Insurance information straight from the source!

[DAVID GAGNARD]

Brett;

Some people feel ripped off by insurance companys,I personally do not,it may be a neccassary evil if you will...Auto insurance is quite a bit different than hospitalization/health and workmans comp insurance. Health insurance has many different types to buy as well as exclusions,that auto insurance does not have......

Let me give this scenario; I'll pay you $335.00 dollars every six months and in return you will promise to pay loses on my 16 year old daughter's 1993 Toyota Celica for fire-wind storm-theft-vadalism and/or collision to the value of her car (approx. $5,500.00 right now) and if she is invovled in an accident,you will pay for the other partys vehicle damage up to 50k and if they are injured you will pay their medical bills-loss wages and pain and suffering for up to 150k, for a measely $670.0 per year.... I do not think you would like to take that deal,I know I would not,but yet my insurance company does...........If she only totals her car with no injuries and no other damage to any other vehicle or property (utility poles-culverts-fire hydrants-water/gas meters),than your are only out $5,500.00,She has been driving for eleven and a half months now,so I've paid a total of $670.00 in premium to you,lets see now your in the hole for $4,830.00....Good deal uh....I don't think soooooo..That's for a $5,500.00 ten year old car,not a new Town Car or Suburban or even a Z-71...

Cobras kinda fall in that catagory....You have most that are "homebuilt" if you will,granted most are built rather well,but how do you know if it was not one of the better built ones and not someone with little knowledge who pieced one together with little regard for safety in mind???? You have small cars,short wheelbase,usually way over powered,driven by largley inexpirienced drivers worth upwards of 30k to 50k or more....Not a good risk,too many unkowns.....Luckily you do not here of that many accidents,but look at the ones we have heard of on this forum lately,most if not all involved fatalitiys.....Dead people=big settlements=big payouts=bad risk to insure...this is just a fact of life,wish it wasn't true but I can not change that.....that's why companys are running from the Cobras,too many unkowns and too much exposure for the premium.....

David