Progressive Insurance quote new authority. Does this sound right?

new numbers. wreck. speeding ticket. yelp

 

Funny perspective.......insurance industry isn't "jacked up" as much as you think when you really understand the biz.

We collect premium based on exposure and pay out when YOU have accidents that create claims.

Out of every $ 1.00 of insurance premium, the industry, as a whole, pays out $ .68 in claims costs, $ .24 in "expense" (salary, rent etc) and $ .04 in taxes....which hopefully leaves $ .04 in profit, for the shareholders that own the company.

Premiums are reflective of losses......so when a "class of business" has losses they get charged for them. I run a branch for Berkshire.....a tractor/trailer for hire pays 50% more than the same unit hauling their own goods....the reason being OUR statistics show the for hire risk creates more and larger losses. Probably has a lot to do with trained drivers Vs the rookies that populate a lot of trucking risks now days.

So insurance premiums won't being reducing, only going up as loss costs (medical and vehicle repair costs) escalate due to value increases and inflation.

The insurance industry, like any other business, is in business to make a profit for the ownership. The industry is competitive enough that some carriers will charge more, some less....at the end of the day if they don't charge enough they will go by the wayside........and carriers go broke every year.....like Risk Retention Groups.

 

Then why does Allstate have 377 million dollars.....and that is just allstate.

At one point they sat on close to 1 BILLION dollars! Again.....this is ONLY ALLSTATE!

Allstate Cash on Hand 2006-2020 | ALL

 

Yes new Authority insurance is expensive , in your case with your driving record it makes sense . I couldn't operate at that rate I would just stay company or O/O leased on to someone else . I paid about 1400 a month my first year , with truck payment and maintenance I felt margins were tight so I couldnt imagine paying 2700 a month .

 

So they can pay claims in the event of a hurricane. Claims paid just from Hurricane Harvey totaled more than $5.5 billion.

Although I will admit, Allstate is not my favorite insurance company. In fact they're starting to develop an abysmal reputation.

 

heres a video of why insurance is high

 

God I love youtube. I hate TV...but love youtube.

 

I'm laughing hard over here!!

 

I logged in to youtube for the first time in YEARS to give that dude a thumbs up and great vid comment!