[CSX 4039]

Originally posted by DAVID GAGNARD


Brett & Dan;

You both make valid points and I agree to a lot of them. The insurance industry is not perfect by any stretch,but by the same token neither or a lot of doctors and a lot of personal injury attorneys.....Believeme, I deal with doctors of all types and personal injury attorneys on a daily basis,I know what's going on and how the game is played...Then you throwin "goverment regulations" for good measure to make sure everything stays screwed up.....

We can all ***** and moan about the state of things today and I can quote examples of bad doctors and lawyers and you'll can quote examples of bad insurance companys and HMOs till the cows come home and we will accomplish nothing but maybe raising our blood pressure or even blowing off a little steam.

Back to some of the original questions brought about on this thread and others.... I see people posting about companys not insuring Cobras and raising the rates by 2-3-4-times for existing policys. All I was trying to do is explain what is happening and why it is happening from an insurance standpoint,that is all....

For example; the average Cobra that is insured for "Agreed on Value" is probably insured for 50k, the average policy limits for that same car are probably 100-300 limits with some UM & DI....The average premium from what I see posted is probably around $750.00 a year..... Now lets take one accident were a Cobra is totaled and there are fatalities.... There have been a few of these latlely. Can not remember who theyare exactly but not that long ago there was a double fatality and the driver was a CC member. Totaling the car brings a payout of 50k,agreed on value,the passenger fatality will take the 100k BI limit ,the driver/owner will get Med Pay for the limit,probably somewhere around 25k for this type of policy and any DI payments,probably around another 25k for this type policy. So now the insurance company is paying out a total of 200k on this accident assuming it is a one vehicle accident with no other vechicles or property damaged and no other injuries to other people....Paying out 200k this company would have to have 267 Cobras insured for this amount for a year and not have another claim the rest of the year just to brake even!!!!!! Not a very good deal..... Now you know why companys are not insuring Cobras anymore and the ones that still are are raising their rates.....The money taken in just does not keep up with the money paid out and the Cobra is just not a good risk..

It's is just not cost effective for an insurance company to insure these high powered sports cars and that's why they are getting harder and more expensive to insure....

My fault,your fault,nobody's fault,an accident is an accident, people get hurt and sometimes killed and the insurance company always pays,end of story....

PS; I have enjoyed this discussion and learned a few things along the way,I just hope I may have explained some things to others along the way also...

Respectfully;

David

I concur. Thanks for the info. Let's have a group hug.