How the hell can insurance companies get away with this

[warped head]

Right then, I'm 21, never claimed on my insurance been driving for 2 years (1 year and 6 months on a full license) and im trying to get a new quote for my car.

Its a 2001 accord 1.8i vtec s.

Now at the moment i have 0ncb due to my father threatening to kick me out of the house (I'm not kidding) because insuring a car in my own name was too expensive. so as a result i have been an additional named driver and main vehicle user for 2 years. but as i;ve never been a policy holder i have zilch.

Anyway, when I had the golf I got a quote from adrian flux for £1400 this was incluing the following modification: 60mm drop, induction kit, exhaust, strut braces and uprated pads and disks. and that was with 1year introductary NCB at the age of 20. The golf was a 1.6 and a groupe 9 insurance.

So far for the accord the cheapest quote I've had is £1500 a year. and thats with elephant with my dad as a named driver (as that seems to drop quotes with elephant). I'm cohabiting (which is also a factor that reduces the cost) and the car is pared on the drive (which is oddly more expensive that parking it on the street). I live in an area where the crime rate is 0 (the worst crime in the past 10 years is someones hanging baskets got stolen)

And even if i class myself as having 2years NCB (which i will argue i have as i have been main vehicle user for 2 years and never claimed) even at 21 its STILL £1100

that seems rediculously high insurance for a reasonably safe (NCAP 4star iirc) and reasonably secure (thatcham cat 1 alarm and immob. factory fit (according to a few sites)) car, especially given i commute during offpeak times, I'm 21 and have effectivly got 2years NCB.

How can they get away with charging sooo much, and even if i set my voluntary excess as 1000 the quotes are STILL above 1k!!!!!

Can anyone recommend an insurer that is likely to give a reasonable quote??

[davepoth]

So, you are after insurance on what I guess is somewhere around a group 10, and you have less than 2 years' driving experience, no no claims bonus, and you are moaning about paying £1100, because you think that the insurance fraud you've been carrying out for the last 18 months should entitle you to more of a discount?

[R1 Loon]

How can they charge so much? Hmmmmm, let's see statistically you are a very high risk at your age. Not one Motor Insurer does anything other than make a loss on their general public motor policies. On average the payout is c£1.15 for every £1 received in premium, so it's a huge loss making part of the portfolio. A few years back Privilege piad out £300 for every £1 they received on their M3 book, hence them virtually withdrawing from underwriting that type of vehicle.

Insurance companies are not charities, they are there to make money, if they don't they risk liquidation, or at least administration along the lines of Quinn, so they can charge what they like to who they like and if you don't want to pay the premium then you don't have to.

Insurance premiums are made up of two things, the damage you can do to your car (approx 20%) and the damage you can do with your car (about 80%), as the average claim is running at c£1600 it stands to reason that a high risk driver is likely to make at least one claim on average in a policy year.

"additional named driver and main vehicle user for 2 years" it's a good job you've never tried to claim, as you've just committed insurance fraud as a fronted driver.

As for claiming you've got 2 years NCD, good luck with that and watch your policy be avoided and the charge of driving without insurance, along with the risk of paying back £100,000s to an injured third party in a fault accident makes £1000+ seem quite cheap.

Oh one last thing, driving and owning a car is a privilege, not a birthright, so if you can't afford it, buy a cheaper car or take the bus.

Edited by R1 Loon on Thursday 13th May 00:50

[norman156]

R1 Loon said:

A few years back Privilege piad out £300 for every £1 they received on their M3 book, hence them virtually withdrawing fro underwriting that type of vehicle.

Holy crap! That's a scary statistic, no wonder the quotes I've had for M3s come out so high. Presumably that's for the E36?

In any case OP, you've admitting to insurance fronting so I really wouldn't expect any sympathy from anyone on here, and rightly so.

Edited by norman156 on Thursday 13th May 00:53

[jayfish]

you've got two (legal) options:-
Drive a low group car for two years and suck it up, pay ~£800 odd in your first year ~£600 the year after then upgrade the car and benefit from the NCD and added experience (if you stay accident free)

Buy a higher risk car and pay more.

quite simple really

[R1 Loon]

norman156 said:

Holy crap! That's a scary statistic, no wonder the quotes I've had for M3s come out so high. Presumably that's for the E36?

In any case OP, you've admitting to insurance fronting so I really wouldn't expect any sympathy from anyone on here, and rightly so.

Edited by norman156 on Thursday 13th May 00:53

I couldn't tell an E36 from a B52 tbh, despite owning 3 of them and just ordered a new 335Ci jobby. It was about 8 years ago. They had to change their whole business model, which was the time they started to advertise on TV and go for mainstream vehicles with Joanna Lumley fronting the ads.

They used to be the specialist wing of RBS Insurance leaving Direct Line & Churchill to deal with the mainstream market, but had to withdraw because of this.

[james_gt3rs]

warped head said:

Right then, I'm 21, never claimed on my insurance been driving for 2 years (1 year and 6 months on a full license) and im trying to get a new quote for my car.

Its a 2001 accord 1.8i vtec s.

Now at the moment i have 0ncb due to my father threatening to kick me out of the house (I'm not kidding) because insuring a car in my own name was too expensive. so as a result i have been an additional named driver and main vehicle user for 2 years. but as i;ve never been a policy holder i have zilch.

Anyway, when I had the golf I got a quote from adrian flux for £1400 this was incluing the following modification: 60mm drop, induction kit, exhaust, strut braces and uprated pads and disks. and that was with 1year introductary NCB at the age of 20. The golf was a 1.6 and a groupe 9 insurance.

So far for the accord the cheapest quote I've had is £1500 a year. and thats with elephant with my dad as a named driver (as that seems to drop quotes with elephant). I'm cohabiting (which is also a factor that reduces the cost) and the car is pared on the drive (which is oddly more expensive that parking it on the street). I live in an area where the crime rate is 0 (the worst crime in the past 10 years is someones hanging baskets got stolen)

And even if i class myself as having 2years NCB (which i will argue i have as i have been main vehicle user for 2 years and never claimed) even at 21 its STILL £1100

that seems rediculously high insurance for a reasonably safe (NCAP 4star iirc) and reasonably secure (thatcham cat 1 alarm and immob. factory fit (according to a few sites)) car, especially given i commute during offpeak times, I'm 21 and have effectivly got 2years NCB.

How can they get away with charging sooo much, and even if i set my voluntary excess as 1000 the quotes are STILL above 1k!!!!!

Can anyone recommend an insurer that is likely to give a reasonable quote??

Do you realise that this is illegal, known as fronting, and NOT popular on here?

[harryowl]

I'm getting well pissed now. Passed my test in Feb, the cheapest quote i've had so far is for a fiat 126 BIS!!! 700cc's!!! 26 bhp!!!!

£2100!!!!!! RAGE!!!!!!!!

ETA- For a joke i used a comparison website to see if any insurers would give a qoute for a murcielago- £7500!?!?!?!??! WTF!!!

Edited by harryowl on Thursday 13th May 01:19

[Plotloss]

Consider the cost of leaving the road and ploughing through a bus stop full of lawyers.

The risk assessment is less about the car and you than it is other people and actuarially, at 21, the risk is higher so the premiums are loaded accordingly.

We've all been there, its just one of those things.

[warped head]

davepoth said:

So, you are after insurance on what I guess is somewhere around a group 10, and you have less than 2 years' driving experience, no no claims bonus, and you are moaning about paying £1100, because you think that the insurance fraud you've been carrying out for the last 18 months should entitle you to more of a discount?

its not fraud. the insurers were aware that i was the main vehicle user and increased the premium, but it was no where near as much as if i was the policy holder.

its only fraud if its kept a secret from the insurers, which it never was.

and the accord is a groupe 8, the golf was a group 9

On BOTH policies that ive had run there course it said

Policy holder : Warped heads dad

Additional driver: Warped head

Main vehicle user: Warped head



THIS IS NOT FRONTING SO GIVE ME A fkING BREAK!!!

Edited by warped head on Thursday 13th May 01:11

[warped head]

Plotloss said:

Consider the cost of leaving the road and ploughing through a bus stop full of lawyers.

The risk assessment is less about the car and you than it is other people and actuarially, at 21, the risk is higher so the premiums are loaded accordingly.

We've all been there, its just one of those things.

then why is it everyone raves about 'when i turned 21 my insurance premiums dropped loads'

[Cyberprog]

I'm still paying ~ £800 for my insurance on the Discovery at 27, but that is heavily modified. Slowly getting the excesses down year by year though, one day it'll be at a manageable level

[R1 Loon]

warped head said:

Plotloss said:

Consider the cost of leaving the road and ploughing through a bus stop full of lawyers.

The risk assessment is less about the car and you than it is other people and actuarially, at 21, the risk is higher so the premiums are loaded accordingly.

We've all been there, its just one of those things.

then why is it everyone raves about 'when i turned 21 my insurance premiums dropped loads'

Two reasons, the market has moved on and parasitical claims costs have risen exponentially in the past decade.

Secondly they may have been paying £3000 and it dropped to £1500. The word "drop" has a different meaning to the phrase "dropped loads and it was peanuts already"

[james_gt3rs]

warped head said:

THIS IS NOT FRONTING SO GIVE ME A fkING BREAK!!!

Sorry, but you didn't say that in the OP.

[OliPolo]

I put my sister on mine. I'm 21 and put her on my policy as a named driver, she bought my quotes down from about 1200 to a not unreasonable 580. I tried putting my Dad on but most companies now dont make it any cheaper with parents. I have got 2 years no claims though, the car is group 14 me thinks! Try insuring it with admiral, they seem very reasonable for young drivers.

Oli

(no pound signs because the computer doesn't like me)

[PhillipM]

Young driver, modified car, coming off parents insurance.

Hmm, wonder what stastical model that is...

[warped head]

PhillipM said:

Young driver, modified car, coming off parents insurance.

Hmm, wonder what stastical model that is...

old car modified, new car not.

[PhillipM]

Might just be with the car being newer?

[Pommygranite]

The group may be 9 but there will be sub categories to further determine price, so to price compare on group alone is wrong(e.g sunny gti-r grp 20 will cost a lot less than a murci value apart).

[warped head]

Pommygranite said:

The group may be 9 but there will be sub categories to further determine price, so to price compare on group alone is wrong(e.g sunny gti-r grp 20 will cost a lot less than a murci value apart).

true,

i guess the fact that its a 1.8 (or 1.9 depending on where you look) is more to insure than a 1.6, and i suppose 'VTEC' will make insurers think performance and therefor hike up the price again.

But in the golf if i crashed i'd be a bloody pulp in a crumple pile of metal, yet in the accord if i crash i have a billion airbags to protect me. and its also safer for people if i hit them. and its more secure than the golf.

i hate insurance, its far too confusing.