" I was told by an insurance company that the area you live in can be effected by the amount of claims and cost of those claims. If you live in an area where the average car is 70K and the owners of those cars make regular claims, that area would be a higher risk than a 20K average area that tend not to claim for dents and minor things. Not sure if that is the truth or not, but it sounded feasible My friend got back to me and said "That's partly true. But the average value isn't really considered by area. The rates of claims made in that area are considered however. I also asked him if there was a make and model considered to be a less riskier vehicle to insure. He replied "A low risk risk car with a high risk driver, is a high risk. The most dangerous part of a car is the nut behind the wheel."" If that is true, why is my RR through the fucking roof to insure? I've never made a claim in 20+ years of driving | |||
" I was told by an insurance company that the area you live in can be effected by the amount of claims and cost of those claims. If you live in an area where the average car is 70K and the owners of those cars make regular claims, that area would be a higher risk than a 20K average area that tend not to claim for dents and minor things. Not sure if that is the truth or not, but it sounded feasible My friend got back to me and said "That's partly true. But the average value isn't really considered by area. The rates of claims made in that area are considered however. I also asked him if there was a make and model considered to be a less riskier vehicle to insure. He replied "A low risk risk car with a high risk driver, is a high risk. The most dangerous part of a car is the nut behind the wheel." If that is true, why is my RR through the fucking roof to insure? I've never made a claim in 20+ years of driving" I’m assuming yours is a Range Rover? Not allowed to post links are we but there was a YouTuber saying 90 RR a week being nicked in London alone and near impossible to insure one unless in a locked garage overnight. There is a Facebook group dedicated to nicked range rovers If 90 a week are being nicked at 45k each that’s a lot of claims to be funded through increased premiums. | |||
" I was told by an insurance company that the area you live in can be effected by the amount of claims and cost of those claims. If you live in an area where the average car is 70K and the owners of those cars make regular claims, that area would be a higher risk than a 20K average area that tend not to claim for dents and minor things. Not sure if that is the truth or not, but it sounded feasible My friend got back to me and said "That's partly true. But the average value isn't really considered by area. The rates of claims made in that area are considered however. I also asked him if there was a make and model considered to be a less riskier vehicle to insure. He replied "A low risk risk car with a high risk driver, is a high risk. The most dangerous part of a car is the nut behind the wheel." If that is true, why is my RR through the fucking roof to insure? I've never made a claim in 20+ years of driving I’m assuming yours is a Range Rover? Not allowed to post links are we but there was a YouTuber saying 90 RR a week being nicked in London alone and near impossible to insure one unless in a locked garage overnight. There is a Facebook group dedicated to nicked range rovers If 90 a week are being nicked at 45k each that’s a lot of claims to be funded through increased premiums. " I understand. Range Rovers are st*len for fun. The point I was making is its classed as a high risk car so pushes premiums up. What I don't understand is the poster said a 'low risk car with high risk driver is high risk' yet the opposite doesn't appear true. | |||
" I was told by an insurance company that the area you live in can be effected by the amount of claims and cost of those claims. If you live in an area where the average car is 70K and the owners of those cars make regular claims, that area would be a higher risk than a 20K average area that tend not to claim for dents and minor things. Not sure if that is the truth or not, but it sounded feasible My friend got back to me and said "That's partly true. But the average value isn't really considered by area. The rates of claims made in that area are considered however. I also asked him if there was a make and model considered to be a less riskier vehicle to insure. He replied "A low risk risk car with a high risk driver, is a high risk. The most dangerous part of a car is the nut behind the wheel." If that is true, why is my RR through the fucking roof to insure? I've never made a claim in 20+ years of driving I’m assuming yours is a Range Rover? Not allowed to post links are we but there was a YouTuber saying 90 RR a week being nicked in London alone and near impossible to insure one unless in a locked garage overnight. There is a Facebook group dedicated to nicked range rovers If 90 a week are being nicked at 45k each that’s a lot of claims to be funded through increased premiums. I understand. Range Rovers are st*len for fun. The point I was making is it’s classed as a high risk car so pushes premiums up. What I don't understand is the poster said a 'low risk car with high risk driver is high risk' yet the opposite doesn't appear true. " If there is high anywhere in the formula it is like multiplying by zero, it will always be the same answer, in this case high. | |||
"A friend had his BMW 1 Series written off after a minor shunt, juts a few dents and scratches. Panel shops don't seem able or willing to beat out dents any more, They just fit new panels at very high expense. It's cheaper for Insurance Companies to write-off perfectly roadworthy cars. We all pay through insurance." If it is cheaper to write off a car than repair it, surely, insurance costs would only rise further if cars were being repaired? | |||
"My friend got back to me. I asked him how many data points factor in to an insurance quotation. . These cover data points used in assessing risk, to data points that align with the needs of the business to general profit. . His answer was 300 data points. . Each data point is weighted and I asked him the top 5 data points that feed the most in to the quotation. . They are . 1) length of time licence held 2) area you live 3) type of car 4) value of car 5) previous accidents " Interesting info. Thanks. Points 1, 3 and 5 will reflect the risk related to the nature of the person being insured. | |||
"A friend had his BMW 1 Series written off after a minor shunt, juts a few dents and scratches. Panel shops don't seem able or willing to beat out dents any more, They just fit new panels at very high expense. It's cheaper for Insurance Companies to write-off perfectly roadworthy cars. We all pay through insurance. If it is cheaper to write off a car than repair it, surely, insurance costs would only rise further if cars were being repaired?" As things stand, yes. But why does it cost more to beat out a few dents than write-off a perfectly good car? Something doesn't sit right with me here, apart from which, it's extremely wasteful of resources. | |||
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