Why is car insurance so high in the United States?

In this case, the “USA” is referred to as “Europe”, since most auto-related matters (traffic law, ownership, registration, insurance, etc.) are matters of the private state, not the federal ones. Think of my P&C training) II have tried to explain it to people.

To give you a true answer, I need to explain how insurance works in the United States and – I’m sorry to say – can’t be summed up. Read on!

Insurance varies greatly between states. In fact, in different ways, the differences between the laws of two neighboring states – such as Spain and Portugal – may differ more than the laws of different states because different states estimate risk, negligence, guilt, torture, financial liability, coverage requirements, etc. There are very different laws to do.

In the state where I live in Ohio, for example, a tort state is responsible for the cause of the accident. By (within certain financial – or “quantitative” – ​​limits): usually the minimum coverage amount required by law within the state).

That said, at some level not all auto insurance has an error policy (in that case, my auto insurance covers me regardless of the cause of the accident) and all insurance has a bad policy (if you do enough it could still be a lawsuit). In Ohio, if you hit my car without insurance, mine”Uninsured / less-insured” coverage will cover my property and physical damage (this is a “no-fault” -ish). Will sue for recovery. This is the principle of torture: you pay for the damage you do.

There is no pure no-fault state in the United States; Canada has several (provinces). Pure no-fault means there is no limit to the no-fault threshold. So even if I kill your whole family and get your Lotus Esprit out completely, your insurance will have to cover it (which to followValid). Nothing is said about justice – it is only for financial loss). As I said, some states have a quantitative no-fault law (that is, it is not completely no-fault until you reach the maximum amount of insurance, then if you Causes damage and bodily injury and property damageAnother person who has reached the top is their policy, then for the rest they can sue you and your insurance company). Here are just a few: Pennsylvania, Michigan, New York, Florida and New Jersey (NJ was the worst – I hated NJ law).

The fact of the matter is that no state really wants to insure a person. Most people believe it and say it wherever they go. They don’t. (This argument comes with health care and is a lie.) States want to show car owners and operators “proof of financial responsibility,” which means to carry insurance for most of us. You get a “security bond””Mr Gates has enough money to pay for a car accident.” (Note: When I worked for Liberty Mutual, we insured the President of the United States and many other celebrities. Does not carry.)).

Also, each state requires a different level of coverage and type of coverage (or the bail bond declares the ability to pay for it: so if you don’t want to carry insurance and your home equity is not at risk – go for it!) Is required in most tort states. This is the standard basic coverageShows:

Liability for bodily injury, liability for property damage, medical expenses, massive, collision, roadside assistance, rent compensation. For a full description of what all of this means, go here: Breakdown of a Car Insurance Policy (What do all those numbers mean ?!)

While all of that coverage is available, states say, “Hey, you have to carry the minimum amount.” My state, Ohio, recently increased their minimum coverage (which hasn’t been run for decades) to 25/50/25. 50,000 25,000 for maximum accident coverage and ক্ষতি 25,000 for property damage coverage. Ohio to show you financial responsibilityToo strong to force.

Every year when we renew our car tags, we must show proof of insurance. The state randomly checks 5% of all owners each year (mail letter requesting proof of insurance). The penalty for driving without insurance in Ohio is almost as severe as a DUI (impact driving). OhioFinancial Liability Act

So why is the Ohio insurance rate so low compared to the average – New Jersey? For example, my car (2012 Kia Sorrento, for which I pay) has very good insurance (insurance agents are smart enough to know the dangers of not having enough insurance): $ 1 million unit limit (meaning: no standard breakdown liability – I There is insurance with a maximum payment of $ 1 millionAnd it will be claimed in any way). ছাড় 500 discount for collision damage; Extensive coverage (theft, window chips, etc.) and possibly ছাড় 250 rental and discounted for roadside assistance (thanks Flow!). It costs me $ 75 per month. I think it’s pretty good considering I’m driving a new car and have set a really high limit on my responsibilities. I have a completely clean driving record.

In New Jersey or Michigan, this insurance is probably more than double, probably three times for living in a comparable suburb. I’ve heard horrible stories from people in New Jersey and Michigan who are accustomed to selling insurance and what they pay for. So why the difference?

Well, the insurance rate is not only based on personal history (your driving record and, where approved by law, your credit record – which, BTW, is the single most accurate measure of potential future losses, seriously – a lot of laws), but also the history of the region. Based on / state accidents,Insurance premium for driving habits, theft rate, loss rate, regulations, etc.

We are lucky in Ohio. Our average auto insurance rate in the United States is lower. The average annual cost for insurance is about $ 1000. This is – again – due to the generally less regulated insurance regulations, the stricter application of insurance laws (as more people carry it, thus minimizing the risks we all carry) and lessAuto. Due to claims of theft and collisions (which seems like a weird thing to say about Ohio).

Different rating criteria provide different, but in general, this list gives a good picture of how much insurance costs per state:

Where exactly is the comparison?

Of course, vehicle cover is much cheaper in the United States than in Western Europe.

But comparing apples with apples is also very complicated and impossible.

Your insurance costs in the UK depend on the “class” of your car – up to 100 times higher, including top sports cars.

You can get up to 90% discount on any claim activity history.

The area in which you live will be greatly affected.

The above will affect spending in the United States (in some states, but never closer to the amount in the United Kingdom). I know a guy who wanted to insure $ 80k sports car in a bad part

London and he was a young man. It’s going to be $ 5k per month it’s insurance!

It can be cheap in markets where people drive cheap cars and legally require less coverage and market power indicates that people have much less to spend.

But you would be completely wrong to think that US car insurance is expensive, either for what it is (so expensive) or even in absolute terms, when viewed worldwide.

As a car owner you constantly insist on insuring your car. Some people can undoubtedly cope with those things but the greater part is constantly wondering why my car insurance is so high? What is the main reason behind this?

There is some information and significant focus that makes car insurance a great deal for so many things. These factors significantly exceed your control over the premiums set by your insurance company.

Some of these are your age, area and salary history. The more you can fix it, the less you will be able to deal with it.

So in this comprehensive guide, why am I paying so much for my car insurance?

Follow this article,

7 Reasons Why Car Insurance Companies Charge So Much

We talked a little bit about the car insurance company’s premium strategy. So why is my car insurance so high?

There are many reasons why insurance companies take out insurance at high rates from car owners.

1. Case size

In the insurance business this is often called “claims seriousness”. This is affecting higher slant and a few accident coverage firms. The increase in the cost of doctor’s visits and the severity of the demand in various offices led to a sharp increase. Contributes to the case.

However, unfortunately, Americans are increasingly demanding personal automation because of their long-distance driving. The more the pattern of increasing the clinical guarantee and the more the other spreads, the more insurance companies will face misfortune up to their insurance bundles.

This has been said in a report of CNBC

“A year ago you had the opportunity to see companies like Allstate and Zico, in particular, they announced a much higher (private) recurrence than they expected and it disrupted their productivity,” said Mayor Shields, a stock analyst. Speculation Bank Kyiv, Brute andWoods. “They’re slowly building it up through extremely high insurance rates now.” Related questions, in particular,

2. Your living area

True, your area of ​​residence also has a significant impact on your car insurance and, surprisingly, you probably don’t think about it.

Clinical offices and other auto hardware have different speeds in different regions. We can undoubtedly create a sense of traffic between urban communities and regions of the country.

In urban communities, we face a lot of traffic jams and the number of unintentional cases is higher than in rural areas. So take advantage of these things a car insurance company determines the sum of their insurance inclusions.

We should enjoy a model and restore it.

If you have a place with a city and a high traffic zone, your insurance premium is going to be exceptionally high at that time in light of the fact that the number of car accidents in urban areas is comparatively higher than in rural areas.

What’s more, if you live in a neutral community and work in a humble community, your car insurance will be less expensive than people living in urban areas and will work from there.

Is your car insurance problem so much with your search?

3. How often do you drive your car?

If you drive regularly every day, you are more likely to have problems with the performance of your car and automobile parts.

Your car is more likely to have an accident or a minor accident.

However, if your drive has frequent problems or is less likely to crash in each case. So most insurance companies use your car and work profile for your insurance plan.

4. How old are you?

Your age is another factor in your high insurance rate. In most cases, we have seen young people become distrustful of their well-being.

As with contrast and other age groups, adolescents and young adults are less inclined to use safety belts; Only a few of them wore general safety belts while driving.

What’s more, later it will create a significant physical problem for both the car and the person. Interestingly, young people force themselves slowly, they drive at excessive speeds and sometimes they break down and drive.

So this situation is found in a large part in the case of catastrophic accidents that all the factors are considered insurance companies have to cover a large sum according to their insurance system.

Experienced drivers are more likely than young drivers to think or not have an alternative to perceiving risky situations. Younger groups are also more likely than adults to make a hasty decision that triggers a real accident.

So it’s another integral reason “why is my car insurance so high?”.

5. Your driving experience

This is responsible for your understanding of an exceptionally basic concept and your search for “why my car insurance is so high”.

We should break this point with a little model

If you are a beginner driver and you have been driving for only a few months then your chances of getting into a car accident will increase.

What’s more, this situation creates an expense for insurance companies so that they do not fall into the trap of misfortune.

So if you have very little involvement with a beginner or driving, you will lose your pocket to a car insurance company.

6. Which car are you driving

The insurance company covers everything you have with your car insurance

The whole car

Part of the car

Your responsibility

Here we are going to discuss how complete vehicle and car parts affect car insurance being so high every hour.

We assume that you are driving a car that is unusual and expensive. It’s not effectively accessible where all things considered if your car breaks down and you have to guarantee some replacement under the insurance system but it’s really going to be too much for the trade.

However, if you own a simple car whose parts are accessible everywhere, it will be very easy to replace and in addition it will not be so expensive.

So another central reason why your car insurance is so high is having an expensive or unaffordable car.

7. What is your sexual orientation

As indicated by an investigation, Highway Safety reports that no accidents involving male drivers are more common than accidents involving female drivers.

Also, if we think about the number of people killed in road accidents, countless drivers are still being tested. So by this, insurance companies often insure more men (youth) than a woman.

Young people are clearly highlighted on the grounds that young people are consistently following the rules because they disobey traffic guidelines or are seen driving under their influence.

That’s right. !! Here are the top 7 most common reasons that are responsible for the expression “why my car insurance is so high” or we can say that these are the top 7 common focus that we left out when choosing a car insurance company.

Car insurance, do you need to insure another person’s car? “

My boyfriend wants to borrow my car for 6 weeks and he has no insurance. But if I insure for myself then what can her sister insure but she has no car insurance. Does he have to insure another car for my use? I hope it makes sense. “

Can my car be repossessed for insurance?

OK very short and sweet my loan company called and said my insurance is over now what is the problem now they can come to buy a car in the same fashion as I am not paying for it? But even if they pay the right amount on time, will they get it? Also if I fax them my insurance card and show them that I have the card with proof of insurance, can they accept it as a form or do they need to contact the company directly?

Insurance for pre-existing conditions?

My friend was recently diagnosed with a brain tumor, she has an MRI scheduled for March and then they will determine if she can go through surgery. Because it cannot be done, the condition is already there. Now, the tumor is in the fourth atrium of the brain (where the spinal cord / cerebral fluid is). Located. It may require chemotherapy. Can he be reinsured or covered under any other scheme? Can a single mother qualify for Medicare instead? He’s in TX. “

“Okay I don’t have car insurance but I want to rent a car for a month. Do I have car insurance for this situation?

So I just want to pay for car insurance for one month. I was wondering if I needed car insurance when I rented a car.

Rover 75 hit the back by a 4×4. What do I do if the garage is not repairable? How much insurance?

4×4 The rear end of my Rover 75 is damaged, it is impossible to boot and the lights are not working. Garage and insurance now say it’s not repairable. But the car was running perfectly even after the accident. How much will the insurance company pay? Will they? Is there a way to fix my car? “

“I will soon learn to ride a bike. If I get a Ducati 500cc 2nd Hand bike, how much will my insurance cost?”

I will soon learn to ride a bike, if I get a Ducati 500cc 2nd Hand bike how much will my insurance cost? “

Is it worth the effort to compare auto insurance companies?

I have been with the same auto insurance company all my adult life. When my husband and I get married, he changes and starts using the same agency that I use all the time. Whether to look around for. I would definitely like to save some money on our auto insurance, but I don’t know if it will take time or energy to purchase. Is it worth the effort to compare insurance companies? If so, how do I start my search? “

Estimate insurance costs for 16 year olds including sports cars?

How much would it cost to insure a 16 year old in Geico with a sports car compared to a sedan or something like that? More specifically, what will be the average change in cost from BRZ / FRS to Hyundai Genesis sedan? I don’t need the correct answer, because it is impossible for many reasons. I just want to know if it will be like 30 dollars a month or a few hundred dollars a month. Also, how much do you expect the insurance cost of a new v6 mustang every month? 10 points for the best answer. Thanks. “

I am 16 years old and looking for a cheap scooter (paid) or scrambler … how much insurance do they have 🙂

I know you can get a quote but you have to write down all the information about your bike and I haven’t got a bike yet I just need something to get back and forth to work

Is insurance premium subject to negotiation?

My home insurance rate continues to rise every year but this year it was $ 400 because they said they had redistributed my home and the neighbors had made it more expensive. I called their head office and talked to the lady who answered on the phone not to shrink a single dollar !! He gladly emailed a document to sign to cancel my policy. It really crushed me. Can it make a difference to call an agent and talk?

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