Is auto insurance worth the money

I have been going over my finances recently and came to my second largest monthly expense, auto insurance. Yes, it comes in behind rent and before my car payment. I pay more in a month to insure my car then I do to actually buy my car.

My new car is a recent purchase, so I won’t even count the higher level of insurance that I have had to add since getting the new car.

My old car was paid in full so I had no insurance requirements beyond state law.

Over the past 5 years, I have paid approximately $8000.00 in car insurance premiums.

In those same 5 years, I have had 0 accidents regardless of fault. I have had 0 tickets. I have had 5 times that I was asked for my proof of insurance… the annual trip to renew my tags. They ask for my insurance, I show them, they give me my tags.

So for the cost of $8000.00, what have I received?

10 pieces of paper saying that I’m insured for the next 6 months.

That is a grand total of 10 pieces of paper at $800.00 dollars a piece.

How is it that I end up paying for everyone else to have accidents and such and I have never filed a claim with my current insurance company? I have received nothing for my money except for the honor of being able to say that I have insurance.

I think Chris Rock had it right, insurance is for ‘in case stuff happens and if stuff don’t happen, I should get some of my money back’ *edited for language*

Is it too much to ask for say 25% of my premiums back at the end of the year if I had no claims during that year? I’m still paying you $1600.00 per year, you give me back $400.00 if I didn’t use it. That’s still $1200.00 per your for your 2 pieces of paper at $600.00 per piece. And frankly, I do my insurance on line so you don’t even send me those pieces of paper, I just print them and use my own paper.

Bookmark and Share

This entry was posted on Monday, July 13th, 2009 at 8:05 am and is filed under Business, Finance. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.

 

Leave a Reply