Why does Insurance keep going up?

[Loki-GT]

Nah. Most insurance companies lose money on their home or auto insurance product, depending on the company, your state of residence and what year it is. Combined most insurance companies make about 6 cents on every dollar they take in, that's about a 6% profit, a very fair and reasonable profit for any industry. Insurance companies are regulated in each state by their Department of Insurance so you'll never see the gross (disgusting) 20-30% profits you saw with oil companies like Shell in years past.

Shell's margins - Net profit margin‎: ‎5.06% Operating margin‎: ‎5.07%
Gross margin‎: ‎18.05%

Sponsored

 

[z06psi]

I pay 60 bucks a month. Full coverage, no accidents, no tickets.

 

[DarkestHour]

Smartphones are the reason insurance is going up nationally across the board! Not just mustang anymore. It helps if you have good credit, own a home, and have a clean record. But still even so it goes up just about every 6 months.

Funny enough just got my renewal last night. Mustang went up $250 a year and Mazda 6 went up $250 a year. Fuck me.

 

[seth21w]

Funny enough just got my renewal last night. Mustang went up $250 a year and Mazda 6 went up $250 a year. Fuck me.

Get a quote from country financial ;)

 

[wack]

Here in the UK specialist insurers reduce the premium , on a 5.0 GT I pay just under £500 a year fully comprehensive which means if I roll it in a ditch they fix or replace it for a new car in the 1st 12 months or market value after that.

premiums are rising though in my opinion because of accident management companies, last year I was rear ended at traffic lights, car was still driveable so I carried on using it , probably £1000 worth of damage to my car, my insurance appointed an accident management company to deal with the 3rd party insurer, they were insistent I needed a hire car but I didn't so declined it , they sent the paperwork anyway, they were charging his insurance £230 a day for the 2 weeks it took to fix my car , over £3300 plus I guess they were adding on to the repair charge as well so 20 years ago what would have been a £1000 repair is now probably £5000

 

[wack]

BMW may do the same thing that I'm saying Ford does, and oversea shipping may factor in as well.

If you want to determine whether Ford is reasonable with their pricing when compared to actual production costs of the parts, compare the price of a replacement hood for a 2016 Mustang to the price of a hood for a 1967 Mustang (less than $200).

Obviously the volumes of 2016 hoods are much higher, so the cost to produce the 2016 hood should be a lot lower than that for a 1967 Mustang.

If you want a laugh look up Maserati prices , I used to own a 4200GT Cambiocorsa , one of the rubber door seals had a tear so I thought I'll get a new one


Maserati Part #384500158

Fits: Maserati 3200 GT/GTA/Assetto Corsa, 4200 Coupe, 4200 Coupe (2003), 4200 Coupe (2004), 4200 Coupe (2005), 4200 Gransport (2005)

#384500158: RH DOOR FRAME SEAL

NEW
To Order
Subject to Availability
£923.56 Each +20% VAT

 

[Deleted member 35644]

The reason I was given for my price hikes with Safeco is all the statewide hail, and south Texas flooding we've had in Texas in the last 3 years. But 2018 has been a milder year for both, so I anxiously await my rate drop in 2019. Har Har.

 

[SlaughterOfTheSoul]

Profit margins have to increase for investors to remain interested. If you don't increase profit margins, then you have to pay dividends. Also, the medical industry has exponentially increasing costs which directly affects automotive insurance. It's a feedback system. You get used to paying more for auto, so you pay more for medical, so med ins charges more, which raises prices on everything else as they have to in order to show growth.

 

[Kinjirra]

Not sure if anyone mentioned it but these are cars are stupid expensive to fix these days. Just got mine back from the shop for Hail damage from a crazy storm that rolled through right before the AM show. 12grand latter... No broken windows, all cosmetic two broken lights including a taillight... 12 THOUSAND BUCKS... Our taillights are a grand each...per side..

 

[btown93]

my guess is, distracted drivers, cost of all the electronics in cars now, and uninsured drivers.

 

[Hack]

Not sure if anyone mentioned it but these are cars are stupid expensive to fix these days. Just got mine back from the shop for Hail damage from a crazy storm that rolled through right before the AM show. 12grand latter... No broken windows, all cosmetic two broken lights including a taillight... 12 THOUSAND BUCKS... Our taillights are a grand each...per side..

No one can tell me that the current Ford part prices are tied to their cost to make. Tail lights should be well under $100.

 

[Kinjirra]

No one can tell me that the current Ford part prices are tied to their cost to make. Tail lights should be well under $100.

The new taillights are all one piece...and all LED too boot. But your absolutely correct on that.

 

[CCCP1999]

Everything goes up.

Sponsored