nberry:
Whoopsy:
It is what it is. We have a crown corporation that runs the insurance monopoly
Used to be fairly reasonable, they negotiated with me on a fleet policy that covers everything so that was nice. But with a very leftist socialist in power right now in my province they decided to cancel my fleet policy and make me pay each car one by one. AND jack up the rates at the same time. For some reason socialists always think that whenever they jack up rates, people are just going to pay them at the higher rate. Fantasy. In the real world people don't and the 'projected' revenue is way off the actual and they always wonder why. They never ever learn.
Last year I insured every car in full, the total bill was ~$85k for the year. Had I pay them in full this year my bill would have been over $100k. But with me cancelling most of the insurances their actual take from me was just under $20k.
So instead of their goal of getting an extra $20k from me, they got $65k LESS from me.
Here is the most insane part. For a new driver at 17 just getting their first car, say a used one that's worth around $3000, he/she would have been charged ~$5000 for a year's worth of insurance. The insurance changed to a new risk based scale that's attached to a person and not the car, so the new driver is considered very risky and hence the jacked up premium. And under the new scale that new driver would have taken over 40 years of claim free driving to get to full discount, 43% off.
What does a socialist have to do with your insurance rates?
As Nick said, insurance in Canada is run by a Crown Corporation, which is state-owned and a monopoly, so the government sets the prices and not the market and free competition, i.e.socialism 101.
Next step is raise the prices exorbitantly to the higher incomes to pay for the increased government spending of socialism, those higher incomes take their business elsewhere or run out or money, government collects less than expected and less than before, so they have to then raise prices to the lower incomes, economy sufficates, they collect even less, misery follows... Worked wonders for eastern europe, venezuela, etc..
So before they were earning 85k$ from Nick, they raised the premiums unreasonably to high paying insurees like him, and instead of earning 100k from him, he cancels most of the policies and they are now earning 20k, that is 65k less for the state's insurance pot from which lower paying insurees would benefit, that will have to end up paying more now to compensate.
⇒ Carlos - Porsche 991 Carrera GTS