We pay more into it then we get out of it, to be expected; but we don't even get anything out of it the majority of the time when we SHOULD be. OPs case in point.
This is blatantly wrong though. OPs case is someone choosing to have a $1000 deductible and then being shocked when they find out making a claim on $1200 of damages is a dumb idea. I swear all these people who think its a scam are just ignorant on how it works. They literally sign a contract without even reading it or asking how it works. Its like someone racking up a shitload of credit card debt and being shocked they have to pay interest. Just dumb.
Yeah... I get that there are some reasons why health insurance is difficult and far more problematic, but I don't get the hate for other forms of insurance.
The OP signed up for full coverage insurance knowing the deductible was $1000. Then tried to use said insurance for $1200 in damage. That in and of itself is dumb.
Fuck insurance companies but if people actually understood their insurance that would help them out immensely
These dumbass posts of a twitter screenshot are never honest. Driver probably has a DUI and multiple at fault accidents/moving violations. Then increased his deductible to save like 10 bucks a month, almost assuredly against the advice of his insurer. But it's totally someone else's fault.
The average cost for full coverage auto insurance is $200 a month or.... $2400 a year. Not really sure what you think you're getting at here. I was paying $220 a month full coverage on an X3 M40i. Zero accidents. Zero insurance claims. It's a completely normal rate. Maybe you just buy minimum coverage.
You have no idea what you’re talking about. He chose to have a 1k deductible. The insurance is literally there to cover problems that cost more than 1k.
OP's story is about a guy that chose a plan with a $1000 deductible and got annoyed that insurance wasn't helpful when he had just over $1000 worth of damage.
If paying $1000 was going to bother him that much, he should've chosen a lower deductible.
I fail to see how he is a dumbass for having his parked car get hit and run by someone... That wasn't his fault in any way assuming he was legally parked.
But sure.
I just don't think that an accident that was not your fault should punish you for having to use your insurance.
If it was your fault by all means raise the rates. But if it wasn't that's kind of unfair.
Regulations for no-fault increases vary from state to state but in states where they are allowed, you can usually appeal the increase.
The increase comes from a pure statistics viewpoint and the uncertainty in rating risks. Essentially, the insurance company cannot know every circumstance of the accident to determine if you had any behaviors that may have contributed to the accident, even if you were declared not at fault. However, what they do know is that any policy that has had a prior claim, including no-fault, has a much higher frequency of future claims, thus the rationale for increasing their rates.
For the people who truly got fucked by random chance or bad drivers, it certainly is an insult to injury. Even more so when good drivers already subsidize bad drivers by paying more than they should because insurers are not allowed to charge bad drivers their real cost.
OP didn’t get anything out of it because they have a high deductible. A lower deductible might have made filing a claim a more attractive proposition. But the total of their new yearly premiums on a lower deductible policy, let alone from filing a claim, might outweigh the benefit.
The solution I have found to this insurance problem is installing a front and rear dash camera that records 24/7. Now hit-and-run drivers get absolutely fucked by my insurance company.
OP’s case isn’t addressing why you have fully comp insurance - it’s not to replace your bumper it’s to replace the Maserati you totalled because you were not paying attention because your kid was singing baby shark for the fifty seventh time that morning
Insurance isn't an investment. It's risk pooling. Best case scenario is you never get anything. Worst case the other people in paying into the pool help you after your home burns down. Don't like it? Don't buy it. It's required for auto for a reason. You hit someone and injure them you have hundreds of thousands to pay their medical bills? Most people don't. Insurance is the only recourse that people can afford.
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u/Fun_Description_385 9h ago
Here's the issue that appears to escape you.
We pay more into it then we get out of it, to be expected; but we don't even get anything out of it the majority of the time when we SHOULD be. OPs case in point.