A few thoughts about Automobile Insurance.

I have trouble understanding certain things about automobile insurance and how it works. First, if insurance is mandatory in your state, why do you have to pay a premium for “uninsured motorists”?Things like this are difficult for me. Here’s another: If my neighbor’s house is on fire, am I concerned the he has homeowner’s insurance? No, I am more concerned the I have homeowners insurance in case the fire jumps to my house. If the fire does jump do I go running into court to get him to pay for my damage. No I go to my insurance company to get relief. If my company wants to take further action, it is up to them.AND another: I go to work and the guy sitting nest to me has a cold, do I care if her has health insurance? No, I care the I have health insurance should he share his cold with me.

So.… If I am in town and someone runs into my car should I care that he has auto insurance? No, I SHOULD not have to. I should care that my car is covered. My insurance company should take care of my loss. If they choose to get recompense for the guy who hit me, it’s on them. I should be looking to my insurance company to get relief for my damages not his.

But that’s not the way it happens with car insurance. I have to go the other guy’s insurance carrier and beg or demand relief. Why is this different?

The world of Auto Insurance moves in mysterious ways. For instance, in Iowa a motorcycle policy and snowmobile policy are the same document. They figure if it is too warm for one, then it is too cold for the other and vice versa.

Let’s take that a step farther: I have five vehicles in my family. My family is just my wife and I. We can (at most) only drive two vehicles at one time. Why do I have to pay for all five. Should I not by able to pay the rate for the two most expensive and have it cover the rest? Why not?

As to the concept of mandatory auto insurance, the whole thing is a farce. The evidence is in the first paragraph of this blog. If the states were to allow drivers CHOICE when it comes to auto insurance, the rates would drop by half. Then it might be wise to carry a policy that protects you from the uninsured driver.

I am PRO CHOICE: I want the CHOICE as to whether to buy auto insurance or take my chances.

Published in: on September 22, 2007 at 10:15 am  Comments (5)  

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5 CommentsLeave a comment

  1. If you will go to http://www.foodstampstudy.com you will see several states with food stamp skyrockets linked to auto insurance laws.

    You will also see a Billings MT food stamp survey which indicates 12 of 96 food stamp applicants listed auto insurance as a reason for needing food stamps (thats 30,000 over the last 20 years in Montana)

  2. Thanks for the comment, Don

    I can truly understand that Automobile Insurance is a major part of the family budget. It is because of the artificial demand forced on us by Nanny-State style mandates.

    Prior to moving to South Dakota I lived in The Peoples’ Republic of New Jersey. A state that has the dubious honor of having the highest auto insurance rates in the country.

  3. Good inforamtion. I’m always trying to find cheaper insurance. It’s an ongoing battle between you and the insurance companies.

  4. I have two more pieces of info.
    Dr Robert Maril (head of the sociology dept at Eastern Carolina University) did a study that showed 44% of the respondents said they could not buy food or pay rent due to mandatory auto insurance. Type the following into the yahoo search engine:”The Impact of Mandatory Auto Insurance Upon Low Income Americans”

    The second details the insurance opposition to mandatory auto insurance laws and can be viewed by typing the following into the yahoo search engine: “715 Insurers Quietly Oppose Mandatory Auto Insurance”

  5. I’ve been looking into car insurance lately. I’ve only just got my permits and have been wondering about this sort of stuff. Thanks

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