Insurance costs
Discussion
Just read about a guy who pays £4K per annum? and wondered if GB is now also the insurance rip-off (it wasn't in the 70s). For my S4 with all its mods I pay £349 fully comp with £300 waiver for all countries in EU + Switzerland + GB, Eire, Faroes etc (100Kkms and no garage). (Not behind old iron curtain)
Calculating up to what a 100% would be thats not more than £780 pa
Mind you we do start on 250% here! So a kiddy with a hot hatch may pay £2K. But where does the £4K come from? My GT2 costs no more than £500 pa!!!!
Calculating up to what a 100% would be thats not more than £780 pa
Mind you we do start on 250% here! So a kiddy with a hot hatch may pay £2K. But where does the £4K come from? My GT2 costs no more than £500 pa!!!!
)
There is hardly an insurer out there who has made money in private motor insurance for the last five years. Very heavy competition forced prices down to the point where they were uneconomic to sustain but many underwriters continued to accept risks that were underpriced to maintain and / or increase their market share. Much of the insurance industry goes through this boom and bust cycle every so often. It's just been more 'bust' than 'boom' lately.
Then the law on personal injury claims changed and that really set the cat amoungst the pidgeons. The average personal injury claim from a car accident increased dramatically and many insurers were caught on the hop, as if things weren't already bad enough.
Uninsured drivers also account for an increasing average of £35 for each private motor policy, this continues to spiral upwards.
The net result of all this is that your premiums had to rise - an insurer cannot carry on year in year out paying out more in claims than it receives in premium. If you drive a non-standard car, live in a dodgy area, have a high risk job, don't have a garage, don't have an alarm / immobiliser, have driving convictions etc then any one of these variables will dramatically increase your premium and many insurers won't touch you. And if you were them, neither would you, because they are many times more likely to make a claim than Mr and Mrs average Mondeo driving civil servants.
But if you put another driver as the main driver when they're not, you risk not being insured at all. I don't think you'd want to open yourself up to UNLIMITED PERSONAL LIABILITY, because that's what you are doing if you don't tell the truth to save money. It's not worth it.
Captain insurance
Then the law on personal injury claims changed and that really set the cat amoungst the pidgeons. The average personal injury claim from a car accident increased dramatically and many insurers were caught on the hop, as if things weren't already bad enough.
Uninsured drivers also account for an increasing average of £35 for each private motor policy, this continues to spiral upwards.
The net result of all this is that your premiums had to rise - an insurer cannot carry on year in year out paying out more in claims than it receives in premium. If you drive a non-standard car, live in a dodgy area, have a high risk job, don't have a garage, don't have an alarm / immobiliser, have driving convictions etc then any one of these variables will dramatically increase your premium and many insurers won't touch you. And if you were them, neither would you, because they are many times more likely to make a claim than Mr and Mrs average Mondeo driving civil servants.
But if you put another driver as the main driver when they're not, you risk not being insured at all. I don't think you'd want to open yourself up to UNLIMITED PERSONAL LIABILITY, because that's what you are doing if you don't tell the truth to save money. It's not worth it.
Captain insurance
Hey, work this one out then. My 3.0V6 Alfa and TVR SEAC combined cost WAY less to insure than my motorbike. And I do less miles on the bike than either car !
Is that justice or what !
P.S. If you are thinking I have got an outragous bike - nearly - but RiDe magazine says we (collective Blackbird owners) only crash once in a blue moon (turbo slippers and all that...). So we stilll get it in the neck.
Edited by Nacnud on Friday 23 November 22:30
Is that justice or what !
P.S. If you are thinking I have got an outragous bike - nearly - but RiDe magazine says we (collective Blackbird owners) only crash once in a blue moon (turbo slippers and all that...). So we stilll get it in the neck.
Edited by Nacnud on Friday 23 November 22:30
When I was younger I was asked what is the value of the car ? That is your quote..
I also tried and failed to get insured on a porsche 944 turbo, but they would insure me on a Celica GT4...
I paid £1500 for the Chimaera when I was 22/23.. But the S1 and 350i only cost me about £600 each when I was 20 and 21.... ( I love classic policies )
My first car was a Fiesta 1.1 which cost me £350 but I had to pay £550 to insure it TPFT...
I also tried and failed to get insured on a porsche 944 turbo, but they would insure me on a Celica GT4...
I paid £1500 for the Chimaera when I was 22/23.. But the S1 and 350i only cost me about £600 each when I was 20 and 21.... ( I love classic policies )
My first car was a Fiesta 1.1 which cost me £350 but I had to pay £550 to insure it TPFT...
I'm paying £980 3rd party only with 1yrs no-claims on my chariot (a truly awful bog-standard '89 Escort 1.3 poular) I was paying £1700 when I first insured it. FYI I'm 26 years old !!! This is the best I could do insurance wise (hence the crappy car !!) Most Irish insurers won't even quote under 27s and will laugh at provisional holders unless they're over 40. Looks like no big engined fun for me until I'm too old to really enjoy it 
It is unfortunate but Captain Chaos is correct - it is the situation that we are in currently. While there are so many scrotes about that feel that knicking cars is fun - we all have to pay the price!
I do believe that it will get better though (ever the optimist) as the older insecure cars get "phased out". Today it is difficult to purchase a car that hasnt some kind of security on it - well anything less than 5-6 years old. However, while car manufacturers pay lip service to car security then it will remain static - see the recent security tests - Lexus fantasic, Audi??? pathetic.... However, as the older cars are less and less used then we will increasingly have more secure cars - this will reflect in the insurance premiums.
The only problem is this personal injury stuff - this is what is cripling the insurance industry. That and uninsured drivers.... As with anything to do with the government, it takes them time to do anything. Therefore we are likely to see increases before drops. But it should come in time.
Driver education should help.
Cheers,
Paul
I do believe that it will get better though (ever the optimist) as the older insecure cars get "phased out". Today it is difficult to purchase a car that hasnt some kind of security on it - well anything less than 5-6 years old. However, while car manufacturers pay lip service to car security then it will remain static - see the recent security tests - Lexus fantasic, Audi??? pathetic.... However, as the older cars are less and less used then we will increasingly have more secure cars - this will reflect in the insurance premiums.
The only problem is this personal injury stuff - this is what is cripling the insurance industry. That and uninsured drivers.... As with anything to do with the government, it takes them time to do anything. Therefore we are likely to see increases before drops. But it should come in time.
Driver education should help.
Cheers,
Paul
huh! my Thunderace went from 750squid to 1650, in one year. No claims made, so I sold it, and got much less powerful machine (SV650). That's fully comp for 300 quid, but in all honesty big bikes are less risky to ride than little bikes.
With a bike bike you can easily go past anything, and the handling is up to it. With a small bike, you struggle a bit (well, 0-60 4.5 seconds is a bit crap, isn't it?) to get past things. Therefore take more risks, and make up time on corners.. Ahem.
As for classic cars, I can get a 6.6 litre yank tank insured for less than 300 notes.
With a bike bike you can easily go past anything, and the handling is up to it. With a small bike, you struggle a bit (well, 0-60 4.5 seconds is a bit crap, isn't it?) to get past things. Therefore take more risks, and make up time on corners.. Ahem.
As for classic cars, I can get a 6.6 litre yank tank insured for less than 300 notes.
Having passed the magic age and having a 38 year NCB (I can't believe it either) insurance is not a problem for me but I can still scratch my head about it sometimes. My 19 year old son started driver training some 9 years ago at Silverstone and has a series of certificates to confirm his status, by the time he was old enough to get a road licence his driving ability was totally proven and inspite of being a poor passenger I felt totally safe with him at all times. My daughter took to the wheel at the age of 24 with no previous training. My insurer will not let son behind the wheel of anything bigger than 1.3 but daughter is insured to drive all the family motors. Alas I do not yet share their confidence.
Daughter had to insure a 1.3 Metro Fully comp for work purposes. My insurers quoted £1600 (Central London) but were prepared to reduce it to £600 if she joined an approved motor club, it must make sense to them.
As a lad in the swinging 60s you could buy big Healeys & XK jags for £150 or a poor E Type for £600. Road Traffic Act only cover (less than third party) was around £500. Looking at Inflation things aren't really any worse now by comparison.
Daughter had to insure a 1.3 Metro Fully comp for work purposes. My insurers quoted £1600 (Central London) but were prepared to reduce it to £600 if she joined an approved motor club, it must make sense to them.
As a lad in the swinging 60s you could buy big Healeys & XK jags for £150 or a poor E Type for £600. Road Traffic Act only cover (less than third party) was around £500. Looking at Inflation things aren't really any worse now by comparison.
No doubt this has been mentioned on here before but my father has a policy obtained through AON that covers all his cars (and allows my mother and I to drive them) and the house. This comes in at £4k. Steep, but probably worth considering if you've more than one high performance car or your current premium's are obscene... I'll post more details when I can get them.
BTW the insurance includes his 959. Strange, then, that I've never got my mitts on it
BTW the insurance includes his 959. Strange, then, that I've never got my mitts on it
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