Why do we have to pay car insurance?

Question

Unless you are a really bad driver car insurance is a total joke. I mean how many reckss does a person get into in his life time. im saying on average about 2 or 3. and if your paying 600 bucks or more every 6 months thats one thousand plus dollars a year. in 30 years you could buy your self a new mustang. It really makes no sense that its a law to have car insurance when you could just put 600 bucks in a savings account if you ever need it. I think the insurance companies should give us our money back every 10 years or so if we are good drivers

Answer 1

because if you cause a wreck and there is 60,000 in damages to the cars and 100,000 in medical bills most people dont have this kind of money on hand.

Answer 2

I might suggest one to visit this site where you can get quotes from the best companies: http://INSURE-HELP.COM/index.html?src=2YAmfddrVW42

RE :Why do we have to pay car insurance?
Unless you are a really bad driver car insurance is a total joke. I mean how many reckss does a person get into in his life time. im saying on average about 2 or 3. and if your paying 600 bucks or more every 6 months thats one thousand plus dollars a year. in 30 years you could buy your self a new mustang. It really makes no sense that its a law to have car insurance when you could just put 600 bucks in a savings account if you ever need it. I think the insurance companies should give us our money back every 10 years or so if we are good drivers
Follow 23 answers

Answer 3

Wow that sucks for you! Here in Australia you are only required to have third party personal insurance (pays for the other person's medical bills if you're at fault in an accident). Any other insurance is by choice, but most of the banks won't give you a loan unless you take out insurance on the vehicle you're purchasing.
I agree with the part about insurance companies giving your money back for good driving, but I think having at least third party property insurance is necessary. I mean, what if you accidentally hit a Lamborghini or something? The repairs would probably be thousands, and I don't know about you but I never have that much money just sitting around and I don't know whether I'd have the self control to always save the money I would have spent on insurance. It's just a peace of mind thing, really. I know I'm a good driver but everyone occasionally slips up and I wouldn't want to be caught in the lurch if I were to hit a really expensive car on that one slip up.

Answer 4

That's right. On average, you'll only be in 2 or 3 accidents per year. But what if that accident - you injury someone?

This is entirely possible and health insurance can cost a lot - upwards towards $30,000 plus.

Or if you total their $30,000 brand new car? Again, entirely possible.

That $600 in your savings account won't cover that. If you sock that amount in your account for the next 30 years, more than likely you'll spend it on something else.

Guess what. Insurance isn't for you - its for the other people. You hit me, you pay for my injuries. I don't trust you to have a savings account to pay for my recovery but insurance will.

Think of insurance as a long term savings plan that'll kick in when that 2 or 3 accident happens...

Answer 5

Insurance is to cover you for expenses that you either can not, or do not want to pay out of pocket. All it takes is for one accident to happen, and without enough insurance, you can lose everything that you own or will ever earn. Even the best driver can have things happen that are beyond their control.

If you were to hit and seriously injure or kill someone, you could easily end up with a judgment against you for $50,000, $100,000, or more! Can you afford to pay that right now in one lump sum?

If you do not want to insure your car for damage, or theft, that is your choice, as long as you are the free and clear owner of the vehicle. If you have put the car up as collateral for a loan (meaning you are making payments on the car), the finance company wants their interest protected. They make your insuring the vehicle a condition of them lending you the money!

This question shows what happens if you do not have insurance too! http://answers.yahoo.com/question/index;_ylt=At4JIFxHqgL5pyvdvHn0KQfsy6IX?qid=20070102093053AAwOWew&show=7#profile-info-1f78b43b4a16fca9c80cc5ee7736c450aa

Answer 6

You & I pay higher premiums because of those who fail to do so, and those that have many accidents. You will pay higher premiums if you are a higher risk, have bad credit, or are irresponsible. The older you are the rates will do down if you have a good history and no accidents.
After 25 it will go down and when you marry it will go down again.
Shop around for your insurer. Just because your parents had it for 25 years doesn't make it the best for you.
any time you go to a buy here pay here insurance company it is more expensive. Some Cheaper CO. are : FARM BUREAU,
FARMERS, ALL STATE, STATE FARM etc.

I have been with Farm Bureau for awhile and they have a yearly membership fee of $30.00 but it gives you discounts on all kinds of stuff from Hotels to all kinds of stuff, they have a list on their website, Also I have homeowners and Auto on that and get a discount for having both through them.

Answer 7

You say that you have "full comprehensive car insurance." Technically, there isn't a coverage called "full coverage" and "comprehensive coverage" actually pays for things like damage from theft, vandalism, etc., not accidents. If you have "collision coverage," that is the one that pays for damage to your own car in the event of an accident, even if it is shown to be your fault. Check your policy to see exactly what type of coverage you really do have. By the way, a lot of people use the term "full coverage" but it would refer to having all of these property damage, bodily injury, comprehensive and collision. You may very well have that if you remember getting full coverage. I sure hope you are covered and wish you the best in getting it sorted. If you need more tips on your insurance, there is an informative site below.

Answer 8

You are one selfish weenie, thinking only of your pocketbook today, and not looking at the bigger picture. Who do you think is going to pay for your care if you are in that one wreck and end up in a wheelchair for life? That is hundreds of thousands of dollars. Who do you think is going to pay if you park your car close to a house, it starts on fire and burns the house down, and don't scoff, I personally know of a car fire that did several hundred thousand dollars damage to an apartment block. Who do you think is going to pay for my car when you drive through the stop sign because you were talking on your cell phone and write my car off? Don't want to carry insurance, you don't have to. Just register a non-redeemable bond for the amount required by your state, but if you can't afford to self-insure, do the responsible thing or stay off the road.

Answer 9

Yes and no. Say you are at fault in an accident. You total your own car $10,000 (the bank owns it and wants their money)The other drivers car 40,000 (it was a nice one). Throw in a hospitalization or two and you've just hit 100,000 on one accident.
If you pay 1,000 a year, it would take you 100 years to pay for that one accident.
I do think good drivers should get some kind of rebate though.......

Answer 10

Good point, if your wealthy check with your state to see if you can self insure yourself. Not a good idea though. Say you slide in the rain or snow go right thru an intersection or swerve to avoid hitting a dog and kill the father or 2 in one car and a mom of 4 in the other, do u think your $600 is going to raise their children. Or do you think the dead people should have had enough uninsured motorist cover your accident? See??

Answer 11

Yes, car insurance is not fun to pay. But you know whats even worse? If you rearend a car with 5 people in it who all claim injuries and get sued for 30,000 dollars by them for damages and have to have that debt over your head your entire life. Car insurance is for security- you never know what could happen. and i see peoples lives get effed up everyday b/c they think like you do.